Equity compensation tax visualizer

Educational illustration of general U.S. federal rules (IRC § 83; Adobe 2019 Equity Incentive Plan prospectus, Appendix A, Q&A 6). Prices are hypothetical, and the line between dates is a straight-line illustration, not actual ADBE price history. Estimated tax uses the flat rates you enter, not a full return. Not modeled: Social Security and Medicare (RSU income is subject to both), the 0.9% Additional Medicare Tax, the 3.8% net investment income tax, state withholding, AMT, and wash-sale adjustments.

Shares withheld are an estimate (units × withholding rate); E*TRADE shows the actual count. Federal supplemental withholding is a flat 22%, and 37% on supplemental wages above $1 million in a calendar year. Long-term treatment requires holding more than one year after vest. Sales are subject to Adobe's Insider Trading Policy and trading windows (prospectus Q&A 22). Check these figures against your W-2, Form 1099-B supplemental information and E*TRADE account before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules (Adobe 2019 Equity Incentive Plan prospectus, Appendix B). Program terms follow Adobe's Performance Share Program as filed with the SEC (2024 Program, amended January 24, 2025, and the 2025 award agreement): offered to designated participants at vice president level and above; two goals weighted 50% each (relative TSR against the NASDAQ-100 over three calendar years, and Net New Sales over three fiscal years); total payout capped at 200% of target; TSR payout capped at 100% when Adobe's TSR is negative; vesting on the later of the 3rd anniversary or certification. Your award agreement controls, and the payout curve can change by grant year.

Prices and payout percentages are hypothetical. Nothing is taxed at grant or during the performance period. At vest, the value of shares delivered is wages subject to income tax, Social Security and Medicare, and Adobe withholds shares to cover it. Not modeled: FICA, the 3.8% net investment income tax, state withholding, AMT, and pro-rated awards on termination or change of control. Check these figures against your award agreement, W-2 and E*TRADE account before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules for a § 423 plan (IRC §§ 421 and 423; Form 3922). Plan terms follow Adobe's benefits site (contribute up to 25% of pay, purchases every six months, price locked for 24 months, enrollment in June and December) and the Adobe 1997 Employee Stock Purchase Plan as filed with the SEC (85% of the lower of the offering-date or purchase-date value; four six-month purchase periods; automatic reset into a new offering when the price on a purchase date is below the offering-date price; $25,000-per-calendar-year limit measured at offering-date value). Confirm current terms in the ESPP prospectus on Inside Adobe.

Prices are hypothetical. Qualifying treatment requires selling more than 2 years after the offering date and more than 1 year after the purchase date. ESPP ordinary income is reported on the W-2 but isn't subject to Social Security or Medicare, and nothing is withheld, so plan for it at filing. The 1099-B often reports only the purchase price as basis; add the ordinary income to avoid being taxed twice. Not modeled: the 3.8% net investment income tax, state rules, wash sales, and dispositions by gift or at death. Check these figures against your Form 3922, W-2 and E*TRADE account before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules for stock-settled and cash-settled SARs (IRC § 83 and Treas. Reg. § 1.409A-1(b)(5)). Prices are hypothetical; the line between dates is a straight-line illustration. Shares delivered are the spread divided by the exercise-date price, rounded down; shares withheld are an estimate. Not modeled: Social Security and Medicare (the spread is wages subject to both), the 3.8% net investment income tax, state withholding and wash sales. The terms of any SAR award agreement control. Check these figures against your W-2 and E*TRADE account before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules for restricted stock (IRC § 83(a) and (b); Treas. Reg. § 1.83-2). An 83(b) election must be filed with the IRS within 30 days after the shares are transferred, can't be revoked, and doesn't produce a deduction if the shares are later forfeited. The income it creates is wages subject to withholding, Social Security and Medicare, so you'll need to pay that amount to Adobe. Prices are hypothetical, and the line between dates is a straight-line illustration.

The "price hold up" chart assumes the shares are worth the same at vest and at sale, and gives no tax benefit for capital losses. A loss can offset other capital gains and up to $3,000 a year of ordinary income. Not modeled: Social Security and Medicare, the 3.8% net investment income tax, state rules and dividends before vesting. Check these figures against your award agreement, 83(b) filing and W-2 before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules (IRC § 83(a) and (b); Treas. Reg. § 1.83-2). Ordinary income is the market value minus what you paid, measured at purchase (vested shares or 83(b)) or at vest (restricted shares without 83(b)). An 83(b) election must be filed within 30 days after purchase and can't be revoked. If unvested shares are repurchased at your cost, you get your purchase price back, but tax paid under an 83(b) election isn't refunded. Prices are hypothetical, and the line between dates is a straight-line illustration.

The "price hold up" chart assumes the shares are worth the same at vest and at sale, and gives no tax benefit for capital losses. Not modeled: Social Security and Medicare, the 3.8% net investment income tax and state rules. Check these figures against your award agreement, 83(b) filing and W-2 before making a decision, and talk with your tax professional. Not tax advice.

Educational illustration of general U.S. federal rules (Adobe 2019 Equity Incentive Plan prospectus, Appendix B). The performance-share comparison converts the same target value into shares at the grant price, applies the same performance percentage, and values them at the payment-date price. Shares paid are the stock portion divided by the payment-date price, rounded down; withholding is applied proportionally to cash and shares. Prices and results are hypothetical.

The payout is wages subject to income tax, Social Security and Medicare. Not modeled: FICA, the 3.8% net investment income tax, state withholding and pro-rated payouts on termination. The award agreement controls the payout form and timing. Check these figures against your award agreement, W-2 and E*TRADE account before making a decision, and talk with your tax professional. Not tax advice.