What are phantom stock plans?

A phantom stock plan is a deferred compensation plan that awards the employee a unit measured by the value of a share of a company's common stock, or, in the case of a limited liability company, by the value of an LLC unit. However, unlike actual stock, the award does not confer equity ownership in the company.

Can you sell phantom stock?

Since phantom shares are not the same as real stock, you don't have to worry about employees voting down key decisions, such as selling the company.

What is a phantom stock option plan?

A phantom stock plan is a deferred compensation plan that awards the employee a unit measured by the value of a share of a company's common stock, or, in the case of a limited liability company, by the value of an LLC unit. However, unlike actual stock, the award does not confer equity ownership in the company.

US Legal Forms
Localized Forms
Nevada
Clark
Proposed book value phantom stock plan with appendices for First...

Clark Nevada Proposed book value phantom stock plan with appendices for First Florida Bank, Inc.

Name: Clark Nevada Proposed book value phantom stock plan with appendices for First Florida Bank, Inc.
Brand: US Legal Forms
Rating: 4.78 (343 reviews)

Category:

Corporations - Public - Incentive Compensation Plans

State:

Multi-State

County:

Clark

Control #:

US-CC-20-161K

Format:

Instant download

Description

This is a multi-state form covering the subject matter of the title.

Amendment of Right of Way of Description (...

View this form

Motion to Release Personal Property

View this form

Employee Code of Conduct for Business

View this form

Quitclaim Deed - Timeshare from Two Indivi...

View this form

How to fill out Clark Nevada Proposed Book Value Phantom Stock Plan With Appendices For First Florida Bank, Inc.?

How much time does it usually take you to create a legal document? Considering that every state has its laws and regulations for every life sphere, locating a Clark Proposed book value phantom stock plan with appendices for First Florida Bank, Inc. meeting all local requirements can be tiring, and ordering it from a professional lawyer is often costly. Numerous online services offer the most popular state-specific templates for download, but using the US Legal Forms library is most beneficial.

US Legal Forms is the most comprehensive online catalog of templates, grouped by states and areas of use. In addition to the Clark Proposed book value phantom stock plan with appendices for First Florida Bank, Inc., here you can get any specific document to run your business or personal deeds, complying with your county requirements. Professionals verify all samples for their actuality, so you can be certain to prepare your documentation properly.

Using the service is remarkably simple. If you already have an account on the platform and your subscription is valid, you only need to log in, choose the needed form, and download it. You can get the file in your profile at any time later on. Otherwise, if you are new to the website, there will be some extra steps to complete before you obtain your Clark Proposed book value phantom stock plan with appendices for First Florida Bank, Inc.:

Check the content of the page you’re on.
Read the description of the template or Preview it (if available).
Look for another document utilizing the related option in the header.
Click Buy Now when you’re certain in the selected file.
Choose the subscription plan that suits you most.
Create an account on the platform or log in to proceed to payment options.
Make a payment via PalPal or with your credit card.
Change the file format if needed.
Click Download to save the Clark Proposed book value phantom stock plan with appendices for First Florida Bank, Inc..
Print the doc or use any preferred online editor to fill it out electronically.

No matter how many times you need to use the acquired document, you can locate all the samples you’ve ever saved in your profile by opening the My Forms tab. Give it a try!

Form Rating

4.78

Satisfied(343)

Form popularity

FAQ

Phantom stock plans do not result in shareholder dilution because actual shares are not being transferred. Employees do not become owners. Instead, they are potential cash beneficiaries in the underlying company value.

Phantom stock is not a good idea if the company is planning on issuing them to most or all employees, especially if the shares will be paid out when the employee leaves the company or retires. In that case, phantom shares may be ruled illegal because of the Employee Retirement Income and Security Act (ERISA).

A phantom stock plan is a deferred compensation plan that awards the employee a unit measured by the value of a share of a company's common stock, or, in the case of a limited liability company, by the value of an LLC unit. However, unlike actual stock, the award does not confer equity ownership in the company.

The phantom stock becomes a liability that the company must eventually convert to either cash or company stock. In privately held businesses, company stock is rarely an option. employees like these plans as any phantom stock they receive is not taxable until converted into cash by the company.

Since phantom shares are not the same as real stock, you don't have to worry about employees voting down key decisions, such as selling the company.

To the extent that phantom stock is considered a security, private companies generally rely on the exemption from registration under Rule 701 of the Securities Act of 1933, which allows a company to offer securities to employees under a written compensatory plan if: (1) certain disclosure requirements are met and (2)

The answer involves two variables: (a) the presumed value of the company, and (b) the number of shares to be used in the plan. Once these two answers are known, the phantom share price is calculated as the former (the value) divided by the latter (the number of shares).

Phantom stock is considered deferred compensation and is therefore subject to Section 409A, unless an exemption applies. As such, where an exemption does not apply, the payment triggers must comply with Section 409A.

More info

From the Old Terrorism to the New: The First World Trade Center Bombing 71. 3.2. Adaptation—and Nonadaptation— . . .The first edition of the Sea Wolf came out in 1904, and is collectible. This later edition would not be appropriate for a rare book auction. Impairments, employee stock options, and accounting for income taxes. BCCI's losses and Price Waterhouse agreed to certify BCCI's books. A complete, official history of airpower's employment in the war in Southeast Asia. Miller is a doctoral candidate in the Graduate Degree Program in Ecology at Colorado. Plastic is for "changeable, malleable, modifiable.

Clark Nevada Proposed book value phantom stock plan with appendices for First Florida Bank, Inc.

Description

Related forms

Viewed forms

How to fill out Clark Nevada Proposed Book Value Phantom Stock Plan With Appendices For First Florida Bank, Inc.?

Show more info

Form Rating

Form popularity

FAQ

Can phantom shares be diluted?

Should I accept phantom stock?

Is phantom stock a good idea?

What are phantom stock plans?

What happens to phantom stock when a company goes public?

Can you sell phantom stock?

Is phantom stock a security?

How do you value phantom stock?

Is a phantom stock plan subject to 409A?

What is a phantom stock option plan?

More info

Trusted and secure by over 3 million people of the world’s leading companies