Plan your Govini NSO exercise

Calculator · free · no signup · pre-IPO

Govini 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

1 yr
20%
20%
10.0%
Pre-IPO assumption: Expected sale price assumes a liquid market at year N. In reality, pre-IPO shares clear via tender offers (priced at a discount to the 409A or last preferred round, on the company's calendar) or at IPO (subject to lockups). Use the haircut to reflect that uncertainty.

Best after-tax payout — at year 1

$199,080

Sell + invest wins by $20,783 over Hold 1 yr.

Estimates only. Not financial advice.

Your NSO exercise pushes your top federal rate from 24% to 35%. Hover the Federal value below for the bracket-by-bracket slicing.

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%$18,573
LTCG on diversified gain (fed + state + NIIT)$5,219
Net at year 1$199,080

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$178,297

Sold 2,678 shares at exercise to cover strike + tax; 2,322 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

Sell + investExercise + hold
$0$54K$108K$162K$216KYr 1Yr 2

Estimates only. Excludes AMT (NSOs do not trigger AMT), state-AMT, multi-state moves, and disqualifying-disposition edge cases. Not financial advice.

You calculated one NSO decision. The beta plans NSOs alongside RSUs and ISOs in a single multi-year tax plan.

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About Govini

Govini is a privately held Data company, headquartered in Arlington, VA.

Defense data analytics.

Equity grants at Govini typically include incentive stock options (ISOs) and non-qualified stock options (NSOs).

Govini, founded in 2011 in San Francisco and later headquartered in Arlington, Virginia, sells AI-enabled software to the U.S. Department of Defense and national-security agencies. Its flagship product, Ark, runs on a proprietary National Security Knowledge Graph that integrates commercial and government data to accelerate acquisition, supply chain, and logistics decisions. The company reached $100 million in annual recurring revenue in October 2025, the same month it closed a $150 million growth investment from Bain Capital that pushed its valuation past $1 billion.

Sources: defenseone.com · govini.com

OptionsAhoy is an independent tool and is not affiliated with, endorsed by, or sponsored by Govini.

Govini 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 Govini tools → · Use the generic NSO Exercise Calculator for any company.

Govini equity questions

How is a Govini NSO exercise taxed?
Exercising a non-qualified stock option (NSO) creates ordinary income on the bargain element (the price on the day you exercise minus your strike), subject to federal income tax, state income tax, and FICA. The calculator above computes that tax for your Govini grant and compares selling the shares now against holding past the one-year mark for long-term capital-gains treatment.
Does Govini grant ISOs, NSOs, or RSUs?
Equity compensation at Govini typically takes the form of incentive stock options (ISOs) and non-qualified stock options (NSOs). Incentive stock options can trigger the alternative minimum tax (AMT) when you exercise.
Are Govini shares eligible for QSBS?
They might be. Qualified small business stock (QSBS) under Internal Revenue Code Section 1202 can exclude federal tax on much of the gain when shares were acquired at original issuance from a C-corporation while its gross assets were under $50 million, and held at least five years. Whether your Govini shares qualify turns on when you acquired them and the company's asset size at that time.
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