If you hold employer stock in a qualified retirement plan, the NUA rule may allow you to manage taxes in a way that lowers your tax bill and preserves more of your retirement savings.
A concentrated stock position is a single stock that makes up a significant share of your portfolio or net worth. Concentrated positions carry idiosyncratic risks that may have outsized impacts on your portfolio.
How to Stop Being a HENRY
Many people who’ve recently stepped into a significantly higher income find themselves in uncharted financial waters. You may be considered a “HENRY” (High Earner, Not Rich Yet), and regardless of whether you’re a doctor, attorney, tech professional, or entrepreneur, the sudden jump from a modest income to a substantial salary brings challenges only those who’ve walked this path can fully appreciate.