Business

Employee Stock Option Calculator

Vested value, spread and exercise cost.

Enter your values

ⓘ Live results

Results
Paper gain
$52,000.00
Vested options
10,000
Exercise cost
$12,000.00
Value if fully vested
$104,000.00

Quick answer

Option value is the spread between current share price and strike price on vested shares.

Gain = vested × (price − strike)

How to use the Employee Stock Option Calculator

  1. 1Enter options granted and the percentage vested.
  2. 2Enter your strike price.
  3. 3Enter the current or expected share price.

Worked example

Using the values the calculator loads with:

Inputs

  • Options granted20000
  • Percent vested50 %
  • Strike price1.2 $
  • Current share price6.4 $

Results

  • Paper gain$52,000.00
  • Vested options10,000
  • Exercise cost$12,000.00
  • Value if fully vested$104,000.00

Frequently asked questions

Do I owe tax on exercise?

Often yes on the spread — check whether your grant is ISO or NSO equivalent.

What if the price is below strike?

The options are underwater and worth nothing today.

About this calculator

Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.