Even if you don’t have plans to leave anytime soon, it’s not unreasonable to consider what happens to your employee stock options when no longer work for your current employer. Whether due to a planned retirement after a long career, a new opportunity at another company, or an intentional sabbatical […]
Employee Stock Options
How Do You Pay the Exercise Cost When You Exercise Your Employee Stock Options?
If you have employee stock options, you’ve likely spent time considering how and when to turn the value of those options into cash proceeds you can actually use. To turn stock employee stock options into cash, you have to exercise and sell them. When you exercise, you are buying shares […]
How to Use a Stock Swap to Exercise Your Employee Stock Options
A stock swap can be a great strategy to use if you have employee stock options you’d like to exercise and hold. It allows you to use the fair market value (FMV) of company stock you already own to pay for the exercise cost of newly acquired employee stock option […]
How Leverage May Impact the Value of Your Employee Stock Options
If you are on the receiving end of employee stock options, you might want to understand the concept of leverage, as it may have a meaningful impact on the future value of your stock. As it relates to employee stock options, leverage is illustrated by the percentage change you see […]
6 Steps for Handling Employee Stock Options as a Conservative Investor
If you done any research on equity compensation and employee stock options, you’ve likely come across terms and phrases like “concentration risk” and “too many eggs in one basket.” You may have also read up on stories that detail how a declining stock price wiped out someone’s net worth before […]
Should You Exercise and Sell All Your Employee Stock Options Right Now?
If you have employee stock options, you’ve probably spent time considering the absolute best time to exercise those options — and from there, whether you should sell or hold your shares. Answering the question of “when” — when to exercise, and when to sell — is wrapped in complexity. With […]