fb london: selling stock in a tax optimized way
So the way I understood it works is that the stocks get in the Charles Schwab account. FB doesn’t do PAYE for them. But I heard FB does pay NI when you sell, is that true? My question really is, what’s the optimal way of selling the stock in the UK at FB/meta? I guess if I want to hold the stock, it’s better to sell it and put it in a S&S ISA. How do people sell it and convert USD to GBP?
FB will withheld any due tax on your stocks, for example if you are due to receive 50 RSUs and your tax is 50% PAYE + NI, you will only receive 25 RSUs. There is no tax efficient way. Holding your stocks and selling at higher price from what they were at vesting time would incur extra Capital Gains Tax if gain is over £12k per annum. In this case you can use Stock and Shares ISA where you should hold your RSUs though not sure how to transfer from Schwab to another S&S ISA
Ah interesting. So this means that I’ll never receive the full stock amount and then file my own taxes? Everything is done automatically? Nice! For transferring to S&S ISA, I guess I’d need to get these 25 RSUs and cash them out. Then convert USD gained to GBP and buy the FB stock from one of ISA providers. I don’t think there is a “transfer” option.
I know you can transfer stocks from one Schwab account to another not sure about other platforms. Though you can sell and buy with cash from within S&S ISA. To transfer between USD and GBP you can use (Transfer)Wise account, it has multicurrency account USD, GBP and EUR.
TC or GTFO
New grad, TC around £100k
What's the breakdown of your TC please?