The U.S. House of Representatives passed H.R. 2954, the Securing A Strong Retirement Act (SECURE 2.0) by a massive bi-partisan majority of 414 to 5. Included in the House-passed version are two provisions that will assist Employee Stock Ownership Plans (ESOPs) or business owners seeking to establish them.
The ESOP Association
ESOP Association Resources
Mar. 11
Yesterday the House of Representatives passed H.R. 2471, an omnibus spending bill consisting of all 12 fiscal year 2022 appropriations bills and supplemental funding to support Ukraine.
Late last evening, in less than 48 hours after the final text was unveiled, the Senate passed this spending package that will fund the federal government through September 2022. The funding package now heads to the White House for President Biden’s signature.
Most importantly for TEA members, the bill includes some wins for employee ownership.
Late last evening, in less than 48 hours after the final text was unveiled, the Senate passed this spending package that will fund the federal government through September 2022. The funding package now heads to the White House for President Biden’s signature.
Most importantly for TEA members, the bill includes some wins for employee ownership.
Mar. 10
On March 9th, the House passed H.R. 2471, an approximately $1.5 trillion omnibus spending bill consisting of all 12 fiscal year 2022 appropriations bills plus supplemental funding of $14 billion to support Ukraine and other measures. The legislation passed in two pieces with two votes, each of which had bipartisan support. The Senate is expected to act and pass the bill before week’s end. Most importantly for TEA members, the bill includes some wins for employee ownership.
ESOP Brief, Dividends, 404(k), Resource
Dec. 20
There are various tax incentives to encourage companies to consider an ESOP. This Brief discusses an employer’s ability to use tax deductible funds to service ESOP debt and the advantages of deductible cash dividends.
ESOP Brief, Distributions, Put Option, Resource
Dec. 20
A guide to the rules surrounding ESOP distributions including an overview of The Put Option.
ESOP Brief, Repurchase Obligation, Resource
Dec. 20
Both S corporation and C corporation ESOP companies must be prepared to pay cash equal in value to stock in a participant’s account, per ERISA distributions rules.
ESOP Brief, Repurchase Obligation, Redeem, Recycle, Opportunity Cost, Resource
Dec. 20
This ESOP Brief introduces the concept of opportunity cost and the implications for share price when private companies devote resources to fund repurchase obligations.
ESOP Brief, Repurchase Obligation, Valuation, Recycle, Redeem, Resource
Dec. 20
This ESOP Brief explains how an ESOP company’s repurchase obligation should be understood and managed, and how the repurchase obligation associated with the ESOP should be reflected in the valuation.
ESOP Brief, Leveraged ESOPs, Convertible Stock, Financing, Resource
Dec. 20
How to use convertible preferred stock in an ESOP.
ESOP Brief, Valuation, Adequate Consideration, Resource
Dec. 19
This Brief answers important questions you may have about ESOP stock valuation, including who may value a stock and how valuations occur.