Stock Options and Other Non-Cash Compensation

Receive Your Proper Share of Marital Wealth

In many divorces today, stock options and incentive pay account for a significant portion of the marital wealth to be divided. Failing to properly capture non-cash compensation can have a tremendously negative effect on child and spousal support.

We can value any option contract no matter how complex it is and we can testify results with high levels of skill and credibility. Better than a simple Black Scholes analysis, we are able to understand the complex volatility and compound option considerations that can have a significant effect on option value. We are experienced at collecting and evaluating the right compensation information as well as ensuring that it is considered as a part of the divorce process.

Key Issues:

  • Stock option valuation goes beyond the question of whether they are “under water” or not. A truism of finance is that every option has a value, even those that are below their strike prices.
  • Options have very unique tax characteristics especially in a divorce.
  • Options have special peculiarities when it comes to valuing them for support purposes.

Click here for help valuing stock options and incentive pay.