Wealth Adviser Daily Briefing: Coaching Executives on Their Way Out | Wall Street Journal by Michael Wursthorn
Published: August 12 2015
As merger and acquisition activity continues its frenzied pace, company executives can find themselves suddenly unemployed at the end of a deal. Several top executives at Kraft Foods Group Inc., for example, were given pink slips in recent months ahead of the company’s combination with H.J. Heinz Co. When a job loss hits, quick action and professional assistance may help high earners maximize the value of certain work-related benefits and avoid costly areas, writes Wealth Adviser at WSJ.com. For instance, tax rules require incentive stock options to be exercised within three months of leaving a company to retain favorable tax treatment, but it can be advantageous to negotiate the terms of any nonqualified options. Advisers also offer pointers on a tax break for company stock in a 401(k) and the value of converting group life-insurance coverage for people in poor health.