Comments on: My Company’s Stock Purchase Plan, Take 3 http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/ A premier personal finance blog, established 2003. Within, Flexo discusses his own experiences with money, and he and other authors comment on a wide range of personal finance topics. Mon, 13 Feb 2012 01:22:47 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Cujo http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/comment-page-1/#comment-71172 Cujo Wed, 22 Nov 2006 12:30:11 +0000 http://www.consumerismcommentary.com/2006/11/14/my-companys-stock-purchase-plan-take-3/#comment-71172 I hear you - but don't let that stop you from doing the ESPP. Bear in mind that the annual return on this is far more than 15% - for example, the witholding from the last paycheck of the period makes 15% in two weeks! Just don't be greedy - if you don't sell immediately at the end of the period, this turns from a sure thing into a gamble. If you were going to buy stock in your company anyway, then go ahead, but don't let the discount sucker you into buying and holding stock you otherwise wouldn't. I hear you – but don’t let that stop you from doing the ESPP. Bear in mind that the annual return on this is far more than 15% – for example, the witholding from the last paycheck of the period makes 15% in two weeks!

Just don’t be greedy – if you don’t sell immediately at the end of the period, this turns from a sure thing into a gamble. If you were going to buy stock in your company anyway, then go ahead, but don’t let the discount sucker you into buying and holding stock you otherwise wouldn’t.

]]> By: Boatman http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/comment-page-1/#comment-70374 Boatman Fri, 17 Nov 2006 03:29:34 +0000 http://www.consumerismcommentary.com/2006/11/14/my-companys-stock-purchase-plan-take-3/#comment-70374 ESPP's are wicked to reconcile at tax time if you've sold any. ESPP’s are wicked to reconcile at tax time if you’ve sold any.

]]> By: Matt http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/comment-page-1/#comment-70080 Matt Tue, 14 Nov 2006 15:34:57 +0000 http://www.consumerismcommentary.com/2006/11/14/my-companys-stock-purchase-plan-take-3/#comment-70080 Definitely a good choice, especially if the stock prices is likely to go up. But instead of leaning on your savings I would see if I could cut back on my spending in the interim. Definitely a good choice, especially if the stock prices is likely to go up. But instead of leaning on your savings I would see if I could cut back on my spending in the interim.

]]> By: Frugal Frugalson http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/comment-page-1/#comment-70079 Frugal Frugalson Tue, 14 Nov 2006 15:25:07 +0000 http://www.consumerismcommentary.com/2006/11/14/my-companys-stock-purchase-plan-take-3/#comment-70079 My former employer offered the same great 15% deal and I have no regrets about participating in the program (stock is up almost 600%). In fact, I wish I had purchased the maximum of 10% for the entire time I worked there! There is some different tax handling involved due to the 15% discount, but I don't recall all of the details. That is probably why the two year holding period was suggested to you... My former employer offered the same great 15% deal and I have no regrets about participating in the program (stock is up almost 600%). In fact, I wish I had purchased the maximum of 10% for the entire time I worked there!

There is some different tax handling involved due to the 15% discount, but I don’t recall all of the details. That is probably why the two year holding period was suggested to you…

]]> By: samerwriter http://www.consumerismcommentary.com/my-companys-stock-purchase-plan-take-3/comment-page-1/#comment-70078 samerwriter Tue, 14 Nov 2006 15:21:51 +0000 http://www.consumerismcommentary.com/2006/11/14/my-companys-stock-purchase-plan-take-3/#comment-70078 Good choice. It's nice that your plan is set up quarterly -- that cuts way back on how long you'll need to subsidize your income from savings. The only problem I have with these programs is that they do complicate your taxes somewhat. Good choice. It’s nice that your plan is set up quarterly — that cuts way back on how long you’ll need to subsidize your income from savings.

The only problem I have with these programs is that they do complicate your taxes somewhat.

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