Equity Compensation Learning Center

ISO & NSO Basics

How employee stock options work before tax ever enters the picture.

• · ISO vs NSO: the tax differences that matter
• · What is a stock option strike price?
• · Incentive stock options (ISOs) 101

Alternative Minimum Tax

The parallel tax system that turns ISO exercises into surprise bills.

• · What is the AMT on an ISO exercise?
• · AMT credit explained
• · How to avoid AMT when exercising ISOs

Exercise Strategy & Timing

When to pull the trigger, and how to pay for it.

• · When should I exercise my stock options?
• · Should I exercise before an IPO?
• · Stock option valuation and Black-Scholes

83(b) Election

Thirty days to change your tax outcome for years.

• · What is a Section 83(b) election?
• · 83(b) election deadline and Form 15620
• · 83(b) election risks

RSU Basics & Taxation

The simplest equity to hold and the easiest to under-withhold.

• · RSU taxation explained
• · How are RSUs taxed at vesting?
• · RSU withholding: why 22% leaves you short

Reporting & Returns

Getting the forms right so you do not pay tax twice.

• · How to report RSU sales on your tax return
• · RSU tax return mistakes to avoid
• · Cost basis, Form 3921 and Form 3922

Timing & Life Events

The December decisions that set your April outcome.

• · Year-end tax planning for stock compensation
• · Stock comp checklist before December 31
• · What to do if your stock price drops after vesting

Job & Life Events

Offers, exits, IPOs and the QSBS exemption.

• · Stock options after a layoff
• · Negotiating equity in a job offer
• · The QSBS exemption explained

Glossary

Every equity comp term in one place, with one-line definitions.