Handbooks | October 2019

Handbook: Share-based payments

KPMG explains accounting for share-based payments, ASC 718, in detail. We provide guidance and interpretations, including Q&As and examples that have been updated for common practice issues. 


ASC Topic 718

  • All companies with employee or nonemployee share-based payment awards

Relevant dates

  • Effective immediately

Key impacts

  • Q&As that answer the questions we are encountering in practice
  • Examples and observations to explain key concepts

Report contents

  • Scope
  • Measurement of awards
  • Classification of awards as either liabilities or equity
  • Recognition of compensation costs
  • Modification of awards
  • Income tax issues associated with share-based payment arrangements
  • Disclosures and earnings per share
  • Transition and effective dates
  • Business combinations
  • Equity-based transactions with nonemployees 
  • Employee stock purchase plans 

Related content

Spotlight on contributors

Regina Croucher

Regina Croucher

Partner, Audit, DPP, KPMG US

+1 816-802-5840
Brent Hansen

Brent Hansen

Partner, Audit, KPMG US

+1 212-954-3513



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