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LSDefine

Simple English definitions for legal terms

NQSO

Read a random definition: ad reparationem et sustentationem

A quick definition of NQSO:

Term: NQSO

Definition: NQSO stands for nonqualified stock option. It is a type of stock option that is not eligible for special tax treatment. When an employee exercises a nonqualified stock option, they must pay ordinary income tax on the difference between the exercise price and the fair market value of the stock at the time of exercise. Nonqualified stock options are often used as a form of compensation by employers to incentivize employees.

A more thorough explanation:

NQSO

NQSO stands for nonqualified stock option. It is a type of stock option that is not eligible for special tax treatment. Nonqualified stock options are usually granted to employees as a form of compensation.

An employee is granted 1,000 nonqualified stock options at a strike price of $10 per share. The current market price of the stock is $20 per share. The employee exercises the options when the stock price reaches $25 per share. The employee will pay taxes on the difference between the strike price and the market price at the time of exercise, which is $15 per share.

This example illustrates how nonqualified stock options work. The employee has the right to purchase the stock at a discounted price, but will have to pay taxes on the difference between the strike price and the market price at the time of exercise.

NPV | N.R.

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HopefullyInLawSchool
13:48
Some schools rject
13:49
Thanks! I couldn't find any reddit thread about it lol
13:49
but just means now I have to wait for the rejection from Davis
glovediedthisishismom
13:53
i just wanna rock
glovediedthisishismom
13:53
bodyadaya
13:53
let it rock
14:17
How are the vibes heading into thanksgiving yall?
HopefullyInLawSchool
14:17
@Law-Guy Im feeling kinda happy I applied YM to UCI hoping it helps (:
Wanna give some head
soap
14:18
Cornell
14:19
@HopefullyinLawSchool What's YM?
14:19
oh no
HopefullyInLawSchool
14:19
you mom
WorthlessAttractiveZombie
14:19
Ouch
HopefullyInLawSchool
14:19
your*
14:19
I fear I realized too late
babycat
14:20
another victim claimed
concorde
14:22
pwned
14:22
Might have to send in addendums for that
Dkk
14:26
No wave, so sad.
WorthlessAttractiveZombie
14:28
What are the odds that berk releases later today?
babycat
14:28
@Dkk: And here I thought you were a prophet. Smh.
14:33
@WorthlessAttractiveZombie: 4
WorthlessAttractiveZombie
14:35
@EvolBunny: I will take the odds of 4, very promising
14:38
I'm too drunk to taste this chicken
Dkk
14:38
Lol, I suck I guess. @babycat
14:40
suck what? (:
Dkk
14:42
suck at predicting
14:43
boooooo
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