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    Understanding Your Equity Compensation Grants in the New Year

    The beginning of a new year often comes with new equity compensation grants, such as stock options, restricted stock, restricted stock units, or performance shares. To help you maximize the value of these benefits, let’s review the basics for the most common equity grants, how they’re taxed, and the potential benefits of each. 

    The Setting Every Community Up for Retirement Enhancement (SECURE) Act

    On December 20, 2019, the SECURE Act was signed into law. In this article, we will address what the SECURE Act entails and who it affects, as well as provide suggestions on how to plan for the changes that have been instituted.

    The Section 83(b) Election: What It Is, and How You Could Benefit

    What is a Section 83(b) election? Why do so few people decide to use this seemingly tax-favorable election when receiving shares of restricted stock? Here are a few key details to keep in mind.

    New Year’s Resolutions: 5 Tips to Help You Achieve Your Financial Goals

    The beginning of a new year — or in this year’s case, a new decade — is an appropriate time to pause and reflect with renewed positivity and hope on what the future may bring. For me, January is the time of year when I sit down and set personal and professional goals.

    Reflections From a Canoe Trip on the Little Danube

    How a Sunday canoe outing with family members reinforced the importance of financial planning and discipline.

    I grew up in a small town on the Csepel Island, just 15 miles south of Budapest, Hungary. This island is one of many along the Danube River. Growing up in Hungary, we spent our summers by the beaches of the smaller portion of the Danube that was excellent for swimming and boating. During my trip home this summer, my sister decided we should revisit this beautiful area. So she, my 14-year old nephew, and I went on a canoe trip.

    Summer Reading Series 3 of 3 - Strategies for Concentrated Stock

    Donating Concentrated Stock to a Private Foundation
    Presented by Beata Dragovics

    Holders of concentrated stock positions typically understand the complexities and risks associated with owning these shares; however, they sometimes struggle to determine the best course of action for reducing those risks. For those with philanthropic intent, funding a private foundation with their concentrated stock positions may be worth considering, as this can provide benefits both to the shareholder and to charitable organizations.

    Summer Reading Series 2 of 3 - Strategies for Concentrated Stock

    Concentrated Positions and Donor-Advised Funds
    Presented by Beata Dragovics

    Holders of concentrated stock positions have several options for mitigating the risk associated with owning these shares. Those who are charitably inclined may view a donor-advised fund as a particularly attractive solution because of its ease, convenience, and overall benefits.

    Summer Reading Series 1 of 3 - Strategies for Concentrated Stock

    Selling a Concentrated Position Using a Charitable Remainder Trust
    Presented by Beata Dragovics

    Multiple strategies are available to help owners of concentrated stock positions mitigate risk and minimize taxes, but a charitable remainder trust (CRT) could do those things and more. 

    Will My Company be Acquired or Go Public?

    Originally published at MassBioHQ on October 24, 2018

    New Rules Allow For 5-Year Tax Deferral on Stock Option and RSU Exercise for Privately Held Companies

    Many of my clients who work for privately held life sciences companies receive non-qualified stock options (NQSOs) and restricted stock units (RSUs) as part of their compensation packages. These are great tools for building wealth.

    However, as with all forms of equity compensation, you need to be aware of the tax ramifications. The good news when it comes to NQSOs and RSUs is that, thanks to last year’s Tax Cuts & Jobs Act, you can now defer taxes on the exercise of these investments for up to five years.

    4 Financial Planning Tips for Managing Concentrated Stock Positions

    Over the past ten years, pharma and biotechnology companies have increased their reliance on performance-based awards and RSUs. As a result, employees from mid management to C-suite levels often end up owning highly concentrated stock positions. 

    If you own a concentrated stock position, consider these tips to help manage risk and ensure you remain on track to meet your financial goals: