NON-QUALIFIED STOCK OPTION
\nˈɒnkwˈɒlɪfˌa͡ɪd stˈɒk ˈɒpʃən], \nˈɒnkwˈɒlɪfˌaɪd stˈɒk ˈɒpʃən], \n_ˈɒ_n_k_w_ˈɒ_l_ɪ_f_ˌaɪ_d s_t_ˈɒ_k ˈɒ_p_ʃ_ə_n]\
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Sometimes referred to as a NonStatutory Stock Option, these easy to set up and administer plans offer employer sponsored stock options. However, they are inferior to the incentive stock option plan as they do not provide tax advantages.
By Henry Campbell Black
