Phantom Stock Plan 409a

State:
Multi-State
Control #:
US-CC-24-258
Format:
Word; 
Rich Text
Instant download

Description

The Phantom Stock Plan allows for the issuance of "phantom units," which provide recipients a future payment based on a hypothetical investment in shares of Common Stock, without conferring actual equity. The plan is administered by a designated committee, and while any employee may be eligible for awards, it is generally aimed at senior management. Phantom units vest at retirement, death, disability, or the end of a maximum five-year vesting period. Payment on vested units is calculated based on the fair market value of the stock at vesting, including cash dividend equivalents accrued during the vesting period. In case of employment termination for reasons other than retirement, death, or disability, the units are forfeited. The committee, with recommendations from the Chief Executive Officer, determines unit allocations and vesting schedules, while the Board of Directors authorizes the total number of phantom units. Also, units may be converted into interest-bearing equivalents before they are vested, generating quarterly interest without dividend equivalents. This plan can be particularly valuable for attorneys, partners, owners, associates, paralegals, and legal assistants who need to understand compensation structures, plan for executive incentives, and ensure compliance with regulations surrounding employee compensation.
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FAQ

Can I write my own will? You can make a will without a lawyer in Maine, and it will be valid as long as you follow the requirements set out by state law, including those outlined above.

An advance directive gives instructions about the healthcare you want if you become too hurt or ill to speak for yourself. It also allows you to name someone to make decisions on your behalf. Even if you're in good health, it's still important to make sure your healthcare team and loved ones know your wishes.

The most common types of advance directives are the living will and the durable power of attorney for health care (sometimes known as the medical power of attorney).

A Maine medical power of attorney form allows you (the ?principal?) to select someone (the ?agent?) to make decisions about your health care treatment in the event that you become incapacitated.

Along with notarization, Maine law requires two adult witnesses for a living will.

The rules governing Living Wills vary by state; however, in Maine, your Living Will needs the signatures of two witnesses. As a basic rule, witnesses will need to be over 18 years old, and no witness should simultaneously be acting as your healthcare agent.

No, in Maine, you do not need to notarize your will to make it legal. However, Maine allows you to make your will "self-proving" and you'll need to go to a notary if you want to do that. A self-proving will speeds up probate because the court can accept the will without contacting the witnesses who signed it.

No, but it's risky to do it yourself. Laws are complex. This is especially true if you have a large or ?blended? family or own real estate. An attorney can help make sure that your wishes are carried out after you die.

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Phantom Stock Plan 409a