3 must-knows about employee stock options

News Room
By News Room 9 Min Read


Forms of compensation like r estricted stock units  and performance shares—whereby executives receive a batch of stock from their companies after meeting a performance target — have some key advantages relative to employee stock options.

They’re more straightforward than stock options, and the associated taxes are less complex and often better aligned with gains. That said, employee stock options can be a key source of wealth for some households. That means if options are part of your compensation package, it’s worth your while to get familiar with how they work generally, as well as how your company handles stock options specifically.

Share This Article
Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *