So, using smart asset, I figured that my marginal tax rate is around 35%. If I sell $10k worth of RSUs right at the vest, $2.2k (22%) should have already withheld for me at the vest. My actual tax responsibility was $3.5k (35%). So this means that I would need to withhold $1.3k of what I sold to pay taxes at tax season.
If my usual tax return is about $1k, I'd now owe $300.
So on that sale of $10k, I actually keep $8.7k. If I didn't sell, I'd still be responsible for paying the $1.3k.
Are my math and reasoning correct here?
I.e., I'd need to always sell an extra 13% of my shares to pay for taxes at vest; I keep 87% of what I sell.
Submitted September 09, 2021 at 04:25AM by djarnexus https://ift.tt/3jTFTnp
