Life Event Planning

When certain life events occur, how it will impact your stock compensation may be unclear or event worrisome. Here's what you need to know

Death; Divorce; Marriage; Retirement -> Each Can Have a Large Impact On Your Stock Comp

Life happens; sometimes expectedly and other times not. While we can't help take away some of the stressors that come alongside certain life events, we can at least provide an overview of key things to consider, and the potential impact that certain life events might have.

Death: How it Impacts Your Stock Comp

The death of a recipient/owner of a stock grant has a number of impacts. Company stock-comp policies frequently detail how death may impact your stock comp, but not always. There are also different methods of treatment for vested and unvested shares, acceleration clauses may apply, and more.

For an in-depth guide see: How Death Impacts Your Stock Comp

Disability: How it Impacts Your Stock Comp

A recipient/owner of a stock grant becoming disabled has a number of impacts. Company stock-comp policies frequently detail how death may impact your stock comp, but not always. There are also different methods of treatment for vested and unvested shares, acceleration clauses may apply, and more.

For an in-depth guide see: How Disability Impacts Your Stock Comp

Divorce: How it Impacts Your Stock Comp

When a recipient/owner of a stock grant gets divorced, that event can have a number of impacts. Because the division of assets in divorce can occur in any number of ways, the terms that the two individuals agree on is likely to determine the vast majority of the outcome.

Other factors that can impact how stock-comp is treated include (1) state laws; (2) company stock-comp policies (and transfer restrictions); (3) what stock-comp vested during the time the two individuals were married; (4) and if any options have been exercised. Tax implications for various paths may also need to be taken into account.

For an in-depth guide see: How Divorce Impacts Your Stock Comp

Marriage: How it Impacts Your Stock Comp

Marriage may or may not have much of an impact on stock-comp. If the individuals enter into a prenuptial agreement, that agreement may have an impact in certain situations. The state you live in and your company policies may also have some minor impacts as well (e.g. spousal consent requirements).

For an in-depth guide see: How Marriage Impacts Your Stock Comp

Retirement: How it Impacts Your Stock Comp

When a recipient/owner of a stock grant retires, it can have a number of impacts. Company stock-comp policies frequently detail how retirement may impact your stock comp, but not always. There are also different methods of treatment for vested and unvested shares, acceleration clauses may apply, and more.

For an in-depth guide see: How Retirement Impacts Your Stock Comp