Stock Option Exercising Task

A Stock Option Exercising Task is a stock purchasing task at a pre-determined grant price, regardless of the stock’s price at the time you exercise the option.

• See: Stock Option.

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References

2019

• https://www.fidelity.com/products/stockoptions/exercise.shtml
  • QUOTE: ... Exercising a stock option means [[purchase]ing the issuer’s common stock at the price set by the option (grant price), regardless of the stock’s price at the time you exercise the option. See About Stock Options for more information. ...

2018

• https://www.investopedia.com/managing-wealth/get-most-out-employee-stock-options/
  • QUOTE:
    • Employee stock options can be a lucrative part of an individual's overall compensation package, although not every company offers them.
    • Workers can buy shares at a pre-determined price at a future date, regardless of the price of the stock when the options are exercised.
    • Non-qualified stock options (NSOs) are granted to employees, advisors, and consultants; incentive stock options (ISOs) are for employees only.
    • With NSOs, you pay ordinary income taxes when you exercise the options, and capital gains taxes when you sell the shares.
    • With ISOs, you only pay taxes when you sell the shares, either ordinary income or capital gains, depending on how long you held the shares first.

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