FullCalculator

RSU Tax Calculator

RSU Vesting Tax

RSU Sale Tax (Capital Gains)

Formula

Vesting Tax = Shares x Price x (Federal Rate + State Rate + FICA) Capital Gains = (Sale Price - Vesting Price) x Shares x Capital Gains Rate

Frequently Asked Questions

When are RSUs taxed?
RSUs are taxed at vesting as ordinary income (the full market value at vesting). If you sell the shares later at a different price, you also pay capital gains tax on the difference between the sale price and the vesting price (your cost basis).
What is sell to cover?
Sell to cover is a withholding method where your employer sells enough shares at vesting to cover the tax obligation, and you keep the remaining shares. This is the most common method for RSU tax withholding.
How do I avoid double taxation on RSUs?
Ensure your cost basis is correctly set to the fair market value at vesting. When you sell, you only owe capital gains tax on the appreciation (or can claim a loss on depreciation) since vesting - not on the full sale price.

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