I am actually writing on behalf of my wife on this one. We are pretty financially savvy in the sense we max out our 401ks and Roths each year. However, we are completely lost when it comes to stock options granted by an employer. I assume the best bet would be for her to talk with HR for a better understanding, but I don't think their local HR is quite equipped with this knowledge. There has been some A&Ms going on so there is a real shuffle with the organization going on.
In any case, she receives stock options as part of her salary. There is quite a hefty amount sitting in the e-Trade account with a current POTENTIAL VALUE of $21,320.52, which seems insane to us, seeing as she hasn't even been there a full year yet. I don't know if this is a true value or what - because I have no idea how these options operate.
This warning message pops up when we log into the account: http://ift.tt/2rQxqXl
It looks like she needs to decide to either Withhold Units or Pay by Check ... What does both option mean, in terms of this type of investment? What is the best option to take? Pros/Cons?
Also, any ELI5 on this type of investment holding would be appreciated as well, but the primary concern right now is choosing the correct action between Withholding Units -and- Pay by Check.
Submitted June 06, 2017 at 10:12AM by hoorayb33r http://ift.tt/2sOdmCo
