If you have stock options, then you can access an asset that provides you with a choice. Very literally, a stock option is an option; it’s a form of compensation that gives you the right (but not the obligation) to buy shares of company stock at a set price. Acting […]
incentive stock options
How Your Income May Impact the Sensitivity to AMT – and What That Means for Incentive Stock Options
If you have incentive stock options, you’ve likely heard of the alternative minimum tax. This tax, or AMT, is what you may pay in years that you exercise and hold incentive stock options. The greater the spread between the exercise price of your ISOs and the fair market value of […]
How to Use AMT Balancing to Manage Incentive Stock Option Cash Flow
If you have employee stock options, you need to determine what kind you have: incentive stock options (ISO) or non-qualified stock options (NQSO). The differences go far beyond their names. ISOs may provide tax advantages for you, assuming you meet certain requirements. For this reason, many people prefer incentive stock […]
New Resources on Equity Compensation, Blog Updates, and More
I’m passionate about using my experience to help people like you understand what to do with employee stock options, RSUs, and other forms of equity compensation. I spend a lot of time developing resources to educate on this topic because I believe it’s important that you know how to best […]
Planning for Incentive Stock Options: How Exercising ISOs Could Impact Your Cash Flow
Before you do anything with your incentive stock options, you need to get clear on how exercising those ISOs could affect your assets and what will it cost you in terms of real money. You need to know the cost of exercising your options, for example, or what you might […]
What You Should Know About the Alternative Minimum Tax
The alternative minimum tax (AMT) acts as a sort of parallel tax system to the regular federal income tax system. For taxpayers, this means they need to calculate their income twice: once under the regular tax rules and a second time under AMT. After running this calculation, taxpayers then pay […]
