Confused by Stock Options?

Do you worry about how to maximize them? Jared Van Arsdale, CPA , partner at Ullman & Co., P.C. joins us to explain what stock options are and the tax implications of each one.

Key Takeaways:

• Learn a simple mindset trick so you know when to exercise your options (at 35:27 in video) and if holding your options for the long haul is the right move.

• Understand the different types of stock options and how the tax treatment of each stock option type varies.

• Learn about restricted stock options, non-qualified, restricted stock units and options held at privately held companies.

If you have unexercised stock options, or are looking for a refresher course, this episode is for you!

Time Stamps

05:20 Grant date, exercise day, and tax implications.

06:38 Non-taxable stock options, buy at set prices.

11:46 Incentivizing growth for company employees with stocks.

15:25 Consider spread size, exercise options for profit.

18:03 Stock options and valuation changes for clients.

19:54 ISOs for smaller tech companies, NSOs for larger.

21:59 ISOs are pretax, NSOs are after tax.

26:41 "It's okay not to remember everything."

28:11 Regularly assess and adjust financial investments for diversification.

Disclaimer: The information provided in this podcast is for general informational purposes only and should not be construed as professional financial advice. Always consult with a qualified financial advisor or professional before making any financial decisions. The hosts and guests of this podcast are not responsible for any actions taken based on the information presented.