Stock option value
An option grant is a bet, not a paycheck. Enter your shares, strike price, and a range of exit prices to see what you would actually clear after paying to exercise. The gap between the headline number and the net is where most surprises live.
Value across exit prices
| Exit price / share | Gross | Exercise cost | Net (pre-tax) |
|---|
Pre-tax and simplified: ignores AMT on ISOs, ordinary-income tax on NSOs, liquidation preferences, and dilution. Talk to a tax professional before exercising.
The two traps
First, options are not free shares: you pay the strike to turn them into stock, and at a low exit that cost can swallow most of the gain. Second, taxes can arrive before the cash does, especially the alternative minimum tax on incentive stock options exercised while the company is still private. The headline grant value and what lands in your bank account are rarely the same number.