Restricted stock tax calculator
Enter shares and their value at vesting to compare estimated taxes, withholding and shares delivered.
Estimated shortfall
Federal income tax and Additional Medicare compared with amounts withheld at vesting
State tax and total withholding are unavailable for this selection. Federal comparisons above still apply.
This estimate rounds shares sold up to a whole share. Your employer may use a different process. Cost basis for a later sale is $250.00 per share.
Compare stock vesting amounts
Fixed federal income tax examples for a single filer with a $150,000 salary and no earlier supplemental wages or other income.
| Vesting income | Federal withheld | Federal tax owed | Owed minus withheld |
|---|---|---|---|
| $10,000.00 | $2,200.00 | $2,400.00 | +$200.00 |
| $25,000.00 | $5,500.00 | $6,000.00 | +$500.00 |
| $50,000.00 | $11,000.00 | $12,000.00 | +$1,000.00 |
| $100,000.00 | $22,000.00 | $26,570.00 | +$4,570.00 |
| $250,000.00 | $55,000.00 | $78,400.25 | +$23,400.25 |
How salary changes tax on a $50,000 vest
Single filer, with no earlier supplemental wages or other income. These tables exclude state and payroll taxes. A positive difference means estimated federal income tax exceeds withholding.
| Annual salary | Federal withheld | Federal tax owed | Owed minus withheld |
|---|---|---|---|
| $100,000.00 | $11,000.00 | $11,564.00 | +$564.00 |
| $150,000.00 | $11,000.00 | $12,000.00 | +$1,000.00 |
| $200,000.00 | $11,000.00 | $14,570.00 | +$3,570.00 |
| $300,000.00 | $11,000.00 | $17,500.00 | +$6,500.00 |
How this estimate works
Restricted stock units, or RSUs, create employment income when they vest. Federal withholding uses the supplemental wage rates. Federal tax owed comes from the increase in annual income tax.
Wages from this employer control its Social Security and Additional Medicare withholding. Other income affects your tax brackets; only other Medicare wages affect Additional Medicare owed on your return. State withholding is an estimate based on this employer's wages, separate from state tax owed.
This calculator covers vesting. A later sale can create a capital gain or loss, and taxes, credits or state rules outside the supplied tax model can change what you owe.
Stock vesting questions
Will I pay tax at vesting and again when I sell?
Vesting creates employment income based on the shares’ value at that time. A later sale creates a separate capital gain or loss measured from the cost basis, which this estimate sets to the share value at vesting.
Why might 22% federal withholding fall short?
The supplemental withholding rate can be lower than the federal income-tax rate on the income your vest adds. The result compares estimated federal income tax and Additional Medicare owed with withholding, using your salary, filing status and other income.
When does this calculator treat stock units as taxable?
This estimate treats vesting as the point when restricted stock units create employment income, using the share price entered for that date. It covers vesting taxes; a later sale needs a separate capital-gain or loss calculation.
How much California tax could my vest add?
That depends on the vesting value and income on your state return. If the selected state estimate is unavailable, the calculator still shows federal comparisons, while state tax and combined withholding remain unavailable.