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What is Equity Compensation & How It Work?

HR Lineup

Equity compensation is a powerful tool used by companies to attract, retain, and incentivize employees. Unlike traditional forms of compensation such as salary and bonuses, equity compensation grants employees ownership stakes in the company. Once the restrictions expire, the shares become fully owned by the employee.

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How To Build An Employee Stock Purchase Plan

Vantage Circle

If not, I highly suggest getting started with something simple yet effective, like the employee stock purchase plan or ESPP. An employee stock purchase plan allows employees to buy a company's stock at a discount. The discount is paid for with payroll deductions. Types Of Employee Stock Purchase Plan.