When Is the Best Time to Exercise Those Stock Options?

Business,Times,Concept,People,Walking,Overlay,With,Time,Clock

We hear about stock options all the time in the news. It seems like anytime a big company is involved in some sort of financial transaction the term “stock options” is thrown around at some point. First off, stock options are an option given to a person, usually an employee, to purchase stock in a company at a fixed or discounted rate.

So perhaps you have been given some stock options and now you’re starting to wonder when you should exercise those options. Before you choose to move forward there are several things to consider.

  • Your company’s plan
  • Your company’s growth
  • Your current financial needs
  • Keeping your portfolio balanced
  • Current market conditions
  • The tax implications

Each of these factors is important and you should weigh each of them when you are considering exercising your stock options. If you would like to learn more about each of these important factors in regards to stock options and when might be the best time for you to exercise them, then click here.

You can also contact us at 1-877-CPA-2006 or click here to contact us online. We can help walk you through all the different aspects of stock options and give you a better idea of when the best time to make the investment might be for your particular situation.

Posted in ,
BUS SALESTAX; Business Sales Tax

Business Sales Tax

Business Sales Tax Sale of a Business – Sales Tax Impact Buying and selling a business can be structured to be tax-free from the standpoint of federal income taxes through the merger and other reorganization provisions of the Internal Revenue Code. However, a tax-free transaction from a federal standpoint may not be tax-free for State…

tax telecommuting

Tax Telecommuting

Tax Telecommuting If you’re thinking about setting up employees as telecommuters, you’re not alone. Businesses ranging from large multi-nationals to small shops know that telecommuting not only can improve worker morale and performance, it can also save you and your employees money. What’s not to like about zero commuting costs and no office rent? You…

Tax S-corporation

Saving Taxes with an S Corporation An S corporation election allows the shareholders to preserve the benefit of limited liability for the corporate form while at the same time being treated as partners for federal income tax purposes. Ever wondered why so many small businesses operate as an S corporation? Simple. An S corporation saves…

Sec1045 Partnership

Sec1045 Partnerships

Sec1045 Partnerships This document contains final regulations relating to the application of section 1045 of the Internal Revenue Code (Code) to partnerships and their partners. These regulations provide rules regarding the deferral of gain on a partnership’s sale of qualified small business stock (QSB stock) and a partner’s sale of QSB stock distributed by a…