Netflix StockPlan

Apple
alfajores

Go to company page Apple

alfajores
Sep 13, 2018 6 Comments

Netflixers, how do you exercise your NQSO.

Do you usually go for a cashless exercise first to cover taxes and fees then hold the resulting stocks hoping price would go up (and pay tax again on gains when you sell for profit)

Or

You rather exercise as a same-day sale for cash ?

Looking for ideas on how to save on taxes and to diversify about 4K stock options.

comments

Want to comment? LOG IN or SIGN UP
TOP 6 Comments
  • HODL, they're 10 year options
    Sep 13, 2018 5
    • Yep, a good chunk is in taxes. There's lots of ways it might play out, but hopefully by using pre tax money and the leverage will outweigh the extra tax paid on gains. Some people will take a year off or defer to exercise.
      Sep 13, 2018
    • Apple
      alfajores

      Go to company page Apple

      alfajores
      OP
      That’s the thing, if you just hold NQSO as is and exercise as someday sale for cash, the profit of NQSO is considered W2 income and we won’t get benefit of long term hold such as stock.
      Sep 13, 2018