Are SMAs the Future of Personalized Investing? How to Invest & Grow Your Stock Option Wealth With an SMA
In this article we’ll talk about how individual investing has evolved over time, and why Separately Managed Accounts (SMAs) could very well be the future of personalized investing. Especially when you consider the recent decrease in their investment requirement, SMAs could be a total game-changer for many young professionals building long-term wealth. When it […]
Start Here: Understand Cost Basis & Cost Basis Implications
Keeping it simple, cost basis is the original price you pay for an asset. It’s used as a starting point to calculate how much you earn on an asset, so the IRS knows how much to charge you for capital gains tax. Sounds pretty simple, right? In theory, yes. But in practice…. not so much. […]
IPO Planning for Your First IPO: Start Here Guide
For most tech employees, finding out an IPO is on the horizon is like a sailor seeing land for the first time in months: They know their hard work & risk-taking has paid off, and they’re about to be rewarded with the excitement and freedom that comes with this new financial territory. And it really […]
Stock Options 101: The Beginner’s Guide to Company Equity
Scenario: You just got offered an exciting job at a cool, new startup???? ???? Heck. Yes. It’s a dream job, and you’re stoked to have it. You’ll be responsible for a lot of cool things you haven’t done before, you’ll get a TON of hands-on experience to grow your career, and you get some cool […]
How to Handle: State Taxation of Stock Options After You Move
Every year, without fail, a few of our clients relocate to a new state. It’s usually for work, but even with this, it can (unfortunately) create some unforeseen tax consequences, especially with equity compensation. People often get confused when they receive W-2s for states they no longer live in (and understandably so). Needless to say, […]
Employee Stock Purchase Plans: Getting Started & What You Need to Know
After an IPO, a lot of things change with your stock options and your company equity. You’ll have to deal with things like blackout periods and trading windows, and some companies will start offering an Employee Stock Purchase Plan (or ESPP). What is an Employee Stock Purchase Plan, exactly? In short, it lets you make […]
Top 5 Mistakes With Employee Stock Options & How to Avoid Them
You can see the money now, can’t you? ???? ???? Your company’s hit their IPO, and you finally get to cash in on your stock options. ???????? You’ve received all the exciting emails from HR about what you’ll be able to do and when, and your trading window is about to start. To say […]
How to Use Incentive Stock Options: A Year-by-Year Approach
As a financial planner, ISO (incentive stock options) are my favorite. There are so many ways they can flexibly create wealth, especially when our clients have a combination of stock options that also include NSO (nonqualified stock options) and RSU (restricted stock units). When it comes to tax planning, ISO can be coordinated with […]
How to Avoid AMT on ISO Exercise With Lower Share Prices
It’s no secret at this point: We’re in a bear market, and stock prices are going down for A LOT of companies. ???????? And while we certainly hope there’s no serious long-term damage done to investor portfolios, there is a silver lining for tech employees with ISO (incentive stock options): Because the market has fallen […]