Executive Summary
What is a refresher grant?
A refresher grant (also called a refresh grant) is an additional equity award you receive after your initial grant—not when you're hired, but later in your tenure. Companies give them to reward performance, recognize promotions, or retain you when your first grant is almost fully vested. They're typically smaller than your initial grant and vest over 3–4 years.
You've been at your company for a few years. Your initial stock options or RSUs are vesting. Then your manager says you're getting a "refresher grant." What does that mean? In short: more equity.
The bottom line: A refresher is extra equity on top of what you already have. It's not a replacement—it's an addition. Companies use them to keep you engaged, reward good work, or make sure you don't leave when your first grant runs out. See our how to read your equity grant for understanding the grant details.
Why Companies Give Refreshers
The Problem They Solve
When you first joined, you got a big grant. It vests over 4 years. By year 4, most of it has vested. Your "equity income" drops. You might start looking elsewhere. Refreshers give you new equity to vest—so you have a reason to stay.
Three Main Types
| Type | When You Get It | Why |
|---|---|---|
| Performance refresher | After a strong review | You're a top performer; company wants to keep you |
| Promotion refresher | When you get promoted | New role = more responsibility = more equity |
| Retention refresher | When initial grant is almost fully vested | To keep you from leaving |
How Refreshers Differ from Your Initial Grant
| Initial Grant | Refresher | |
|---|---|---|
| When | When you're hired | Later—often annually or at promotion |
| Size | Usually larger | Usually smaller (e.g., 25% of initial per year) |
| Vesting | Often 4 years, 1-year cliff | Often 3–4 years, sometimes no cliff |
| Purpose | Attract you to join | Keep you, reward you |
What to Expect
Size
Refreshers are typically smaller than your initial grant. A common rule of thumb: about 25% of what a new hire at your level would get, per year. So if a new senior engineer gets 10,000 options, you might get 2,500 as a refresher.
Vesting
Refreshers often vest evenly—no cliff. So you might get 1/48th each month. That means you get something sooner, but it also means you have to stay to get the rest.
Taxation
Same as your initial grant. RSUs = taxed at vesting. Stock options = taxed at exercise (or when you sell, depending on type). See our ISO vs NSO and RSU guides.
Do You Have to Get Them?
No. Refreshers are discretionary. Not everyone gets them. Companies often give them to top performers or people they're worried about losing. If you don't get one, it doesn't mean you're doing badly—it might mean your company has a different policy or budget.
Frequently Asked Questions
How often do companies give refreshers?
It varies. Some do it annually. Some only at promotion. Some when retention is a concern. Ask your manager or HR about your company's policy.
Can I negotiate a refresher?
Sometimes. If you have an offer elsewhere, you might be able to negotiate a retention grant. Or if you're promoted, you might negotiate the size. It depends on your leverage and company culture.
Is a refresher the same as a promotion grant?
A promotion grant is a type of refresher—one given when you're promoted. They're the same idea: extra equity on top of what you have.
Disclaimer: This guide is for educational purposes. It does not constitute tax or financial advice.
Last Updated: March 2026 | Research Team: VestingStrategy