Stock-Based Compensation: Accounting Issues Self-Study Webinar (11 Hours)

Overview: 

The accounting rules for stock-based compensation require companies to measure the value of awards granted to employees at fair value. In this self-study webinar, you'll find out what you need to do to comply and how expensing stock options and other share-based compensation will impact your financial statements. You’ll learn how to:

  • Make use of the guidance contained in ASC Topic 718 to recognize the fair value of awards in your financial statements
  • Utilize the various kinds of option pricing models
  • Identify and apply significant key inputs and assumptions
  • Effectively deal with possible auditor and SEC areas of concern
Objective: 

To enable accountants and other financial professionals to understand and apply the FASB's accounting requirements for stock-based compensation. You'll discover how other companies have implemented the rules, learn to avoid the pitfalls and be able to identify ongoing issues that have important tax and accounting implications. Plus, you’ll gain practical experience by working through a number of typical problems and their solutions.

Emphasis: 
  • Background, history and objectives of share-based compensation
  • Recent trends in plans to align company objectives with employee performance
  • Overview of ASC Topic 718 rules
  • Scope, grant date, fair value measurement and expensing of plans
  • Employee stock purchase plans
  • Impact on corporate income tax accounting and calculation of earnings per share for both primary and fully diluted
  • Comparison of US GAAP with IFRS
  • Accounting for dividends on unvested restricted stock awards
  • Practical tips for accounting for SBC
  • Disclosure requirements and impact on cash flow statements under US GAAP
  • Accounting for modifications and examples
  • Option pricing models, inputs, development of assumptions and considerations
  • Auditor and SEC concerns

Identify the characteristics of an effective share-based compensation plan

Identify the relative popularity of stock options

Recognize the ideal mix of various share-based compensation plans

Identify recent trends in stock-based compensation programs

Recognize the exercise patterns of stock-based compensation

Identify the SOX Section 304 lookback period

Recognize the parameters of proposed SEC rule 10D-1

Identify the threshold for exemption of non-US employees from the pay ratio rule calculation

Identify the general trends in recent SEC enforcement actions and penalties

Identify the history of GAAP surrounding SBC

Identify the specific changes to SBC GAAP under recent ASUs

Recognize the characteristics of compensatory and non-compensatory employee stock purchase plans

Recognize the tax ramifications of compensatory and non-compensatory employee stock purchase plans

Recognize the common features of restricted stock awards

Identify the timeline for which an employee may make a Section 83(b) election

Identify the characteristics of restricted stock units

Recognize the changes to Topic 718 under ASU 2018-07

Recognize the date on which the fair value of stock-based compensation is measured

Identify the requirements for establishing the grant date of stock-based compensation

Recognize the relative role of equity award clawback provisions per a recent survey

Identify the characteristics of SBC forfeiture rates

Identify the appropriate time line for reviewing SBC forfeiture assumptions

Identify the characteristics of different methods of plan vesting

Recognize the effect of SBC on the calculation of EPS

Identify examples of award modifications

Recognize the extent to which US GAAP and IFRS accounting for SBC is converged

Recognize best practices in accounting for SBC

Identify minimum disclosures under ASC Topic 718

 

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Price: 
$399.00
Prerequisite: 

Basic knowledge of financial accounting and reporting.

Preparation: 

No advance preparation required.

Level of Knowledge: 

Intermediate.

CPE Credit: 
11.00
NASBA Field of Study: 
Accounting