Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Tax savings choosing NUA
$40,800
Total tax under NUA strategy
$55,200
Total tax rolling to IRA then withdrawing
$96,000
Net unrealized appreciation
$240,000
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One click, a permanent link with your numbers baked in.
How to use this
- 1Enter cost basis of company stock ($).
- 2Enter current market value of stock ($).
- 3Enter ordinary income tax rate (%).
- 4Enter long-term capital gains rate (%).
- 5Enter subject to 10% early withdrawal penalty on basis?.
- 6Read your tax savings choosing nua on the right — it updates as you type.
- 7Hit Share to keep the scenario or send it to someone.
About this calculator
If your 401(k) holds appreciated company stock, the Net Unrealized Appreciation rule lets you distribute those shares in-kind to a taxable brokerage account, pay ordinary income tax only on the stock's original cost basis now, and pay long-term capital gains rates (not ordinary income) on all the appreciation whenever you eventually sell — even if you sell the next day. The alternative is rolling everything into an IRA, where the entire value is taxed as ordinary income upon withdrawal, potentially for decades. This calculator compares total tax cost under both paths given your cost basis, current stock value, tax brackets, and expected holding period, so you can see whether NUA's upfront tax hit is worth the long-term capital-gains treatment on the rest.
Worked example
Using the values the calculator loads with:
Inputs
- Cost basis of company stock: 60000 $
- Current market value of stock: 300000 $
- Ordinary income tax rate: 32 %
- Long-term capital gains rate: 15 %
- Subject to 10% early withdrawal penalty on basis?: No
Results
- Tax savings choosing NUA: $40,800
- Total tax under NUA strategy: $55,200
- Total tax rolling to IRA then withdrawing: $96,000
- Net unrealized appreciation: $240,000
What each field means
Inputs
- Cost basis of company stock ($)
- The cost basis of company stock used in the calculation, measured in $. Starts at 60000 $ so you have a working example on load.
- Current market value of stock ($)
- The current market value of stock used in the calculation, measured in $. Starts at 300000 $ so you have a working example on load.
- Ordinary income tax rate (%)
- The ordinary income tax rate used in the calculation, measured in %. Starts at 32 % so you have a working example on load. Accepted range: 0–50 %.
- Long-term capital gains rate (%)
- The long-term capital gains rate used in the calculation, measured in %. Starts at 15 % so you have a working example on load. Accepted range: 0–30 %.
- Subject to 10% early withdrawal penalty on basis?
- Pick the option that matches your situation — the maths changes per option. Choices: Yes, under 55 and separated, No.
Results
- Tax savings choosing NUA
- Returned as a money amount in US dollars and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Total tax under NUA strategy
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Total tax rolling to IRA then withdrawing
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Net unrealized appreciation
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
What triggers eligibility for NUA treatment?
You need a 'lump-sum distribution' of your entire 401(k) balance in one calendar year, after a triggering event: separation from service, reaching 59½, disability, or death. The company stock must move in-kind to a taxable account, not be sold inside the plan first.
Do I owe tax immediately when I do an NUA distribution?
Yes, on the cost basis portion only, taxed as ordinary income in the year of distribution. The appreciation isn't taxed until you actually sell the shares, and it's taxed at capital gains rates even if you sell the very next day, which is what makes NUA valuable versus a normal 401(k) withdrawal.
When does NUA NOT make sense?
If your cost basis is a large share of the current value (little appreciation), or if you're in a very low ordinary bracket now and expect to withdraw from an IRA gradually in future low-bracket years, a straight IRA rollover can win. Run both numbers — NUA is a math decision, not an automatic default for holding company stock.
What about the rest of my 401(k) balance that isn't company stock?
Only the company stock portion needs in-kind distribution for NUA; the remaining balance can still roll over into an IRA tax-free as part of the same lump-sum distribution, so you don't lose tax deferral on your diversified holdings.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
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Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). NUA Company Stock Tax Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/nua-company-stock
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/nua-company-stock" target="_blank" rel="noopener">NUA Company Stock Tax Calculator — RevenueLab</a> (2026).</p>
Source: [NUA Company Stock Tax Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/nua-company-stock) (2026).