Note: Wealthfront is no longer accepting new Selling Plan clients. However, we will keep these articles online for clients with existing plans.
Selling Plan helps you estimate, minimize, and set aside cash for taxes.
Selling Plan will first sell the shares that have the lowest tax load for you by looking at the cost per share and holding period (long term/short term) of all your shares.
Selling Plan also attempts to prevent any disqualifying disposition on the sale of your stock from the exercise of ISO options. We do this by looking for shares with low cost basis that are within a year of purchase and avoid selling those shares.
Lastly, Selling Plan will help you estimate your upcoming tax bill on the sale of your concentrated stock, and can set aside cash for you to pay it.
Nothing in this blog should be construed as tax advice, a solicitation or offer, or recommendation, to buy or sell any security. Financial advisory services are only provided to investors who become Wealthfront Inc. clients pursuant to a written agreement, which investors are urged to read carefully, that is available at www.wealthfront.com. All securities involve risk and may result in some loss. For more information please visit www.wealthfront.com or see our Full Disclosure. While the data Wealthfront uses from third parties is believed to be reliable, Wealthfront does not guarantee the accuracy of the information.