Equity Compensation Calculator
Sell your vested RSUs immediately, or hold for long-term capital gains? Honest math on the tax-timing question — including when the hold is a rounding error and concentration risk makes 'diversify anyway' the right answer.
What You Get
- Symmetric-tax model — the vest FMV ordinary tax hits both paths, so hold is a bet on the stock, not the tax code
- Break-even stock return lands exactly on the market return you'd reinvest into (visible in the crossover chart)
- LTCG-savings-if-wait card fires when the hold horizon is under 12 months — the ONE genuine tax lever
- Concentration warning when a vest exceeds 5% of net worth AND the hold path at least matches sell
Model the after-tax difference between selling vested RSUs immediately vs holding for LTCG treatment. Break-even stock return, concentration warning, and the honest math on when tax optimization is worth the risk.
Unlock Equity Compensation Calculator
Get access to all premium financial simulators, save up to 10 scenarios per tool, and shareable scenario links.
Starting at $7.99/month · Cancel anytime
Common Questions
Should I sell my vested RSUs immediately or hold for LTCG?
It's a bet on the stock beating a diversified alternative, not a tax strategy. Both paths pay the same ordinary tax on the vest FMV and the same capital-gains rate on post-vest growth (LTCG if held ≥12 months, ordinary if sold sooner). Hold wins exactly when the stock outperforms the market you'd have sold-and-reinvested into — no more, no less. The tool makes that trade-off visible in dollars and factors concentration risk into the recommendation.
Is there any actual tax benefit to holding past 12 months?
Yes — one. Growth taxed as short-term capital gains (sold before 12 months) hits your ordinary marginal rate; waiting past the LTCG mark drops that same growth to 0/15/20%. The tool computes the exact dollar savings from waiting when the horizon is under 12 months. That's the ONE genuine tax lever; the rest of the sell-vs-hold decision is a bet on the stock, not the tax code.
Why does the tool warn about concentration?
When your vest is more than 5% of your net worth AND the math says holding at least matches selling, you're taking real single-stock risk in exchange for zero (or thin) expected upside over a diversified alternative. The tool calls that out explicitly — the honest-math soul of the calculator is that the FIRE community's default 'hold for LTCG' advice ignores concentration cost, and one bad quarter in one company can dwarf the tax delta.