Net Exercise & Cashless Exercise Calculator
Models share-settled exercise: withhold shares at FMV for strike cost, then withhold additional shares for estimated tax on the NSO-style spread (ordinary income). Compare to a cashless same-day sale (sell all shares, pay strike in cash from proceeds).
NSO-oriented spread tax
ISO: confirm with advisor
Inputs
Round lots; FMV = fair market value per share at exercise.
Results
Educational only — plans round shares differently.
Enter valid numbers (FMV must exceed strike).
Why this matters
Net exercise reduces how many shares you own but avoids a large cash outlay. Cashless exercise delivers cash but often triggers ordinary income on the full spread for NSOs. ISOs involve AMT considerations not modeled here—see our exercise methods guide.
Related guides
Go deeper on the rules and planning ideas behind this calculator.