Category Archives: Performance Shares

Phantom Stock reveals untold value

Jason has prospered over 20 years as research director for a privately owned medical device company. He was granted 10,000 shares of phantom stock, now worth $150 per share. The value of this phantom stock, at $1.5 million, is now … Continue reading

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Performance Options and Financial Parity

Grit and determination and a long career in consumer solutions have led Gwen to her current role as president of a high-end fashion retail company.* Two retail companies are now courting Gwen for the CEO position she’s been tracking toward … Continue reading

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Performance Awards – Income Tax Planning May Help More Than You Think

At 54, Marco’s career has progressed beyond his expectations*, as a well-compensated president of a biotech firm. The board has voted to relocate the company to the Midwest next year. He is weighing several options. He can either move his … Continue reading

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Tapping Stock Appreciation Rights to meet college costs

Many executives face college educations to pay for while they are simultaneously accumulating wealth for retirement. They can’t count on financial aid, and college costs could range upwards of $25,000-70,000 per year. Ellie1, an assistant general counsel for a public … Continue reading

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Healthy enough to work, wealthy enough to retire?

Gregory[1], 62, is a corporate vice president whose recent health issues have caused him to consider accelerating his retirement date.  Will he need to work a few more years or, given the value of his assets including holdings in his … Continue reading

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Lighten up! Plan Your Open Window

As an insider, lighten up!  Even shareholders don’t expect your holding period to run forever.  You just need to be sure your plan for selling company stock meets with current SEC standards and aligns with shareholder interests. Planned trading programs, … Continue reading

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Performance Awards: Strings Attached?

Performance Awards are being issued in record numbers, with about 50% of S&P 500 companies awarding performance-linked equity compensation. The surge in performance shares, performance share units, and performance stock options follows Dodd-Frank’s Say on Pay provision and is popular … Continue reading

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Did taxes slay your last stock options profits? The lack of a strategy can be a costly “exercise”!

If you have ever waited until close to expiration date to exercise your non-qualified stock options (NQSO), you may have been stunned by how much was swallowed up in taxes. While a cashless exercise is the most popular way to … Continue reading

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Restricted Stock: Maximizing the Value and Asking the Right Questions

As the stock markets have waned, more companies have been compensating executives with restricted stock rather than stock options in recent years. Executives who acquire a concentration in company stock often ask: Are there ways to save taxes on particular … Continue reading

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Understanding Performance Awards

Your long-term incentives may hinge on some form of performance metric, now that companies have been issuing performance awards in increasing numbers. Issuance of performance awards nearly doubled between 2006 and 2010, fueled by stock market volatility and increasing shareholder … Continue reading

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