While rising stock values are generally seen as positive, companies that have high stock prices and offer broad equity to their employees may face certain challenges. One such challenge arises during sell-to-cover tax withholding at vesting events, where participants are typically required to sell a whole share on the market to generate cash for tax payment, with the remaining amount being paid to the employee. However, many employees would prefer to keep the remaining value in company shares instead of receiving cash for the difference.

Hear experts from Amazon, Microsoft, and Moss Adams share their insights and describe the journey towards implementing a fractional share at vest offering. Their innovative approaches allow participants to sell only a portion of a share to cover their tax obligations at vesting, enabling employees to retain a higher ownership stake in the company. This strategic shift offers numerous advantages to employees, empowering them to benefit from increased company ownership while effectively managing their tax liabilities.

Attendees will learn:

• The rationale for allowing Fractional Shares at vesting
• The journey to implementing Fractional Shares at vesting
• Lessons learned and initial perspectives on the implementation process