What are the benefits of participating in an Employee Stock Purchase Plan (ESPP)?
Many ESPPs allow employees to purchase company stock at a discount (as much as 15%) from its fair market value. Some companies have what’s known as an “open-market purchase plan,” which allows employees to purchase shares through payroll deductions but generally does not offer a discount on the stock price. In open-market plans, the company typically pays the brokerage fee.
