1 CPE Performance Equity Awards are becoming increasingly more popular, especially with public entities. However, private companies are also adopting policies to incorporate performance awards as part of their overall compensation strategies.
This course is designed to provide you with a fundamental understanding of Performance Equity Awards, when they are most appropriate to implement, and the accounting treatment of these awards (and differences) from both a FAS and IFRS perspective.
We will cover:
- Specific examples of Performance-Based Equity Awards including restricted stock and options
- Step-by-step accounting treatments, from valuation to expense entries
- The most popular Performance-Based Equity Award revisions to plan
- Less common practices and how these can be difficult to track and account for in the financial statements
Course Series
This course is included in the following series:
10 CoursesFinance for Entrepreneurs
- Start-up Equity and Cap Table Basics
- Understanding Performance-Based Equity Awards
- Accounting 101: How To Do Basic Accounting In One Hour
- Learn Finance Principles in 1 Hour
- Financial Modeling Using Excel
- The Evolution of a Great Spreadsheet Report - How to Effectively Present Numbers in the Business World
- Creating a Winning Pitch for Venture Capital Investors
- Venture Capital Valuation Analysis Method
- Enterprise Risk Management 101
- The IPO Preparation Process - Preparing a Company to Access the Public Markets
Learning Objectives
- Describe what performance equity awards are and how they are used
- Articulate the most common awards utilized, including the pros and cons
- Review accounting for performance equity, including FASB and IFRS
- Review modifications, accelerations and other factors that affect payout vesting
- Describe new regulatory changes
Last updated/reviewed: March 8, 2024
41 Reviews (194 ratings)
Reviews
Anonymous
(VP, WFM and BusTech)
The instructor provided a thorough overview of performance based equity awards. I particularly enjoyed reviewing the various valuation methodologies and regulatory implications. As a recipient of equity-based stock awards, which are included within my total rewards comp package, this course also provided valuable insights into how LTIPs are structured and governed.
Anonymous
(Experienced Manager)
Lots of information on each slide. However, it's hard to digest since presenter reads each bullet point, almost verbatim. Good repetition of key concepts. Would like to see less words and more visual displays of information (ex. tabular comparisons of "Type I, II, III" etc.) with detailed information in a reference resource (like the glossary).
Janine Korovesis
(Controller at Google)
The content was good and very comprehensive, but overall I think they would land better if they were accompanied by mathematical / illustrative examples. It's hard to get the full picture with just words and discussion.
Anonymous
(HR Director)
This lesson was my first time learning about performance based equity awards. I have not yet worked with a company that offers this, but it is important to have some knowledge about this for the future.
Anonymous
(Owner and Founder)
It's nice to see a course on performance based equity awards. To be honest with you, I have never worked for a company until now; but, the performance target is on churn and keeping that at bay.
Cara Jones
(Accounting Manager at Google)
the content assumed more familiarity with ASC 718 topics. Would have been helpful to include resources for further information of definitions (ie- what Monte Carlo is) sooner in the lecture
Jordann Hoo Jiun Horng
(Senior Internal Auditor at OCLARO INC)
To be honest, I rather read from the textbook instead of listening in. Reading through the slides with slight modification does not really help me to understand the whole thing.
Anonymous
(CFO)
I was not as familiar with this topic. Although the course did expand my knowledge, there were many concepts that were new to me so the course was a bit difficult to follow.
Don Myers
(Finance & Operations Executive at -)
Good material. It seems like more examples of the accounting showing initial booking, amortization and adjustments would make the course better.
Anonymous
(Controller)
i liked this course but i do agree that some example calculations would be helpful and some example of the valuation models would be interesting.
Leah Neal
( at Capitalogix, LLC)
Although a lot of this course was a bit over my head, This was a useful course. I wish that the materials were a bit more in line with the exam.
Anonymous
(OWNER)
The course provides overall understanding of the Performance based Equity awards. However this may be updated with recent data / studies.
Anonymous
(Sr Director Consolidation)
The material was relevant and well laid out. A facts couples with trends kept me engaged and answered questions I was curious about.
Maya Walker
(Global Controller at Fourth Enterprises)
I liked the Tim Cook example. More examples would be helpful in making the subject matter more interesting and easier to learn.
Anonymous
(Owner)
Good information and overview. Wish more examples were provided with the handouts so they could be reviewed after class.
Anonymous
()
Too much text on the slides. Showing exactly examples of how to calculate the reward valuations would have been helpful.
Anonymous
(Controller)
The slides in the supporting materials did not include all the slides in the presentation. However, they were helpful.
Anonymous
(CONTRACT ACCOUNTANT)
Instructor not very engaging. Often just read slides. Course does give good technical knowledge over topic.
Christopher Hole
(Director of Internal Audit at Roseburg Forest Products)
Nice overview of key terms, valuation methods and pros/cons of common performance based equity awards.
Lawrence DeParis
(Founder & CEO at C-Level Solutions LLC)
Would benefit from a broader utilization of examples interspersed in the presentation materials
Anonymous
(Senior Accountant)
Interesting topic, but not all the slides were provided which made it difficult to take notes.
Anonymous
(Manager, SEC Reporting)
This was very helpful in understanding more about performance based equity awards. thank you.
Gina Alexander
(CFO at Non-hospital based healthcare company)
Good information covering the various combination models of equity awards. Pace was good.
David Lopez-Monroy
(Self at Self)
Slides are very bad for completing exam. A great part of the material is missing.
Anonymous
()
Nice course on Understanding Performance-Based Equity Awards. Would recommend.
Emily Moran
(Director of Finance at Kurtosys Systems)
A great and detailed overview of performance equity - really comprehensive!
Anonymous
(Controller)
Links to good black scholes or monte carlo calculators would be beneficial
Yevgeniy Sukhenko
(Accounting Manager at GoCanvas)
Complex topic that requires more examples and not just reading the slides
Anonymous
()
I always enjoy taking classes about equity and stock and performance
Diane Ewen
(Owner at Sapling Accounting Services LLC)
Excellent course, informative and immediately applicable to my job.
Anonymous
(Manager)
Good slides but overall the course a bit dry and seems outdated
Sarah Nissen
(Compass Consultant at Salo LLC)
This course was a good beginner course for equity based awards.
Anonymous
(Finance Director)
Very good course to understand the basic of performance awards.
Wenjie Jin
( at Emil Capital)
boring course......very boring!!!!!!!!!!!no other comments
Anonymous
(Controller)
Great introduction to the different equity plan options.
Stephanie Missey
(Consultant at Blue Spruce Holdings)
I did not enjoy having the slide content read to me.
Lisa Johnson
(Controller at Serena & Lily, Inc.)
very clear and easy to follow, in a complex topic!
Tim Philips
(Controller at Self)
Difficult subject if not versed in it.....
slide content was a bit confusing
Anonymous
(Chief Financial Officer)
good course
Patrenia McAbee
(Owner at McAbee Consulting)
Good
Prerequisites
Course Complexity: Intermediate
Prerequisite: Exposure to employee compensation plans
- An understanding of the basics of FASB 123R (Topic 718) is recommended
- An understanding of equity based stock options and their utilization as compensation is preferred.
Advanced Preparation: None
Education Provider Information
Company:
Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA
95113
Contact:
For more information regarding this course, including complaint and
cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to
.
Kim KovacsExecutive Vice President
About Illumeo
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- Email: info@illumeo.com
- Phone: 408-400-3993
- Adress: 1608 W Campbell
- Av #221, Campbell, CA 95008
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