One of the measures taken by companies and organizations to save money is denying their employees stock options. According to Jeremy Goldstein, a financial expert there also exist other reasons that have made companies stop providing stock options to their employees apart from the need to save money. The other reasons include the fluctuating nature of stock values that denies employees the opportunity of using the option. Secondly, the option is tedious since it leads to burdens on accounting and surpasses financial benefits. Another reason is the fact that employees are cautious and aware of the current economic regressions that have left the options with a lower value.
Jeremy Goldstein advice companies to have alternative options when they do not want to abandon the stock options. To him, the Knockout option is the best in the market. The Knock stock option is similar to the conventional stock options because it also has time limits. However, employees often let go of the Knock out option when its shares fall below a certain amount.
Interestingly, the knockout option has advantages. One of the merits is that it helps companies with personalized compensation policies for their executive employees from paying more taxes thereby saving money. The option also eliminates complexities that accrue from stock compensation.
Jeremy Goldstein is a lawyer and an entrepreneur. He co-founded the Jeremy L. Goldstein & Associate LLC. He has a great wealth of experience having practiced law for over 15 years. Jeremy studied at the Pingry High School.
Mr. Goldstein attended Cornell University where he graduated with a Bachelor of Arts degree. He also holds a Masters of Arts from the University of Chicago. He graduated with a Juris Doctor in Law from the New York University’s School of Law. He is a member of the New York University’s Professional Advisory Committee. He is also a financial advisor.
Connect with Jeremy Goldstein on LinkedIn.