3 ms·
RSUs are withheld using that formula. They are taxed as ordinary income. It doesn’t matter on your taxes if you are earning dollars or RSUs.
by UncleMeat 5y ago
RSUs are withheld using that formula. They are taxed as ordinary income. It doesn’t matter on your taxes if you are earning dollars or RSUs.
- scarface74 5y agoMy company does not pay the employer side of FICA (7.4%) on RSUs
- UncleMeat 5y agoThis feels illegal but I’m certainly no lawyer. I’ve never heard of this sort of thing happening before for w2 employees. Learn something new every day.
- scarface74 5y agoI’m sure someone would have called out the US’s second largest employer if it were illegal. Just to be clear - we have to pay the employer side.
- boring_twenties 5y agoMost of FICA is social security, which only applies to the first $142k or so of your income. If you hit that cap before RSUs, then it wouldn't apply to those. (There's still the medicare portion, but that's only 1.45% each side.)