Amazon RSU vesting option selection on fidelity

Amazon
l_wela

Go to company page Amazon

l_wela
Apr 8 5 Comments

Which option to choose? I don't want fidelity selling all my shares on the vesting date. I don't mind selling some of it to cover the taxes. Are there any benefits for choosing one over the others?

Blind tax:
TC 180
Yoe 1.5

Amazon RSU vesting option selection on fidelity

comments

Want to comment? LOG IN or SIGN UP
TOP 5 Comments
  • It literally has all the information on there and your posts seems to tell what you want...
    Apr 8 0
  • Amazon
    BozoJ

    Go to company page Amazon

    BozoJ
    First option means fractional trading
    Apr 8 2
    • Amazon
      l_wela

      Go to company page Amazon

      l_wela
      OP
      Does it mean they sell fractional shares to cover taxes and I get to keep the remaining without selling?
      Apr 8
    • Amazon
      SLcB02

      Go to company page Amazon

      SLcB02
      First option does not mean fractional trading. First option means selling the quantity of shares needed (and rounded up to a whole number) to pay taxes. Fractional is another setting on top of this.
      Apr 8
  • Amazon
    abm444

    Go to company page Amazon

    abm444
    So it depends on what your investing strategy is.
    If you want to hold the stocks long term because you’re bullish on the security then you can sell a portion to cover tax obligation/deposit funds to cover. However, it will be rounded up and the remaining balance will go into your account. The amount you sell will be taxed as normal income and the shares you leave untouched won’t be taxed until you decide to sell (Therefore it will eventually be taxed twice - look into short term vs long term capital gains).

    If you sell them all immediately when it vests then it will only be taxed as regular income.
    Apr 8 0