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Human resources and labor relations

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Deferring taxation on restricted stock awards, nonqualified stock options and cash awards

Article Abstract:

Companies can help employees defer taxation on compensation through stock-based compensation. A number of companies choose stock-based compensation to augment cash compensation and are given to employees as rewards or incentives. Stocks may come in nonqualified stock options (NQSO) or in incentive stock options (ISO). The NQSO is taxed based on ordinary income tax rates while the ISO is taxed upon sale at the capital gains rate. The NQSO may be shifted into a nonqualified deferred compensation scheme to put off taxation on profits at a later time.

Author: Longnecker, Brent M., Jiacomin, Danielle, King, Cara
Publisher: International Society of Certified Employee Benefit Specialists
Publication Name: Benefits Quarterly
Subject: Human resources and labor relations
ISSN: 8756-1263
Year: 1998
Pension Funds & Benefit Plans, Pension Funds, Retirement Benefits, Management, Taxation, Pensions, Deferred compensation

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Separation anxiety: will you lose touch with employees by outsourcing?

Article Abstract:

Many employers are apprehensive about adopting the outsourcing concept for employee benefits, primarily because of its perceived effect on employer-employee communication. Contrary to such concerns, outsourcing brings communication obligations as well as opportunities to employers. In fact, a new type of strategic employee communication is instituted when the outsourcing concept is introduced. Outsourcing benefits administration gives rise to more opportunities for continuing employee communication.

Author: Rhodes, Wendy
Publisher: International Society of Certified Employee Benefit Specialists
Publication Name: Benefits Quarterly
Subject: Human resources and labor relations
ISSN: 8756-1263
Year: 1997
Employee Benefits & Services, Employee Benefits Management Svcs, Third Party Administration of Insurance and Pension Funds, Analysis, Human resource management, Labor relations, Employee benefits, Outsourcing, Organizational communication, Employee benefits management services

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