So my RSU vests 50% today..!!!!
Yeah!!! I had to keep my shares anyway for 6months being an insider, unless I quit, but the great part now is my upfront tax bill will be a lot lower heh heh.
The way RSU stock grants work for a publicly traded company is that the day RSU stocks are granted you get taxed at ordinary income the total shares * fmv day of grant…then that serves as your cost basis.. So if you sell the RSU at a price above today’s price , that’s taxed as capital gains…and if you sell below today’s price, that counts as a capital loss.
The problem is if you have lots of shares, you can potentially pay a lot of ordinary income taxes on the shares you vested , but if you sell when the price is lower you could end up being limited to the capital loss you can report to offset the ordinary income from the shares…because the IRS limits capital losses to $3000/year before you carry over your losses to the following years.
Despite our earnings being well above projected and or forecast above too, the company stock hasnt moved due to all the concerns… That’s great. So my today’s taxable amount as ordinary income will be low..and when/if I hold them long enough..hopefully by then it will be long term capital gains of 20%….
Thank God I don’t need the money…
Tenants and rent make great inflation adjusted pensions. And suddenly the crypto and meme stock owners are all so quiet..ha ha ha.
Now where do I pick up some discounted assets …hmmm….
