Share-based Incentive Compensation Plans

9 Months Ended

Sep. 30, 2020

Share-based Payment Arrangement [Abstract]

Share-based Incentive Compensation Plans

Share-based Incentive Compensation Plans

The Company has provided equity-based compensation awards to its employees under the ING U.S., Inc. 2013 Omnibus Employee Incentive Plan (the "2013 Omnibus Plan"), the Voya Financial, Inc. 2014 Omnibus Employee Incentive Plan (the "2014 Omnibus Plan") and the Voya Financial, Inc. 2019 Omnibus Employee Incentive Plan (the "2019 Omnibus Plan") (together, the "Omnibus Plans"). As of September 30, 2020, common stock reserved and available for issuance under the 2013 Omnibus Plan, the 2014 Omnibus Plan and the 2019 Omnibus Plan was 347,663, 3,179,470 and 10,618,641 shares, respectively.

The Company offers equity-based awards to Voya Financial, Inc. non-employee directors under the Voya Financial, Inc. 2013 Omnibus Non-Employee Director Incentive Plan ("Director Plan").

Compensation Cost

The following table summarizes share-based compensation expense, which includes expenses related to awards granted under the Omnibus Plans and Director Plan for the periods indicated:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Restricted Stock Unit (RSU) awards	$	9	$	10	$	36	$	37
Performance Stock Unit (PSU) awards	7		9		32		34
Stock options	1		2		4		6
Total share-based compensation expense	17		21		72		77
Income tax benefit	3		4		26		24
After-tax share-based compensation expense	$	14	$	17	$	46	$	53

Awards Outstanding

The following table summarizes RSU and PSU awards activity under the Omnibus Plans and the Director Plan for the period indicated:

	RSU Awards				PSU Awards
(awards in millions)	Number of Awards		Weighted Average Grant Date Fair Value		Number of Awards	Weighted Average Grant Date Fair Value
Outstanding as of January 1, 2020	1.9		$	48.55	2.2	$	48.85
Adjustment for PSU performance factor	—		—		0.4	42.27
Granted	0.7		62.75		0.7	61.86
Vested	(1.0)		47.34		(1.2)	42.41
Forfeited	—	*	53.81		(0.1)	53.82
Outstanding as of September 30, 2020	1.6		$	55.69	2.0	$	55.47

* Less than 0.1

The following table summarizes the number of options under the Omnibus Plans for the periods indicated:

	Stock Options
(awards in millions)	Number of Awards		Weighted Average Exercise Price
Outstanding as of January 1, 2020	2.9		$	41.93
Granted	—		—
Exercised	(0.1)		37.60
Forfeited	—	*	50.30
Outstanding as of September 30, 2020	2.8		$	42.08
Vested, exercisable, as of September 30, 2020	2.1		$	40.41

* Less than 0.1

In February 2019, the Company awarded contingent stock options under the 2014 Omnibus Plan with a per option grant date fair value of $13.78. These options are subject to vesting conditions based on the achievement of specified performance measures, and generally become exercisable one year following satisfaction of the relevant vesting condition. The options have a term of ten years from the grant date.