Stock options after a layoff

The exercise window usually starts the day your employment ends, not the day you find out.

Ask for four documents

Grant agreements, plan document, vested/unvested statement as of the termination date, and the latest 409A valuation.

Do the maths

Total strike cost plus tax versus what you can afford to lose. Partial exercise is almost always available.

Negotiate

Extended exercise windows and vesting acceleration are sometimes negotiable in severance, especially in group layoffs.

This article is educational and not tax, legal, or financial advice. Talk to a CPA or tax advisor about your specific situation.

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