Plan your Fusemachines Inc. NSO exercise
Calculator · free · no signup · pre-IPOFusemachines Inc. is pre-IPO. Plan your NSO exercise tax (federal, state, FICA) at any expected valuation.
Beta · invite-only · AlphaLatitude Inc. · Free Tools
Your grant
Tax inputs
Hold strategy
@ 20.0% / yr
Best after-tax payout — at year 1
$199,194
Sell + invest wins by $20,795 over Hold 1 yr.
Sell + invest
Best payout| Bargain element (sale − strike) | $350,000 |
| Federal | |
| State | |
| Medicare | −$5,075 |
| Additional Medicare | −$3,150 |
| Market gain over 1 yr at 10.0% | $18,583 |
| LTCG on diversified gain (fed + state + NIIT) | −$5,222 |
| Net at year 1 | $199,194 |
Sell every share immediately; invest the after-tax cash at the market return for 1 yr, then liquidate. Diversified — no single-stock concentration risk.
Exercise + hold 1 yr
| Sale proceeds (year 1) | |
| LTCG tax (federal + state + NIIT) | $0 |
| Net at year 1 | $178,399 |
Sold 2,677 shares at exercise to cover strike + tax; 2,323 shares held 1 yr for LTCG.
Social Security + Medicare are payroll taxes (collectively called FICA) — they apply because you're exercising as a current employee.
Both columns are stated in year-1 dollars: sell-now proceeds compound at the market return and pay LTCG on the gain at year 1; any cash paid out of pocket on the hold side carries the same opportunity cost.
Net at year N — by hold period
Estimates only. Excludes AMT (NSOs do not trigger AMT), state-AMT, multi-state moves, and disqualifying-disposition edge cases. Not financial advice.
About Fusemachines Inc.
Fusemachines Inc. is a privately held Cloud/SaaS company. S-1 filed Apr 27, 2026.
Equity grants at Fusemachines Inc. typically include incentive stock options (ISOs) and non-qualified stock options (NSOs).
Fusemachines Inc. is a pre-IPO Cloud/SaaS company. S-1 filed Apr 27, 2026. NSO exercise creates ordinary income on the bargain element — federal, state, and FICA — at the price on the day you exercise. The calculator works at any valuation, so you can model your exercise cost at the current 409A FMV, an expected IPO price, or post-IPO scenarios.
All Fusemachines Inc. tools → · Use the generic NSO Exercise Calculator for any company.
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