Equity compensation has the power to transform employees’ financial futures. But too often, that potential goes unrealized.
Employees receive grants they don’t fully understand. Tax events catch them by surprise. Portals feel built for equity experts instead of people. The result? Equity that should inspire ownership instead creates confusion – or worse, indifference.
When equity plans are delivered with clarity and empathy they can become a true driver of prosperity, empowering employees at every stage of their career to achieve their goals and build lasting wealth.
Moments that matter
Most employees don’t interact with their equity every day. That’s why the few moments they do engage – a grant, a vesting, a decision point, a life transition – are so important. Get these touchpoints right and employees connect to their financial futures. Get them wrong, and confidence quickly erodes.
What ‘good’ looks like
Modern equity compensation programs put the participant experience at the center of focus without losing sight of administration and compliance. The strongest offerings will often share common features:
- Clarity: Intuitive, easy-to-use platforms that reduce confusion rather than add to it.
- Mobile access: Full functionality on mobile devices for employees who are field-based or not in office locations.
- Education in context: Resources like video explainers or FAQs, available in-platform, at the moment they are needed.
- Globally inclusive: Support for local currencies and languages so employees everywhere can understand and engage with what they have.
- The big picture: Seamless integration with HR, payroll, tax systems and even bank accounts, so employees see not just what equity is, but what it can help them achieve.
- Advisory pathways: Access to guidance during critical moments from planning a sale to managing tax events to executives’ 10b5-1 needs.
These elements make equity more navigable and meaningful, helping employees connect their awards to their own definition of prosperity.
Why it matters
Equity compensation represents a significant investment by any company. When employees value their rewards, their return is clear:
- Retention improves as employees see equity as part of their future.
- Engagement rises as people feel like true owners.
- ROI strengthens when awards are understood and acted upon.
- Financial wellbeing deepens as employees use equity to build savings and plan ahead.
- Noise decreases as better education reduces queries, confusion, and complaints.
Done right, equity compensation pivots from being a cost to becoming an investment in talent, well-being, and long-term growth.
Pathways to prosperity
Equity has always been about ownership – but prosperity is personal. For some, it means wealth; for others education, health, or security. Well delivered, equity can truly deliver on its promise – where the grant becomes growth. You can learn more about the participant experience here.
Talk to us today to see how we can help your employees on their path to prosperity.
This publication contains general information only and J.P. Morgan Workplace Solutions is not, through this article, issuing any advice, be it legal, financial, tax-related, business-related, professional or other. J.P. Morgan Workplace Solutions’ Insights is not a substitute for professional advice and should not be used as such. J.P. Morgan Workplace Solutions does not assume any liability for reliance on the information provided herein.
