What happens to individual stocks if a company goes private?

[masraum]

Originally Posted by GH85Carrera

The tax burden will be because she just made a ton of money from selling stock she likely got for almost nothing. My heart bleeds for her, receive a huge check and taxes are due. It is a really good issue to have. A total first world problem.

I will happily pay whatever taxes if someone give my a big check.

I hope she invest the money wisely.

Right. Many years ago, I got stock grants from a company a couple of times. They laid me off right before the grants matured. I don't remember what it would have been, probably 30-50k, if/when I'd sold the shares. If you get shares like that and then sell them, you put the money in the bank realizing that you'll be taxed. No problem. It's only a problem if you get the cash and blow it all.

I've heard folks talk about "I got a raise and now I'm just over the line for the next tax bracket" and they are upset about it. LOL! I've never had one take me up on the offer to ask the company to give me the extra to drop them back down into the lower tax bracket.

[rwest]

Originally Posted by masraum

I've heard folks talk about "I got a raise and now I'm just over the line for the next tax bracket" and they are upset about it. LOL! I've never had one take me up on the offer to ask the company to give me the extra to drop them back down into the lower tax bracket.

So many people don’t understand that only the portion that brought them into the higher bracket gets taxed at that level and the lower amounts get taxed in the lower brackets.

[masraum]

Originally Posted by rwest

So many people don’t understand that only the portion that brought them into the higher bracket gets taxed at that level and the lower amounts get taxed in the lower brackets.

Right.

I've never tried to convince anyone, there's no point. I have had folks argue with me about how a 401k with company match (dollar for dollar up to 5%) was a good deal (like getting a $5k raise at 100k).