12 Ideas For 2021 Year-End Planning With Stock Compensation (Part 1)

By myStockOptions.com Editorial Team & Contributors

Year-end is a key time for financial and tax planning with stock comp and company shares. This article presents actionable ideas to consider. These include looking at the income thresholds that may trigger higher tax rates for option exercises or sales of vested stock. One special issue for year-end 2021 is whether potential tax changes should influence your decisionmaking.

More Featured Articles
Stock Options & RSUs: 5 Costly Mistakes To Avoid
Basics: Core Concepts

Stock Options & RSUs: 5 Costly Mistakes To Avoid

Stock comp is complex: make no mistake about it. That's easier said than done, however. It's all too easy to make costly mistakes with stock options or restricted stock/RSUs and the related taxes. In this article, experts in stock comp financial planning explain five blunders and how to avoid them.

Leading Advisors Reveal Year-End 2021 Strategies For Equity Comp And Company Stock
Financial Planning: Year-End Planning 2021 UPDATES!

Leading Advisors Reveal Year-End 2021 Strategies For Equity Comp And Company Stock

We asked seasoned advisors with expertise in stock comp to provide their ideas on financial and tax planning for year-end 2021 and year-start 2022. Read their responses in their own words.

7 Year-End Strategies For Restricted Stock, RSUs, And Performance Shares In 2021
Restricted Stock: Advanced

7 Year-End Strategies For Restricted Stock, RSUs, And Performance Shares In 2021

Podcast included! As part of year-end tax planning, review holdings in restricted stock, RSUs, and performance shares for strategic moves. This article has some ideas.

Stock Options & RSUs From Startup To IPO Or M&A: Top Financial Advisors Cover 5 Key Topics
Pre-IPO: Basics

Stock Options & RSUs From Startup To IPO Or M&A: Top Financial Advisors Cover 5 Key Topics

Stock comp in private companies can be a financial rocket, but with rocketry comes rocket science. It's surprisingly complex. This article presents key points to know from financial advisors with expertise in financial and tax planning for equity comp in private companies.

So Your Company Granted You RSUs. Now What? 3 Planning Tips From Top Financial Advisors
Restricted Stock: Advanced

So Your Company Granted You RSUs. Now What? 3 Planning Tips From Top Financial Advisors

Getting a grant of restricted stock or restricted stock units (RSUs) is a reason to celebrate. But now comes the tricky part: financial and tax planning. In this article, three financial advisors with special expertise in this area provide practical guidance and insights.

ESPPs 101: Key Dates And Terms You Must Know
Basics: Core Concepts

ESPPs 101: Key Dates And Terms You Must Know

Podcast and video included! Employee stock purchase plans are a great deal. Understand the key dates and terms you must know to make the most of your company's ESPP.

Stock Options Made Simple: Comparing NQSOs & ISOs
Basics: Core Concepts

Stock Options Made Simple: Comparing NQSOs & ISOs

Videos included! Stock options rose to fame in the 1990s. Even on the TV sitcom Seinfeld, Elaine got lucrative stock options and couldn't stop talking about them (annoying George). Options remain popular. This article compares the two types and how they work.

Register Now for Premium Membership

Become smarter about stock options, restricted stock, ESPPs, and more.


Why Restricted Stock And RSUs Are A Good Deal - 11:37

Compensation expert Richard Friedman explains why restricted stock and restricted stock units are valuable equity awards.

NEW! Your Retirement Plan: How To Integrate Stock Compensation - 7:44

In this interview, financial advisor Daniel Zajac explains how combining equity grants with other assets can help you save enough money to fully fund your ideal retirement.

The Great Drawdown: How To Optimize Stock-Based Compensation For Retirement Planning - 16:08

In this interview, financial advisor Chuck Steege explains how you factor in stock compensation when you sequence cash flows to cover living expenses in retirement.
Show More

Stockbrokers' Secrets: Retirement Planning With Stock Compensation - 10:39

In this interview, CFP John Barringer discusses planning approaches to stock compensation that can help you build a financially secure nest egg for retirement.

Stock Option Terms: What You Can Expect - 9:43

Get a sense of what you should, and should not, expect in the terms of your stock option grant. In this interview, compensation expert Richard Friedman (Ayco Company) discusses trends in vesting schedules, post-termination exercise rules, and other plan features. The interview is a companion to Mr. Friedman's article on this topic, which includes findings from Ayco's extensive survey of features in stock option plans.

How The 2018 Tax Reforms Continue To Affect Stock Compensation And Financial Planning - 15:57

In this interview, tax and securities law attorney Arthur Meyers (Choate, Hall & Stewart) discusses the key tax-reform provisions in the Tax Cuts and Jobs Act that affect individual taxation and stock compensation.

When To Wait, Hold, Or Sell: A Wealth Manager Reveals His Wisdom On Stock Option Exercise Strategy - 13:11

When stock options or restricted stock/RSUs vest, you need a strategy to make the most of their wealth-building potential. In this interview, wealth manager Tim Kochis explains that no single strategy for timing option exercises or restricted stock/RSU sales fits everyone, and he discusses his approach to this idiosyncratic type of planning. The interview is a companion to Mr. Kochis's article series on this topic.

How To Avoid Mistakes And Create Wealth With Your Stock Options - 9:24

In this interview, CFP Paul Palazzo discusses the most common financial-planning errors he sees that involve stock options-and how to avoid those pitfalls.

Divorce: What Happens To My Stock Grants? - 20:05

When you and your spouse decide to split, your stock grants will probably be divided too. In this interview, divorce attorney Linda Olup explains the treatment of vested and unvested stock grants in divorce, the approaches to valuation used by courts, the division of options in the property settlement, and the way courts regard stock grants as income for consideration in child support and alimony. The interview is a companion to Ms. Olup's article series on this topic.

Employment Issues With Stock Compensation And Key Stock Plan Documents To Understand - 13:16

Attorney Alisa Baker discusses employment, negotiation, and job-termination issues with equity compensation, at both public and private companies, and warns about common mistakes to avoid.

Restricted Stock Units After An Acquisition: Know What Could Happen - 13:36

When a company is merging or being acquired, its employees wonder what will happen to their unvested RSUs. In this interview, wealth advisor Kristin McFarland explains the potential outcomes for holders of unvested RSUs and current equity holders in an M&A deal. The interview is a companion to Ms. McFarland's article on this topic.

Compliance Concerns That Executives Must Understand To Prevent SEC, IRS, And Corporate Problems - 10:12

An often underestimated danger companies face is the risk that an executive or employee may violate corporate, tax, or securities laws. In this interview, compensation expert Richard Friedman (Ayco Company) outlines practices for executives to help them avoid compliance problems, and explains the possible penalties of noncompliance. The interview is a companion to Mr. Friedman's article series on this topic.

Your Company Stock: The Importance Of Diversification - 8:33

In this interview, CFP Laura Tanner explains the importance of investment diversification for employees with company stock.

Financial Planning For Stock Compensation - 10:08

In this interview, CFP Alan Ungar gives guidance on option exercise strategies and about planning for shares acquired from restricted stock/RSU vesting.

How To Maximize The Value Of Stock Compensation While Minimizing Risk - 11:08

For some employees, the value of their equity compensation represents their largest investment. Financial advisor William Baldwin explains his approaches to minimizing risk while trying to optimize the value of stock compensation.

A Holistic Approach To Equity Compensation, And Special Dilemmas Faced By Executives - 10:35

CFP Geoffrey Zimmerman explains why it is important to view equity awards in the big financial picture of your life. He also comments on the special dilemmas faced by senior executives with stock compensation.

Stock Option Strategy To Diversify Away Your Company Stock Risk - 8:26

In this interview, CFP Robert Pyle makes the case for diversifying at least some of your holdings in stock compensation and your company's shares to reduce your investment risk.

Living And Working In Multiple States: Challenges For Mobile Employees In The USA - 11:03

Moving between US states, whether to relocate permanently or simply to travel for business, can involve tax complications for people who have stock compensation. In this interview, Deloitte consultant David Johnson presents the issues that you may encounter when you leave your home office and cross a state line.

Taking An Overseas Assignment: Stock Compensation For Internationally Mobile Employees - 16:07

For internationally mobile employees, the tax treatment of equity compensation can be extremely complex. In this interview, Deloitte consultant Mark Miller explains the issues that employees should consider when they are preparing to take a job assignment in a foreign country.

How Pre-IPO Stock Compensation May Change Upon The Company's IPO - 10:30

As privately held companies prepare for their market debuts, they make changes in equity compensation programs. Compensation consultant Ryan Harvey explains some of the shifts you can expect in your stock grants both during the period leading up to your IPO and after your company goes public.

Hedging Employee Stock Options And Company Stock - 11:15

Financial advisor Robert Gordon explains some of the advanced techniques that can be used to hedge employee stock options or concentrated holdings in company stock and reduce investment risk.

College Funding With Stock Compensation - 11:16

An interview with advisor Troy Onink, who talks about using equity awards to pay for higher education.

LLCs And Equity Incentive Plans - 12:41

In this interview, attorney Daniel Janich discusses the types of equity plans that are available to limited liability companies (LLCs), the considerations involved in establishing an equity comp program at an LLC, and the related tax treatment.

Taxes: Impacts On Stock Option And Restricted Stock Strategies - 9:40

CFP Alan Ungar explains the ways in which taxes can affect decisions about when to exercise stock options, when to sell company shares, and how to plan for income from restricted stock/RSU vesting.

NEW! Basics Of Financial Planning With Stock Compensation And Company Shares - 20:34

In this podcast Bruce Brumberg, the editor-in-chief of myStockOptions.com, introduces financial planning for stock compensation and company shares, including common mistakes and how to avoid them, goals-based planning, and how to maximize the value of stock grants and ESPPs. He is interviewed by Kathleen Cleary, the education director of the National Association of Stock Plan Professionals (NASPP).

Basics Of Restricted Stock And Restricted Stock Units - 8:05

Restricted stock and RSUs are very common types of equity compensation. Here's how they work.

Basics Of Stock Options - 6:21

Stock options remain a major form of employee equity. This podcast provides an overview of the two types.
Show More
"This is an important website and a great source of education."
Laura Borda
Manager, Legal & Stock Administration
Leap Wireless/Cricket Communications
We've updated our Privacy Policy, and this site uses cookies. Read the Privacy Policy to learn more.