Non Qualified Stock Options

Administration Software

Global Shares’ Non Qualified Stock Options Services

Global Shares’ automated and integrated Non Qualified Stock Options software ensures minimal ongoing work for your company once setup on our systems.

Global Shares’ non qualified stock option software takes into account all of the following and much more:

• Automated non qualified vesting service which dynamically updates the vested and unvested balances on a non qualified stock option.
• Full overview on all non qualified stock option balances including granted, vested, unvested, exercisable, expired, forfeited and exercised.
• Dynamic integration with the stock option termination module which updates the non qualified stock options depending on termination type.
• See all transaction information associated with the non qualified stock option whether they are exercise, forfeiture or expiration transactions and drill down to see the full detail on those transactions.
• View associated black scholes valuations against non qualified stock options that are used for financial reporting.
• Track any type of grant label against your non qualified stock options for reporting purposes.
• Show all of the above non qualified stock option information to employees in intuitive and friendly equity statements.

“Being able to centrally access every piece of information associated with a non qualified stock option, whether it is related to the grant balances or the financial reporting, is critical to the success of administering nonqualified stock options”

  • NQSO Tax

    Calculating NQSO tax is one of the most critical components when it comes to managing non qualified stock options. Global Shares administration system has dynamic linkage to the latest tax rates worldwide with a particular emphasis on USA taxation. Our tax tables take into account employee movement across US states and also track year to date taxes already paid either as part of prior nonqualified stock option exercises or from other means.
    The type of exercise can also impact non qualified stock option income tax liability and the Global Shares Equity software ensures that this is all monitored and calculated correctly.
    • For an exercise and hold all exercise type, the difference between the grant price and the fair market value at exercise is reported as ordinary income. This will in turn establish the new cost basis for the acquired shares coming from a non qualified stock option exercise. If the stock is then held for one year from exercise date, upon selling the stock, the difference from your cost basis and sale price is treated as capital gains income. If you sell your stock prior to the one year anniversary of the exercise date the difference between the sale price and the cost basis is ordinary income.
    • For a Same Day Sale non qualified stock option exercise, the difference between the sale price and the grant price is reported as ordinary income.

  • Stock Option Agreement

    Stock Option Agreements can be dynamically created for all new non qualified stock options within minutes and then displayed to participants in a user friendly format with all associated details from which the participant can either choose to accept or decline the stock option agreement.

    A full audit trail of the stock option agreement acceptance is recorded for both the stock administration and the participant so that they can review at any point.

  • Have questions about our Non Qualified Stock Options software & services? Our experts would be delighted to discuss your stock plan requirements.

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