Equity Compensation 101: The 7 Different Types of Equity Awards
Posted on
October 26, 2021
Estimated Time to Read: 7-10 minutes If you don’t understand all the details of your equity compensation plan, you’re not alone. It’s a complicated topic. However, a thorough understanding can help you get the most out of your equity awards—and possibly reduce the sting of taxes along the way! Before strategizing, you need to understand the equity awards you currently hold or expect to receive. Let’s take a look at the seven types of equity awards your employer may grant and how they work. Share-Based Awards These first three award types may be worth something at vesting (so long as the company still exists),...