Message Font: Serif | Sans-Serif
No. of Recommendations: 0
Fidelity has the option grant in an option account. I tell them to exercise the option at current market. I indicate what fed and state taxes to take out. I get the difference between the grant price less the taxes. That is what has been happening. I never buy the stock.

Well, you do buy the stock. Otherwise you wouldn't have anything to sell to generate the cash to exercise the options. It's all like I explained it, it's just that the stock purchase and sale is transparent to you.

Also, these are long term options of over a year.

Does that make a difference?


Have you done this before? If so, before 2013? If so, did you get a 1099-B? If you've only done it in 2013, is it reflected in your paystub YTD numbers?

Rule Your Retirement Home Fool
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.