Stock Settled Appreciation Rights (SSARS)
Business-SSARS aka Stock Settled Appreciation Rights will eventually replace Stock Options as an employee benefit. This is because SSARS reduce dilution. For employees it is essentially a no change phenomenon. They still get the huge advantage of leverage which stock options offer. They also are still faced with what we call the Stock Option Dilemma “If I exercise too soon, I’m liable to lose a fortune if the stock goes up. If I exercise too late, I’m liable to lose the fortune I already have.” SSARS are subject to the same taxation as stock options. For more information on how they work, go to our website http://www.ccmiplan.com/ and click on “Workshops.”


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