When retirement is unplanned or taken early, there may be a gap between your retirement date and the qualifying age for retirement-plan distributions and Social Security. To bridge that gap, stock-based compensation can help, but its complexity can be confusing. This article seeks to help you factor in stock compensation when you sequence cash flows to cover living expenses in retirement.
Stock compensation can help you save for retirement. Understand the issues and explore strategies that can help your retirement funding.
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Moving between US states, whether to relocate permanently, travel for business, or retire, can involve tax complications for people who have stock compensation. This article presents the tax issues that you may encounter when you leave your home office and cross a state line.
Disability and death are subjects that few people like to think about, but they are important topics for employees who have stock compensation. Every stock plan has provisions on the treatment of equity compensation in the case of these life events, so you and your family members should understand those plan features just in case they come into play. This article presents the common ways in which stock plans treat grants upon the disability or death of employees.
Many of my clients do not see stock compensation in the bigger picture of retirement savings and withdrawal plans. Considering net worth, age, and company stock plan, I present the client with these core points about stock grants, 401(k) plans, nonqualified deferred compensation, and IRAs.
Emotions can have a powerful impact on financial decisionmaking. The study of behavioral finance, i.e. how people make decisions about investments and other financial matters, can help you to develop a sensible approach to stock compensation and holdings of company stock.
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