Of course the potential upside is obvious. But managing employee stock options is anything but simple. And the process can be ...

Employee stock purchase plans (ESPPs) offer employees a very straightforward way to buy company stock at a discount and benefit from the profitability of a company.

When employees receive stock option grants, they have the opportunity to exercise the options at some later date at a predetermined price, called the strike price or exercise price. News Today's news ...

An employee stock ownership plan (ESOP) ... Due to their special tax and regulatory statuses, sales to ESOPs are required to take place at fair market value, ...

Employee stock option basics. ... holding the stock after exercise in order to qualify for the lower long-term capital gains rate on the profits from the sale.

Enter employee stock ownership plans, ... For instance, contributions to the ESOP are tax-deductible, and in certain cases, the sale of stock to an ESOP can be tax-deferred or even tax-free.

If stock 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.

Assume that Sharon received 100 shares of her employer stock in 2014, when it was trading at $2.35 per share, with a strike price of $10 per share and an expiration date of Dec. 31, 2023.