How does tax on RSUs work? Let’s say I’m granted stock units and the company IPOs and I liquidate for $500k. Is it taxed then and is it at capital gains rate? Any tax implications of just being granted the RSUs?

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I would google this. It’s more complicated than you think and requires a bit of explanation.

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Thanks I’ll do some research

Simply, when RSUs vest, it is taxed as regular income. You can sell them immediately for no additional tax. Or, if you let it sit and sell later and there is a gain, you will pay short/long term taxes depending on how long you’ve had them.

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It doesn’t from a tax perspective.

If you own a stock for less than a year before it’s sold and there is a gain on that stock you pay short term capital gains which is taxed as ordinary income.

You get taxed on the vesting (as your total income increases) and then when you sell them you get taxed on the gains.

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By vesting don't you mean once they exercise them? Because vesting is just the right to buy that vested amount

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SecFi… they have all the resources you need.

Ironically I just interviewed with them today :)

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as far as i understand, typically you are taxed for the grant value at the time of vesting, and then you are liable for taxes on any incremental gains at a sales event, though it might vary by org

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