Equity Compensation 101 | BLACK WITH EQUITY WEBINAR SNIPPET

Black with Equity Webinar Snippet: Equity Compensation Basics, Taxes, and DiversificationIn this episode we recap a jam-packed week ending with a snippet from our Black with Equity webinar for Black History Month.We explain the basic forms of equity compensation, like restricted stock - a “will be yours” benefit, emphasizing grant date vs vest date, W-2 reporting, vesting schedules, and taxation as ordinary income upon vesting, including the common underwithholding issue from 22% supplemental withholding and solutions like increasing withholding or paying quarterly estimates. We also cover non-qualified stock options as a “could be yours” benefit, defining strike price, discount element taxed on exercise, exercise windows, and double-trigger acceleration, plus negotiation tactics at hiring, reviews, and severance. Lastly we touch on ESPPs, offering periods, lookback provisions, and taxable discounts, and warn against overconcentration in company stock and the benefits of portfolio diversification. Sign up for the full unedited release at newmoneynewproblems.com/subscribe!00:00 Webinar Recap and Access01:04 Ad Rejection Rant02:39 Restricted Stock Basics05:40 Vesting and Tax Impact07:37 Withholding Pitfalls and Fixes10:37 Negotiating Restricted Stock12:24 Stock Options Overview14:11 Option Terms and Taxation18:42 Option Negotiation Strategies20:17 Employee Stock Purchase Plans23:12 Avoiding Stock Overconcentration27:14 Leveraging Diversified Portfolios29:51 Wrap Up and Next StepsSupport the show