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re: RSU strategies

Posted on 3/7/24 at 4:18 pm to
Posted by lynxcat
Member since Jan 2008
24219 posts
Posted on 3/7/24 at 4:18 pm to
quote:

I wouldn't want the ordinary income hit. I'd rather hold for the LTCG. Depending on your bracket, that could be 15%+ difference.


Not how this works. It’s ordinary income. No way to avoid it.
Posted by Boss
Member since Dec 2007
1212 posts
Posted on 3/8/24 at 12:13 pm to
Correct me if I'm wrong, but say you have 500 of RSUs. Once they vest you would only get 350 of those (they have taxed the other).

If I hold and in the next month the stock doubles, and I sell it's a STG. If I hold and sell after the year and gains at the time of vesting would be LTCG.

I understand you take a haircut on the RSU right off the bat. I am talking about if you choose to hold, hold for a year.
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