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What? You pay income tax on the value of your options, and also capital gains tax on the appreciation in their value after vesting. That’s only a tax advantage if you get options in a worthless company that later becomes valuable. The luckier startup employees are in that boat, not Fortune 500 CEOs. For public companies, you can reap this advantage yourself by buying and holding their stock using your cash compensation.

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> You pay income tax on the value of your options, and also capital gains tax on the appreciation in their value after vesting.

Yes. That was my point.

> That’s only a tax advantage if you get options in a worthless company that later becomes valuable.

What? Since 2010, most large companies had their stock prices double, triple or even more.

> For public companies, you can reap this advantage yourself by buying and holding their stock using your cash compensation.

Except you don't get all your salary upfront.

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