Employee Stock Ownership Plan


Description of Employee Stock Ownership Plan. Explanation.

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Definition Employee Stock Ownership Plan. Description.


Employee Stock Ownership Plan is an organized plan for employees or managers to buy shares of their company's stock at a discount or attractive other terms. Usually it is a tax efficient way to provide this motivational benefit. It is a method allowing employees to participate financially in their own organization by becoming shareholders.


The money to pay for the stock is normally withheld from the employee's salary. Compare: Employee Benefits.


Also referred to as Stock Purchase Plan.


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Employee Stock Ownership Plan Special Interest Group


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Compare with: Employee Stock Options  |  Phantom Stock Plan  |  Golden Handcuff  |  Golden Hello  |  Golden Parachute  |  Golden Handshake  |  Stock Dividend  |  Warrant  |  Unissued Stock  |  Treasury Stock  |  Incentives

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End of description Employee Stock Ownership Plan. An explanation.

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