See what you actually keep from a vest after federal, state, and FICA.
About the RSU Take-Home calculator
Restricted stock units are taxed as ordinary income the moment they vest: the full market value of the shares on the vest date is added to your W-2 wages and is subject to federal, state, Social Security, and Medicare tax. Your employer withholds federal tax at the flat supplemental rate of 22% (37% on amounts over $1M), which is frequently below a high earner's true marginal rate — so the withholding falls short and you owe the difference at filing. This calculator estimates your real federal, state, and FICA tax on a vest, your take-home, and the size of that withholding gap.
Frequently asked questions
How are RSUs taxed?
At vest, the full fair-market value of the shares is treated as ordinary W-2 income and taxed at your federal and state rates plus FICA (Social Security and Medicare). When you later sell the shares, only the change in price since vesting is a capital gain or loss.
Why do I owe more tax on RSUs than was withheld?
Employers withhold federal tax on RSU income at a flat 22% supplemental rate (37% on the portion above $1M). If your marginal tax rate is higher than that — common for high earners — too little is withheld at vest and you owe the shortfall when you file.
Do I pay tax again when I sell my RSU shares?
Only on the gain since vesting. Your cost basis is the vest-date value that was already taxed as income. Sell above it and the increase is a capital gain (long-term if you held more than a year); sell below it and you have a capital loss.
Does my state tax RSU income?
Most states tax RSU vesting as ordinary income at your state rate. A handful — including Texas, Florida, and Washington — have no state income tax, so only federal tax and FICA apply.