Do RSU vests after I leave show on my W-2?

If the plan allows vesting after departure (unusual for standard RSUs) or if vest occurred before last day but processed later, wages may still appear on the former employer's W-2. Forfeited unvested units after leave generally produce no W-2 income.

Two W-2s and RSU tax: how do I estimate the gap?

Add wages from both W-2s plus expected remaining income. Use the withholding gap calculator with total vest value and combined salary. Increase W-4 at the new job if a gap appears.

Can I roll RSU shares when changing jobs?

RSU shares already vested are yours in your brokerage account. Unvested RSUs generally do not transfer like a 401(k). Read your grant for termination treatment.

Which employer withholds state tax on the vest?

Typically the employer at vest date on payroll records. Multi-state moves add complexity; see moving state guides if you relocated the same year.

I vest on my last day. Which W-2?

The employer you worked for that day usually reports vest wages on your final W-2 if payroll processed the vest in that tax year.

Does job change affect 1099-B when I sell RSU shares later?

No. Sale reporting uses broker 1099-B and vest basis from the vest year. Employment status at sale does not change basis.

Should I talk to a CPA when leaving with unvested RSUs?

Worth it if you have large unvested value, acceleration clauses, or multi-state work history in the same year as departure.

What if both employers withheld 22% on RSU and salary?

Flat supplemental withholding on each employer's RSU or bonus does not see your combined income. Two jobs each withholding 22% on large vests can still leave a five-figure gap at filing for high earners.

How does RSU vest between jobs affect state tax?

State sourcing usually follows payroll on the vest date. If you moved states mid-year, you may file part-year resident returns. Old state may tax wages earned while resident there; new state may tax wages after the move. Keep pay stubs showing state withholding on the vest.

RSU Vest Between Jobs | Two W-2s & Withholding

You changed employers mid-year and an RSU vest landed while you had two jobs, or a vest hit shortly after your last day. You want to know how W-2 wages stack, why withholding may fall short, and which employer reports the vest.

Start here

income is wages from the employer whose plan granted the shares, reported on that employer's for the year. Changing jobs does not split one across two W-2s, but two employers each only on their own paychecks can under- for your combined income. Vests that occur after termination follow plan rules; some unvested grants are forfeited. Plan ahead when you know a large and job change overlap in one calendar year.

What you need before using this

Last day of employment and schedule from equity portal.
confirmation if a occurred near the job change.
from old and new employer for the year.
Grant agreement on termination treatment of unvested .
State move date if relocation coincided with the job change.

Plan termination rules vary by company. Grant documents control forfeiture and vest timing. This page does not interpret your separation agreement.

Why this happens

Each employer runs payroll independently. formulas use wages from that employer only, not your spouse's income or your other job unless you adjust W-4 with extra .

A large on the old employer's can sit in high brackets when combined with salary from the new employer, even if each job withheld at flat supplemental rates on the .

Vests scheduled after your last day may be forfeited under the grant. Vests on or before your last day while still employed are typically wage events on the final if the processed in payroll.

Some companies prorate or accelerate on departure; others cancel unvested units immediately. The grant agreement and separation letter control economics, not generic tax rules.

Stock plan administrators may take weeks to process a final . You might receive shares or a confirmation after your last paycheck. The still should include wages for the year the occurred.

New employer grants start a fresh schedule. You could have income from two companies in one tax year without any single being split.

COBRA, severance, and PTO payout are separate items from wages. Do not confuse severance with supplemental .

Multi-state issues appear if you worked in two states or moved. Old state may tax wages earned there; new state may tax wages after move. sourcing follows employer payroll rules and state law.

Estimated tax payments may be needed when two partial-year W-2s together under- relative to full-year income.

Selling shares after leaving uses the same basis rules as while employed: from the year , sale on later.

Negotiated acceleration on departure may move wage income into the termination year in a lump sum. Separation agreements sometimes spell out whether acceleration is guaranteed or discretionary.

401(k) deferrals do not reduce wages already included in Box 1. Do not expect pre-tax retirement contributions to shield income.

Cobra and gap health coverage costs are personal expenses, not deductible wages offsets against income on your .

What to check

Whether was before or after last day employed.
Old employer Box 1 includes if occurred while employed.
New employer only includes that employer's wages and any vests from new grants.
Combined Box 1 from both W-2s vs your expected total income.
on confirmation vs on combined income.
Grant status of unvested units after termination.
Post-termination stock plan account access for confirmations.
State wages boxes if you moved between states.
Estimated tax payment records if you paid after comparing both W-2s.

Expecting the new employer to withhold for the old employer's RSU

The new job's payroll system does not know your old employer's unless you increase W-4 or make estimated payments. Each reflects one employer only.

What to check in your documents

Separation agreement and equity plan termination section.
Final pay stub and confirmation from old employer.
Both forms.
New employer offer letter with new grant schedule.
State move documentation if applicable.

July job change with March vest on old grant

Illustration only, not your tax situation.

Taylor left Company A in July. A March of $60,000 while at Company A appears on Company A's with supplemental . Taylor joins Company B in August with higher base salary. Company B withholds on salary only. Combined income pushes Taylor into a higher bracket than either employer modeled. Taylor owes a balance due at filing despite on both W-2s. Taylor updates Company B's W-4 after the first January at the new job to add extra federal , closing part of the gap before the next April.

Questions people ask

Do RSU vests after I leave show on my W-2?: If the plan allows after departure (unusual for standard ) or if occurred before last day but processed later, wages may still appear on the former employer's . Forfeited unvested units after leave generally produce no income.
Two W-2s and RSU tax: how do I estimate the gap?: Add wages from both W-2s plus expected remaining income. Use the gap calculator with total value and combined salary. Increase W-4 at the new job if a gap appears.
Can I roll RSU shares when changing jobs?: shares already vested are yours in your brokerage account. Unvested generally do not transfer like a 401(k). Read your grant for termination treatment.
Which employer withholds state tax on the vest?: Typically the employer at on payroll records. Multi-state moves add complexity; see moving state guides if you relocated the same year.
I vest on my last day. Which W-2?: The employer you worked for that day usually reports wages on your final if payroll processed the in that tax year.
Does job change affect 1099-B when I sell RSU shares later?: No. Sale reporting uses broker and basis from the year. Employment status at sale does not change basis.
Should I talk to a CPA when leaving with unvested RSUs?: Worth it if you have large unvested value, acceleration clauses, or multi-state work history in the same year as departure.
What if both employers withheld 22% on RSU and salary?: Flat supplemental on each employer's or bonus does not see your combined income. Two jobs each 22% on large vests can still leave a five-figure gap at filing for high earners.
How does RSU vest between jobs affect state tax?: State sourcing usually follows payroll on the . If you moved states mid-year, you may file part-year resident returns. Old state may tax wages earned while resident there; new state may tax wages after the move. Keep pay stubs showing state on the .

When to get help from a tax pro

and termination on the same week with unclear reporting.
Employer in one state, remote work in another during year.
Significant unvested with negotiation over acceleration.
Old employer has not issued by February but occurred.

Related calculators

Sources and notes

Primary tax claims on this page are supported by the official and secondary sources below. Broker and software links describe reporting mechanics — confirm rules against IRS or state guidance.

Multiple W-2 supplemental withholding vs combined marginal tax on vest wages.

IRS Publication 15 (Circular E) — Supplemental wages
Internal Revenue Service · Official
Section 7 describes supplemental wage withholding, including the optional 22% flat rate and 37% rate above $1 million of supplemental wages in a calendar year.
IRS Publication 525 — Taxable and Nontaxable Income
Internal Revenue Service · Official
Covers compensation income from stock-based pay, including restricted property under section 83.
IRS Tax Withholding Estimator
Internal Revenue Service · Official
Tool to estimate whether paycheck withholding (including supplemental events) will cover annual tax liability.

For learning, not filing

VestingTax.com is not a CPA firm or tax preparer. Grants, employers, and states all differ. Use the cited IRS and state sources above, your own documents, and a qualified tax professional before you make decisions from this guide.

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RSU vest between jobs: two W-2s, withholding, and who reports what