Personal Finance (Not Investing) • IRS Safe Harbor calculations

Also I have some RSU that are going to be vested this year. At the time of vesting the employer/brokerage will withhold taxes. I am assuming that amount will also be part of my withholding for this year ( meaning considered same as that withheld from my pay).
Basically I can add my paycheck withholding for each pay and the one time RSU withholding to get my total withholding for this year. Is this correct?

Yes, but a word of caution, rsu withholding is at a set rate of 22%, which is probably lower than your marginal tax bracket rate. Plan on setting aside more, some of which you might need to pay via estimated taxes, but all of which is definitely due next April. If applicable, don't forget about state taxes too

Statistics: Posted by random_walker_77 — Sun Sep 08, 2024 1:23 am — Replies 25 — Views 3317

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