Employee stock purchase plans (ESPPs)

If offered by your company, an ESPP can be a convenient way to purchase shares of your company’s stock through payroll deductions. Owning company stock makes you a shareholder—giving you the ability to profit from any potential increase in your company’s stock price.

Start with the basics

New to ESPPs or just need a refresher? Get a glimpse into how things work and some commonly used terms.

Get more familiar with the key steps that occur so you know what happens next.

Learn about the offering period, when shares are purchased, and the price you pay.

Have an ESPP, but haven't yet enrolled?

If you're eligible and the enrollment window is open, you'll see "Enroll" next to your ESPP's name when you log in to NetBenefits®. You’ll be prompted to open your Fidelity Account® if it isn't already open (it's where your purchased shares are deposited).


Explore what ESPPs can offer

From enrolling to when shares are purchased and how much you’ll pay, this video covers it all. You’ll also learn more about some of the features ESPPs can offer, like a discount or look-back. Be sure to check your company's plan documents to find out what your specific ESPP might offer.


Watch to learn more about ESPPs (7:47)

Related resources and actions

ESPP contribution limits

The IRS limits the purchase of stock in a tax-qualified Section 423 ESPP to $25,000 per calendar year.



LEARN

Qualifying dispositions (PDF)

In a qualified ESPP, the income from your shares may receive special tax treatment when you sell.



PLAN

Holding periodsLog In Required

Some plans require shares to be held for a certain period of time before they can be sold or transferred. Check your company's plan documents to see if this applies to you.



LEARN

Selling sharesLog In Required

Easily sell some of—or all—your shares by initiating a trade with Fidelity.



ACT

Stock plan glossary

What’s that word? Find definitions for commonly used terms.

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