Dan Zajac, philadelphia financial advisor

Is a Non-Qualified Deferred Compensation Plan a Good Deal?

It’s common for employees that earn considerable income to be offered a non-qualified deferred compensation plan (NQDC). Simply put, an NQDC plan allows a plan participant to defer receiving a portion of income in the year it is earned, to later receive this income in the future. The deferral of income is also, in effect, […]

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Dan Zajac, philadelphia financial advisor

Exploring the Details of A Cash Exercise of Stock Options

When it’s time to exercise your employer-provided stock options, you generally have one of two options: a cash exercise or a cashless exercise. You may choose a cash exercise in the hope of achieving preferential long-term capital gains treatment on further appreciation of the stock. In addition, you choose a cash exercise in order to […]

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The Math Behind a Cashless Exercise of Non-Qualified Stock Options

When the time comes to exercise non-qualified stock options, the question of whether to perform a cash exercise or a cashless exercise is a common one. In many cases, option holders default into a cashless exercise—and for good reason. Among other things, a cashless exercise may be an easy option and may result in zero […]

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Dan Zajac, philadelphia financial advisor

Comparing the Solo(k) and SEP-IRA for the Self-Employed

For those who are self-employed, the question of how to save for retirement is a frequent one. Fortunately, the answer isn’t all that difficult. Establishing a retirement plan as a self-employed individual can be easy. In fact, it can be easy AND more advantageous than a typical employer-sponsored 401(k) plan. This is because as the […]

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January 2017 Market Recap

With a country that seems divided by political lines, there is one thing nearly everyone can agree on: things under President Trump have been anything but uneventful. The President wasted little time in the first days of his term. Beginning with an executive order intended to start the process of repealing Obamacare, President Trump continued […]

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Exploring Tax Rules for Non-Qualified Stock Options

On the surface, the tax rules associated with non-qualified stock options are relatively straightforward. Upon receipt of non-qualified stock options, no taxes are due. Furthermore, these stock options are not taxable until you exercise your shares. This “exercise control” allows the option owner to defer income tax while potentially creating considerable wealth, should the value […]

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Dan Zajac, philadelphia financial advisor

What is a Roth Conversion and Why I Love It

Roth IRAs may be fantastic financial planning and investment vehicles for many reasons.  Specifically, their tax-deferred growth and tax-free income features make them particularly attractive to savers of all ages and incomes. Unfortunately Roth IRAs were not always a readily available option for everyone.   In fact, the rules for contributing to a Roth IRA were […]

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Dan Zajac, philadelphia financial advisor

Selling Incentive Stock Option Shares To Accelerate Tax Credits

Incentive stock options may provide for the opportunity to pay taxes on the gain at long term capital gains rates instead of at ordinary income rates if exercised following the rules for a qualifying disposition.  Because of this potential tax advantage, many will attempt to meet the standard for qualifying in order to “save” on […]

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Dan Zajac, philadelphia financial advisor

How to ROTH IRA at Any Age or Income

ROTH IRAs can be a fantastic part of any financial plan. In fact, they can be a good fit for savers both young and old, pre-retirees and retirees, and low and high wage earners. This is because ROTH IRAs aren’t a one-size-fits-all model. They have features that can benefit any age and any demography. But […]

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Dan Zajac, philadelphia financial advisor

What You Should Know about Employee Stock Purchase Plans (ESPP)

An Employee Stock Purchase Plan (ESPP) is an employee benefit that often allows employees to purchase company stock at a discount based on the fair market value. This discount can be as high as 15%. Generally, employee stock purchase plans are offered in an effort to incentivize employees. Over time, with regular and consistent participation, […]

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