I had a vesting date for a sizable RSA recently. My company handles taxes via net shares. I was reviewing the paystub for the event, and I see that the taxable wages for OASDI, Medicare, and Fed withholding are all the same amount. I’m used to seeing FICA tax removed before stating the taxable wage for fed income tax. Is there something unique about RSA vesting that changes that, or is this something I need to contact payroll over? If I’m understanding correctly, the value of these shares are being treated as ordinary W2 income, so why would FICA not be removed before calculating fed taxable wages? Seems I may have been shorted a few shares.
original posted by Gonejar to r/personalfinance on Wed, 28 Feb 2024 13:46:16 GMT.