• GUIDES & BROCHURES

How to Turn Restricted Stock Units Into an Effective Tax Planning Tool

Stock options lost some of their appeal when the FASB required expense recognition. In their place, Restricted Stock has risen in popularity. And it’s easy to understand why. From a shareholder’s perspective, Restricted Stock offers a significant benefit: it is extremely effective at motivating key employees to think and act like owners.

When a restricted stock award vests, the employee or director who received the restricted stock becomes an owner of the company.  But this comes with a significant tax cost, which could be deferred.  We discuss how to do this in our latest brochure, “Restricted Stock Units (RSUs) in a Nonqualified Deferred Compensation Plan—An Effective Tax Planning Tool for Future Financial Needs.”

Importantly, if an employee departs before the vesting period lapses, then he forfeits the stock. This glue-in-the-seat effect helps company’s hold on to their best people. There’s much more to learn about the impact of RSUs in your executive benefits program so download this brochure today and retain your best and brightest.

Leverage the full power of RSUs to help you attract, retain and reward high-performance executives so important to your success. Now you can read exactly what to do to get the benefits of RSUs, while controlling the tax consequences.