Thanks grabiner.
I had misinterpreted your statement
My plan is currently the following.
0) Exercise all my expiring options in early 2024.
1) Set up my W4 so that my employer withholds at least 110% of what I owed as taxes in 2023. That should put me in Safe Harbor.
2) Pay as much estimated taxes as I can afford (based on savings) in the four quarterly installments for Federal and California AMT
3) Exercise in early 2025 (> 1 year ) sufficient amount of my shares, pay LTCG, and then pay off the entire remaining amount of AMT plus interest + penalty if any.
Thank you very much!
I had misinterpreted your statement
.If you can arrange to pay your tax through extra withholding, even if that withholding happens in December 2024, there will be no penalty.
My plan is currently the following.
0) Exercise all my expiring options in early 2024.
1) Set up my W4 so that my employer withholds at least 110% of what I owed as taxes in 2023. That should put me in Safe Harbor.
2) Pay as much estimated taxes as I can afford (based on savings) in the four quarterly installments for Federal and California AMT
3) Exercise in early 2025 (> 1 year ) sufficient amount of my shares, pay LTCG, and then pay off the entire remaining amount of AMT plus interest + penalty if any.
Thank you very much!
Statistics: Posted by hamrotech — Sat Dec 30, 2023 1:50 am — Replies 6 — Views 337