WRITTEN BY: Gideon Drucker, CFP® AIF® ECA

What Googlers Need to Know About the Employee Trading Plan (ETP) in 2025

If you're reading this, you're probably a Googler who's just been invited (yet again) to enroll in your Employee Trading Plan (ETP), and you're trying to decide whether to click “yes,” “no,” or snooze the notification and hope it somehow stops popping up. (Spoiler: it won’t.) I’m thrilled you're here, because this one decision can make a big difference in how you build long-term wealth: let's talk about what the ETP actually is, what it does well, and what you really need to be aware of before you enroll.

What Is the Google Employee Trading Plan (ETP)?

Think of the ETP option as your “autopilot button” for selling your Google stock. Once you enroll, your newly vested GSUs (Google Stock Units) will be automatically sold on the dates you pre-selected (during the ETP enrollment window)..no logging on to sell shares throughout the year, no trying to time the best time to sell throughout the year, and no logging on to sell only to discover that you’re in a blackout period. It’s essentially a pre-determined trading strategy that you set up in advance. The idea is to help you stay disciplined in terms of when you sell (by deciding to do so months in advance) and to help your cash flow as you’ll have a rough sense of how much RSU income will turn to cash at specific points throughout the year.

FIFO vs. LIFO: Which Shares Get Sold First?

When you sign up, you’ll choose your sell strategy:

FIFO (First In, First Out): You sell your oldest vested shares first.
LIFO (Last In, First Out): You sell your most recently vested shares first.

And yes, the choice does have tax implications...so if you’re not sure which one makes sense for your situation, this is one of those moments where a personalized plan really pays off. For some people that have tax losses elsewhere in their portfolio, you might want to sell older shares (with built up gains) to cancel each other while remaining tax neutral for the year OR you might want to sell the shares that are newest while still checking off the long term cap gains box (over 12 months.)

Why Some Googlers Love the ETP

Let’s call out the obvious pros, because for a lot of our Google clients, the ETP is a game-changer:

1. Systematic Selling = Peace of Mind

You don't have to stress over when to sell. It just happens, like magic. (Okay, not magic...math.)

2. Steady Monthly Cash Flow

Your shares vest, they're sold, and you have (relatively) predictable liquidity. That monthly influx can help you save more consistently, pay down debt, or fund future goals like… a house, a 529 plan, or even a sabbatical.

3. Built-In Diversification

Let’s be honest...you probably have enough exposure to Google already (through the shares you’re not choosing to sell, RSU grants that haven’t vested yet, retention RSU grants etc.) By selling regularly, you’re not putting all your eggs in one $GOOG-shaped basket.

**What You Need to Know Before You Enroll**

That said...this plan is not for everyone. And there are a few big considerations that don’t always get talked about:

1. No Flexibility Once You're In

Once you’re in the plan, you're locked in. You can’t decide in January that you want to sell more shares to fund a down payment or change your election mid-year so you have to pretty confident in your emergency reserve, upcoming costs, and general cash flow.

2. No Selling Outside the Plan

While enrolled, you can’t sell existing Google shares on your own...even if the market is up or you're planning a big life move (like buying that dream house in Palo Alto). You're on autopilot, for better or worse.

3. Blackout Period at the Start

After you enroll, there’s a several-month “lockup” period where you can’t touch your stock at all. It’s like a financial timeout. So don’t plan on tapping those shares anytime soon.

**Should You Enroll in the ETP?**

Great question. The answer? It depends on your goals.

If you’re someone who values automation, wants to reduce risk, and prefers a more hands-off way to create cash flow and build wealth… the ETP might be a great fit.

But if you’re actively planning a major expense (home purchase, private school, early retirement, etc.) and need full control over when and how you sell your stock, you might want to pause and make sure the ETP aligns with your bigger picture.

Final Thoughts From a CFP® Financial Planner For Mid-career Professionals Who’s Seen This a Lot

I’m not a Googler myself… but I work with a lot of Google employees and I can tell you this:

Most of the time, what people really need isn’t more options, it’s clarity & a plan.

The ETP can be a phenomenal tool if it’s working in tandem within a broader financial plan where every dollar is assigned a job and goals are consistently tracked. But without that plan? It's really just another checkbox on your benefits portal.

If you want to talk through whether enrolling makes sense for YOU…not for your coworker, not for the Google subreddit, but for your life…that’s what we’re here for. You can schedule your Right Fit Call here.