Employee Stock-Based Compensation Expense

Employee equity-based compensation expense, net of the amount capitalized in internally developed software, is as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Expense from time-based awards^(a)	$	2,358	$	1,872	$	4,495	$	3,963
Expense from performance-based awards ^(a)(b)		389		(872)		470		250
Expense from bonus to be settled in shares ^(c)		—		920		—		1,818
Equity-based compensation capitalized^(a)		—		(124)		(32)		(184)
Equity-based compensation expense	$	2,747	$	1,796	$	4,933	$	5,847

(a)

Includes expense recognized and costs capitalized in connection with the awards granted to booj employees and former owners at the time of acquisition.

(b)

Expense recognized for performance-based awards is re-assessed each quarter based on expectations of achievement against the performance conditions. The Company granted certain performance awards to booj employees that vested in 2019 and therefore have no comparable amounts in 2020.

(c)

In 2019, the Company revised its annual bonus plan so that a portion of the bonus for most employees would be settled in shares if the Company met certain performance metrics. The Company eliminated the 2020 corporate bonus as part of cost savings measures in connection with the COVID-19 pandemic.

Restricted Stock Units


	RSUs	Weighted average grant date fair value per share
Balance, January 1, 2020	455,452	$	46.15
Granted	296,000	$	29.16
Shares vested (including tax withholding) ^(a)	(163,028)	$	45.58
Forfeited	(9,076)	$	41.09
Balance, June 30, 2020	579,348	$	37.71

(a)

Pursuant to the terms of the RE/MAX Holdings, Inc. 2013 Omnibus Incentive Plan, RSUs withheld by the Company for the payment of the employee's tax withholding related to an RSU vesting are added back to the pool of shares available for future awards.

Restricted Stock Units


	PSUs	Weighted average grant date fair value per share
Balance, January 1, 2020	139,964	$	45.31
Granted	203,765	$	28.29
Shares vested (including tax withholding) ^(a)	(6,331)	$	38.49
Forfeited	(4,841)	$	45.93
Balance, June 30, 2020	332,557	$	35.00

(a)	Represents the total participant target award.