Snowflake Equity FAQ

Snowflake RSUs follow a 4-year vesting schedule with a 1-year cliff, followed by quarterly vesting. This means 25% of your grant vests after your first year, then the remaining 75% vests in equal quarterly installments (6.25% per quarter) over the next three years. Your vesting start date may be delayed based on your hire date to align with Snowflake's fixed quarterly vest dates in March, June, September, and December.

Your first RSUs will vest after a 1-year cliff, but the exact date depends on when you join. Snowflake aligns all vesting to quarterly dates in March, June, September, and December, so your vesting start date is adjusted based on your hire date to match these fixed quarters. This means your actual cliff period might be slightly longer than 12 months depending on your start date.

Snowflake's Employee Stock Purchase Plan offers a 15% discount on stock purchases with a lookback feature, meaning you purchase at 85% of the lower price between the offering date or purchase date. The plan has semi-annual purchase periods, and you can contribute up to 15% of your salary with a maximum of $25,000 per year.

When your RSUs vest, they're treated as ordinary income and subject to tax withholding. Snowflake allows you to adjust your withholding rate if needed. You'll owe taxes on the fair market value of the shares on the vesting date, and additional capital gains taxes may apply when you eventually sell the shares.

No, Snowflake does not currently provide a company match for 401(k) contributions. However, the company focuses on providing competitive base salaries and equity grants as part of its overall compensation philosophy.

Yes, Snowflake may provide annual RSU equity grants (refreshers) based on your performance review. These refresher grants are typically awarded annually and help ensure your total equity compensation remains competitive as you continue with the company.

Only vested RSUs belong to you when you leave Snowflake. Any unvested RSUs will be forfeited upon termination of employment. Make sure to understand your vesting schedule and consider the timing of any planned departure, especially if you're approaching a quarterly vesting date.

You can generally sell shares during open trading windows, but blackout periods apply when trading is restricted. Snowflake has blackout periods around earnings announcements and other material events. The company also offers 10b5-1 trading plans, which allow you to set up pre-scheduled trades that can execute even during blackout periods.