18-402C 18-402C . . . Directors Stock Appreciation Rights Plan which provides for automatic grants of 10,000 SARs to each Non-employee director on effective date of Plan and 1,000 additional SARs on each March 1st thereafter. Newly elected Non-employee Directors will be granted 10,000 SARs on date of their election
Kentucky Directors Stock Appreciation Rights Plan of American Annuity Group, Inc.
Category:
State:
Multi-State
Control #:
US-CC-18-402C
Format:
Word;
Rich Text
Instant download
Description
Free preview
How to fill out Directors Stock Appreciation Rights Plan Of American Annuity Group, Inc.?
Finding the right lawful document web template could be a battle. Of course, there are tons of templates available on the Internet, but how do you get the lawful kind you need? Take advantage of the US Legal Forms website. The support offers a huge number of templates, including the Kentucky Directors Stock Appreciation Rights Plan of American Annuity Group, Inc., which you can use for company and personal requires. Each of the kinds are examined by experts and satisfy federal and state specifications.
In case you are previously registered, log in to your accounts and click the Obtain switch to get the Kentucky Directors Stock Appreciation Rights Plan of American Annuity Group, Inc.. Make use of your accounts to check with the lawful kinds you may have ordered in the past. Go to the My Forms tab of your own accounts and acquire one more backup of your document you need.
In case you are a whole new customer of US Legal Forms, here are easy recommendations that you should comply with:
- First, make certain you have chosen the proper kind for the metropolis/area. You can check out the form using the Review switch and look at the form description to make sure this is the right one for you.
- In the event the kind is not going to satisfy your requirements, make use of the Seach industry to obtain the appropriate kind.
- When you are certain that the form is proper, go through the Purchase now switch to get the kind.
- Choose the costs plan you need and enter the required information. Design your accounts and buy your order utilizing your PayPal accounts or bank card.
- Select the data file format and obtain the lawful document web template to your gadget.
- Full, edit and print and sign the obtained Kentucky Directors Stock Appreciation Rights Plan of American Annuity Group, Inc..
US Legal Forms is the largest library of lawful kinds that you can find numerous document templates. Take advantage of the company to obtain skillfully-created documents that comply with state specifications.
Form popularity
FAQ
SARs are taxed the same way as non-qualified stock options (NSOs). There are no tax consequences of any kind on either the grant date or when they are vested. However, participants must recognize ordinary income on the spread at the time of exercise. 2 Most employers will also withhold supplemental federal income tax.
The rights are valued once, divided evenly over the vesting period and marked as rights paid in capital. For example, a company that issues $5,000 in rights with a five-year vesting period would debit compensation expense for $1,000 and credit rights paid in capital for $1,000 once a year for five years.
What Are the Advantages of Stock Appreciation Rights? One of the benefits of SARs is that there is no money required to exercise them for cash. An employee automatically receives the proceeds from an exercise without having to pay for the cost of the shares.
Key Points: Stock appreciation rights are granted as part of a compensation package. They're issued with a grant date, exercise price, vesting date, and expiration date. The grant of an SAR is a non-taxable event.
Stock Appreciation Right (SAR) entitles an employee, who is a shareholder in a company, to a cash payment proportionate to the appreciation of stock traded on a public exchange market. SAR programs provide companies with the flexibility to structure the compensation scheme in a way that suits their beneficiaries.
There are no U.S. federal income tax consequences when an employee is granted SARs. However, at exercise an employee will recognize compensation income on the fair market value of the amount received at vesting. An employer is generally obligated to withhold taxes.
In accounting, the process that the company uses to record SAR agreements is to accrue a liability and recognize expense over the term of service. At the end of the service period, the liability is settled in cash or stock (or both).
Once a SAR vests, an employee can exercise it at any time prior to its expiration. The proceeds will be paid either in cash, shares, or a combination of cash and shares depending on the rules of an employee's plan.