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STOCK COMPENSATION | 12 Months Ended
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Sep. 30, 2021
Share-based Payment Arrangement [Abstract] |
STOCK COMPENSATION | STOCK COMPENSATION The Company maintains the Meta Financial Group, Inc. 2002 Omnibus Incentive Plan, as amended and restated (the "2002 Omnibus Incentive Plan"), which, among other things, provides for the awarding of stock options, nonvested (restricted) shares, and performance share units ("PSUs") to certain officers and directors of the Company. Awards are granted by the Compensation Committee of the Board of Directors based on the performance of the award recipients or other relevant factors. At grant date, the fair value of options awarded to recipients is estimated using a Black-Scholes valuation model. The exercise price of stock options equals the fair market value of the underlying stock at the date of grant. Options are issued for a period of 10 years with 100% vesting generally occurring either at grant date or over a period of four years. There were no options granted during the fiscal years ended September 30, 2021, 2020 or 2019. The intrinsic value of options exercised during the fiscal years ended September 30, 2021, 2020 and 2019 were zero, $1.0 million and $1.8 million, respectively. Shares have previously been granted each year to executives and senior leadership members under the applicable Company incentive plan. These shares vest at various times ranging from immediately to four years based on circumstances at time of grant. The fair value is determined based on the fair market value of the Company’s stock on the grant date. Director shares are issued to the Company’s directors, and these shares vest immediately. The total fair value of director’s shares granted during the fiscal years ended September 30, 2021, 2020 and 2019 was $1.0 million, $0.8 million and $1.0 million, respectively. Under its 2002 Omnibus Incentive Plan, the Company also grants selected executives and other key employees PSU awards. The vesting of these awards is contingent on meeting company-wide performance goals, including but not limited to return on equity, earnings per share, and total shareholder return. PSUs are generally granted at the market value of the underlying share on the date of grant, adjusted for dividends, as performance share units do not participate in dividends while unearned. The awards contingently vest over a period of three years and have payout levels ranging from a threshold of 50% to a maximum of 200%. Upon vesting, each performance share unit is converted into one share of common stock. The fair value of the PSUs is determined by the dividend-adjusted fair value on the grant date for those awards subject to a performance condition. For those PSUs subject to a market condition, a simulation valuation is performed. In addition to the Company’s 2002 Omnibus Incentive Plan, the Company also maintains the 1995 Stock Option and Incentive Plan. No new options were, or could have been, awarded under the 1995 plan during the fiscal years ended September 30, 2021, 2020 or 2019. Furthermore, no options were outstanding during the year. In addition, during the first and second quarters of fiscal 2017, shares were granted to certain executive officers of the Company in connection with their signing of employment agreements with the Company. These stock awards vest in equal installments over eight years. The following tables show the activity of options and share awards (including shares of restricted stock subject to vesting, fully-vested restricted stock, and PSUs) granted, exercised or forfeited under all of the Company’s option and incentive plans during the fiscal year ended September 30, 2021 and 2020. There was no activity of options during the fiscal year ended September 30, 2021 and zero were outstanding or exercisable at September 30, 2021.
(Dollars in Thousands, Except Per Share Data) | Number of Shares |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Term (Yrs) |  | Aggregate Intrinsic Value
Options outstanding, September 30, 2019 | 59,835 |  |  | $ | 8.06 |  |  | 1.54 |  | $ | 1,469 |
Granted | — |  |  | — |  |  | — |  |  | — |
Exercised | (59,835) |  |  | 8.06 |  |  | 1.00 |  | 1,011 |
Forfeited or expired | — |  |  | — |  |  | — |  |  | — |
Options outstanding, September 30, 2020 | — |  |  | $ | — |  |  | — |  |  | $ | — |
Options exercisable, September 30, 2020 | — |  |  | $ | — |  |  | — |  |  | $ | — |
(Dollars in Thousands, Except Per Share Data) | Number of Shares |  | Weighted Average Fair Value at Grant
Nonvested shares outstanding, September 30, 2020 | 790,083 |  |  | $ | 30.03 |
Granted | 190,187 |  |  | 30.88 |
Vested | (329,409) |  |  | 30.32 |
Forfeited or expired | (103,798) |  |  | 29.66 |
Nonvested shares outstanding, September 30, 2021 | 547,063 |  |  | $ | 30.22 |
Nonvested shares outstanding, September 30, 2019 | 926,122 |  |  | $ | 29.54 |
Granted | 191,372 |  |  | 32.32 |
Vested | (316,283) |  |  | 29.92 |
Forfeited or expired | (11,128) |  |  | 31.35 |
Nonvested shares outstanding, September 30, 2020 | 790,083 |  |  | $ | 30.03 |
(Dollars in Thousands, Except Per Share Data) | Number of Units |  | Weighted Average Fair Value at Grant
Performance share units outstanding, September 30, 2020 | — |  |  | $ | — |
Granted(1) | 60,984 |  |  | 34.03 |
Vested | — |  |  | — |
Forfeited or expired | — |  |  | — |
Performance share units outstanding, September 30, 2021 | 60,984 |  |  | $ | 34.03 |
(1) The number of performance share units (PSUs) granted reflects the target number of PSUs able to be earned under a given award. Compensation expense for share-based awards is recorded over the vesting period at the fair value of the award at the time of the grant. The exercise price of options or fair value of nonvested (restricted) shares and PSUs granted under the Company’s 2002 Omnibus Incentive Plan is equal to the fair market value of the underlying stock at the grant date, adjusted for dividends where applicable. The Company has elected, with the adoption of ASU 2016-09, to record forfeitures as they occur. The following table shows the effect to income, net of tax benefits, of share-based compensation expense recorded:
| Fiscal Year Ended September 30,
(Dollars in Thousands) | 2021 |  | 2020 |  | 2019
Total employee stock-based compensation expense recognized in income, net of tax effects of $1,562, $2,567, and $3,230, respectively | $ | 5,290 |  |  | $ | 7,656 |  |  | $ | 9,716 |
As of September 30, 2021, stock-based compensation expense not yet recognized in income totaled $5.5 million, which is expected to be recognized over a weighted-average remaining period of 2.02 years.

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