Double Trigger Restricted Stock Units

Restricted stock units are often taxed and shares delivered when they vest. For Pre-IPO stock, this presents a problem where the value of vested units will be taxable, and tax will be due, on pre-IPO shares that you cannot sell. A double trigger RSU adds a second component that must be met prior to RSUs being tax and delivered, often an IPO or other liquidity event. Only after both events occur will tax be due.