Decision Fatigue around Equity Comp
“I kept putting this off because I didn’t know where to start.”
When it comes to employer stock, I completely understand why people do nothing.
Selling company stock doesn’t feel like one decision. It feels like ten.
- How much should I sell?
- Which lot should I sell?
- What will the taxes look like?
- What should I do with the money after I sell?
- What if I sell and the stock keeps going up?
So people wait. But doing nothing is still a decision. It’s effectively the decision to:
- Take your bonus and invest it in your employer stock (for RSUs).
- Tie both your income and investments to the same company.
- Hope the concentration risk works in your favor.
If you’re putting off figuring out your employer stock, you’re not alone. It’s one of the most common “complexity spikes” I see - the moment when someone realizes a financial decision has become too important and too complex to keep guessing through it on their own.
Counterintuitively, I’ve found that zooming out often helps reduce employer stock decision fatigue.
When you understand where you are, where you’re trying to go, and what role this money actually plays in your future, the decisions around your employer stock often become much clearer.
Linda Rogers, CFP®, EA, MSBAis the owner and founder of Planning Within Reach, LLC (PWR). Originally from New Jersey, Linda services clients throughout Virginia Beach and nationwide. She leads the design of PWR's investment portfolios which utilize broad, low-cost investments that integrate environmentally, socially, and governance (ESG) factors.
Planning Within Reach, LLC (PWR) is a fee-only and fiduciary wealth management firmoffering one-time comprehensive financial planning and ongoing impact-focused investment management in Virginia Beach and nationwide. PWR is a woman-owned firm that specializes in busy professionals and impact investors. Planning Within Reach, LLC and their advisors do not receive commissions and do not hold any insurance licenses or brokerage relationships.