How to Compare Tech Job Offers: RSUs, Vesting and After-Tax Pay by State

Life in the USOct 18, 2026 · 8 min read

Two offers can both be called "$350k total comp" and leave you with very different amounts in your bank account. One might pay more cash up front, the other more stock later. One might be in Seattle, with no state income tax, the other in San Jose, where California's brackets run up to 12.3% (plus 1% on taxable income over $1 million) and SDI takes another 1.3% of wages. This guide walks through how to break an offer down and what to compare. Our free Offer Comparison Calculator does the arithmetic for up to three offers using 2026 federal tax law, and every number below comes from its model or from the official sources it cites.

Break each offer into its parts

• Base salary. The steady part. Usually taxed through regular payroll withholding.
• Target bonus. Usually a percentage of base. It is a target, not a promise, and some employers prorate it in your first year.
• Sign-on bonus. Often split across year 1 and year 2. Most offer letters require you to repay it, often prorated, if you leave within 12 to 24 months.
• RSU grant. A dollar value of company stock, granted at a set price and vesting over (typically) four years. The headline figure is the whole grant, not one year of it.
• Refreshers. Later grants that some companies give each year. They are rarely guaranteed in writing.
• 401(k) match and ESPP. Real money, but it goes into retirement savings or company shares rather than your paycheck. The calculator shows the 401(k) amounts on a separate line so they don't blur the take-home comparison.

Vesting schedules change year-by-year pay

Two grants of the same size can pay out very differently depending on the schedule. The calculator offers four common patterns plus a custom one:

Grant values above are at the grant price, with no change in stock price. Two more details matter:

• The cliff. With a 1-year cliff, nothing vests until month 12, and then the whole first-year share vests at once. Leave at month 11 and you get no stock. After the cliff, shares vest monthly, quarterly, every six months or yearly, depending on the plan.
• Refreshers. The calculator assumes one refresher at the start of years 2, 3 and 4, each vesting evenly over four years with no cliff. So within the first four years only part of each refresher has vested. For example, a $60,000 yearly refresher adds $15,000 in year 2, $30,000 in year 3 and $45,000 in year 4.

The calculator also lets you set an assumed yearly stock price change. It applies to RSUs and ESPP and is a guess, not a forecast; leaving it at 0 values everything at today's price.

Year 1 vs the 4-year average

Here is the calculator's own example, for a single filer with no other income. The numbers are illustrative, not data about any company:

• Offer A, San Jose: $200,000 base, 15% bonus, $30,000 sign-on, $400,000 RSUs on an even quarterly schedule with a cliff, $60,000 yearly refreshers, maximum 401(k), 50% match up to 6% of base, 10% ESPP at a 15% discount.
• Offer B, Seattle: $190,000 base, no bonus, $70,000 sign-on in year 1 and $50,000 in year 2, $420,000 RSUs on the 5/15/40/40 schedule vesting every six months, maximum 401(k), 50% match up to 4%.

Offer A pays about $27,000 more in year 1. Offer B catches up in years 3 and 4, when 40% of its grant vests each year, and the two end up within about $2,000 over four years, even though A has higher total comp ($1.48M vs $1.32M) and refreshers that B lacks. Washington's lack of income tax accounts for much of the difference: Offer A pays roughly $26,000 to $29,000 of California income tax each year. Which one is better depends on how sure you are that you will stay four years, how much you trust the stock price, and whether A's refreshers actually arrive.

Take-home here means total comp minus all taxes and minus your 401(k) contribution and the employer match, with vested stock counted at the assumed price. Both offers also add money to your 401(k): $122,000 for A and $113,200 for B over four years.

After-tax pay by state

The calculator covers 11 states and 25 work locations: California (San Jose, San Francisco, Los Angeles, elsewhere), Washington, New York (New York City or elsewhere), Texas, Massachusetts, Illinois, New Jersey, Georgia, North Carolina, Oregon (Portland area or elsewhere) and Colorado. Texas and Washington have no state income tax on wages. Washington does have small payroll premiums (WA Cares at 0.58% and its share of paid family leave), and its capital gains tax applies to long-term gains when you sell stock, not to RSU vesting income.

To see how much location alone matters, here is one illustrative offer, $180,000 base, a 10% bonus and $400,000 RSUs on an even schedule, run through the calculator for each location. Year 1 total comp is $298,000 everywhere; single filer, no 401(k):

The spread between Austin and Portland is about $28,000 a year on the same offer. Federal tax is slightly lower in high-tax places because state income tax can be itemized under the 2026 SALT cap ($40,400, reduced above $505,000 of income); the calculator handles that automatically. It does not adjust for living costs by default, but it has an optional view that divides take-home by the BEA Regional Price Parity for each area. Treat that as a rough guide to purchasing power, not a budget.

Some limits worth knowing: California's 2026 brackets were not published when the figures were checked, so the 2025 FTB schedule is used, and New Jersey uses its 2025 schedule (unchanged since 2020). New Jersey assumes you live and work there; commuting into New York City is not modelled. Other local taxes, such as Denver's occupational privilege tax, are not included.

Withholding on RSUs and bonuses is not what you owe

Bonuses, sign-on pay and RSU vests are "supplemental wages." Under IRS Publication 15, employers can withhold federal income tax on them at a flat 22%, and must use 37% on supplemental wages above $1 million in a calendar year. That flat rate has nothing to do with your actual bracket. For 2026, a single filer's 24% bracket starts at $105,700 of taxable income and the 32% bracket at $201,775, so many tech workers with sizable stock are under-withheld on every vest.

The calculator estimates this gap for year 1. For the $298,000 offer above in Austin, it estimates about $57,900 of federal withholding against about $67,400 of actual federal tax, so roughly $9,500 would be due at filing. Its method is simple: withholding on base salary is approximated as the tax on base alone, and supplemental pay is withheld at 22% (37% above $1M). Your W-4 and your employer's payroll system can make the real figure different.

Some states have their own flat supplemental rates, and the calculator uses them where it found an official one: California 10.23% on bonuses and stock options, New York State 11.70% (plus 4.25% for New York City), Georgia 4.99% and North Carolina 4.09%. Texas has none to withhold. For Illinois, New Jersey, Massachusetts, Oregon, Colorado and Washington no flat supplemental rate was found, so the comparison shows federal only. If you expect a gap, you can raise withholding on your W-4 or make estimated payments; a tax professional can tell you which fits.

Social Security and Medicare apply to vests too: 6.2% Social Security up to the 2026 wage base of $184,500, 1.45% Medicare on everything, and an extra 0.9% Additional Medicare Tax above $200,000 (single) or $250,000 (married filing jointly).

A short checklist

1. Get the vesting schedule, cliff and vest frequency in writing, not just the grant value.
2. Ask whether the bonus is prorated in year 1 and how the sign-on clawback works.
3. Treat refreshers as uncertain unless the offer letter commits to them. Compare with and without.
4. Compare year 1 and the 4-year total, and ask yourself how likely you are to stay past the back-loaded years.
5. Use after-tax numbers for the city you would actually live in.
6. Plan for the withholding gap on stock and bonuses so April has no surprises.

If your employer sponsors H-1B workers, its LCA filings show the base wages it commits to for similar roles. Our guide to reading H-1B salary data shows how to check an offer's base against real filings for the same title and city.

FAQ

Are RSUs taxed when they vest or when I sell?

Both, in different ways. The value of the shares on the vest date is ordinary wage income, subject to income tax, Social Security and Medicare, and it appears on your W-2. If you hold the shares and sell later, only the change in price after vesting is a capital gain or loss.

Why do I owe tax at filing when my RSUs were already withheld?

Employers usually withhold federal tax on RSU vests, bonuses and sign-on pay at a flat 22% (37% on supplemental wages above $1 million in a year). If your marginal federal rate is 24%, 32%, 35% or 37%, the 22% falls short and you pay the difference when you file.

Is a back-loaded vesting schedule worse than an even one?

For the same grant, a schedule like 5/15/40/40 pays much less in years 1 and 2 and more in years 3 and 4. Over the full four years the shares are the same, but you only get the later years if you stay, which is why employers with back-loaded schedules often pay larger sign-on bonuses in years 1 and 2.

Should I compare year-1 pay or the 4-year average?

Look at both. Year 1 shows the cash you can count on soon and is the most certain. The 4-year total or average shows the full value of the grant if you stay and the stock price holds, but it depends on refreshers, bonuses and a price that are not guaranteed.

Which states does the Offer calculator cover?

As of October 2026 it covers 11 states with 25 work locations: California, Washington, New York (including New York City), Texas, Massachusetts, Illinois, New Jersey, Georgia, North Carolina, Oregon (including Portland-area taxes) and Colorado. Texas and Washington have no state income tax on wages.

Sources

• IRS Publication 15 (2026): supplemental wage withholding (22% / 37%), Social Security wage base, FICA rates
• IRS Rev. Proc. 2025-32: 2026 tax brackets and standard deduction (PDF)
• IRS Topic 560: Additional Medicare Tax
• IRS Publication 5992: RSUs taxable at vesting (PDF)
• IRS Publication 525: Taxable and Nontaxable Income (restricted property, ESPP)
• IRS: 2026 SALT deduction limit
• California EDD DE 44 (2026): SDI 1.3%, 10.23% bonus and stock-option withholding (PDF)
• New York NYS-50-T-NYS (2026): supplemental withholding rate (PDF)
• North Carolina DOR: 2026 withholding, 4.09% supplemental
• Georgia DOR: 2026 Employer's Tax Guide
• Washington DOR: no individual income tax; capital gains tax
• Texas Comptroller: no state income tax
• BEA: Regional Price Parities, 2024

Last updated 2026-10-18. This guide is general information, not legal, tax or financial advice. Figures come from the Offer Comparison Calculator's model and the official sources it cites, using 2026 federal law; examples are illustrative. Confirm with a CPA or tax professional before making a decision.