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Financial Planning / Tax Strategies


Subject:  Re: Employee Stock Purchase and capital gains Date:  7/16/2001  9:10 PM
Author:  kmckenzie Number:  52595 of 127753

I'm thinking about staying in the Employee Stock Purchase plan and buy stock at 15% discount and then sell them right away and invest in other funds/stocks. Will the capital gains of doing this
cost more in the long run? Is there a formula I can use for evaluation? Should I just limit my Employee Stock Purchase and just use that money to put into other investments?

Capital gains would be short term, ie, your current tax rate.

If your program is anything like mine, though, selling stock bought during the same issuing period (a six month stretch) automatically disqualifies you from purchasing any more during the same period.
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