Effective May 28, 2024, following recent changes to US Securities and Exchange Commission and NASDAQ Stock Market rules, most standard broker-dealer securities transactions will have to be settled within one business day after the Deposit Withdrawal at Custodian date (DWAC or trade date). This will likely have significant federal employment tax implications for employers that compensate employees through nonqualified stock option or stock award programs since employers will have one less day to calculate the withholdings owed with respect to employees’ equity compensation and deposit those withholdings with the IRS and state tax authorities.