employee share option scheme
A type of share option scheme where the employee is granted an option to acquire shares at the end of the option period for the price at the date the option is granted. If the share price has moved up by then, the employee will have the benefit of the difference in price.
Related links

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Look at other dictionaries:

  • share option scheme — A scheme whereby an employee initially acquires an option to subscribe for shares of the company at some future date. For unapproved schemes, these must not, for tax reasons, be exercisable greater than seven years from the date of the grant.… …   Law dictionary

  • savings related share option scheme — An approved share option scheme established by an employer for the benefit of executives or other employees. The Inland Revenue has detailed rules regarding the income tax and capital gains tax chargeable to individuals benefiting from such a… …   Accounting dictionary

  • savings related share option scheme — An approved share option scheme established by an employer for the benefit of executives or other employees. HM Customs and Revenue has detailed rules regarding the income tax and capital gains tax chargeable to individuals benefiting from such a …   Big dictionary of business and management

  • Approved Savings-Related Share Option Scheme — A share option scheme linked to a savings contract taken out usually with our building society governed by the Income and Corporation Taxes Act 1988. The limits to the amount that may be saved and the number of shares over which an option may be… …   Law dictionary

  • savings related share option scheme — See SAYE option scheme. savings related share option scheme. Related links employee share ownership plan (ESOP) Practical Law Dictionary. Glossary of UK, US and international legal terms …   Law dictionary

  • share incentive scheme — Any scheme in which employees who achieve personal or group performance targets are rewarded with shares in the company. There are many different types of scheme. In recent years, some companies have been severely criticized by shareholders for… …   Accounting dictionary

  • share incentive scheme — Any scheme in which employees who achieve personal or group performance targets are rewarded with shares in the company. There are many different types of scheme. In recent years, some companies have been severely criticized by shareholders for… …   Big dictionary of business and management

  • employee share ownership plan — ESOP A method of providing the employees of a company with shares in the company. The ESOP buys shares in its sponsoring company, usually with assistance from the company concerned. The shares are ultimately made available to employees, usually… …   Accounting dictionary

  • employee share ownership trust — ESOT A trust set up by a UK company, under the provisions introduced in 1989, to acquire shares in the company and distribute them to the employees. The company s payments to the trust are tax deductible. The trust deed sets out the specified… …   Accounting dictionary

  • employee share scheme — a scheme for sharing company profits with employees with the object of conferring on them a participation in the company in the hope of engendering greater commitment from them. Schemes operate either by distributing shares already paid up by the …   Law dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”