Typical comp shape
Distinguished engineers usually earn large rsu + psu grants, sometimes options. Common employers include Alphabet, Microsoft, IBM. Total equity often rivals VP packages, so 10b5-1 plans and concentration hedging become central planning tools.
What North Dakota changes
In North Dakota, every RSU vest, NSO exercise, and ESPP purchase carries 2.5% state tax on top of federal. For a senior distinguished engineer with $300k+ of equity income, the state layer routinely adds $25-45k to the annual bill.
Planning cadence
For a distinguished engineer in North Dakota, the three planning windows are: after each RSU vest (withholding check and sell-vs-hold), before any ISO exercise (AMT model at federal only), and in Q4 (estimated tax top-up to clear the safe harbor).