Tempus AI (TEM) NSO Exercise Calculator
Calculator · free · no signup · TEMPlan your Tempus AI NSO exercise (federal, state, FICA) and compare sell-vs-hold for long-term capital gains.
Beta · invite-only · AlphaLatitude Inc. · Free Tools
Your grant
Tax inputs
Hold strategy
Best after-tax payout — at year 1
$199,080
Sell + invest wins by $20,783 over Hold 1 yr.
Estimates only. Not financial advice.
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
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.
Request beta access →About Tempus AI
Tempus AI (TEM) is a public Data company, incorporated in Nevada and headquartered in Chicago, IL. IPO'd Jun 14, 2024.
Last close: $50.56 per share (as of 2026-06-16).
AI healthcare data.
Equity grants at Tempus AI typically include incentive stock options (ISOs), non-qualified stock options (NSOs), and restricted stock units (RSUs).
Tempus AI, Inc. is an American health technology company founded in 2015 by Eric Lefkofsky in Chicago, Illinois. It was established by Lefkofsky soon after his wife was diagnosed with breast cancer. Tempus uses data and artificial intelligence (AI) to create precision medicine services, including diagnostics, for oncology, cardiology, radiology, and depression. The company went public on the Nasdaq on June 14, 2024, under the ticker symbol "TEM."
Source: Wikipedia (CC BY-SA 4.0)
Eric Lefkofsky founded Tempus in Chicago in 2015 after his wife's breast cancer diagnosis exposed how little structured data oncologists could pull on demand. The platform now links clinical records with molecular sequencing across oncology, cardiology, and neuropsychiatry, and sells AI-enabled diagnostics back to physicians and pharma. Tempus listed on NASDAQ as TEM in June 2024 at $37. Revenue hit $1.27B in 2025 (up 83%), and a three-year AstraZeneca and Pathos collaboration adds $200M in data and model-development fees toward a multimodal oncology foundation model.
Sources: en.wikipedia.org · investors.tempus.com
Equity comp at Tempus AI
- RSUs use single-trigger vesting: shares become yours as each portion vests on schedule, and the value is taxed as ordinary income at that point. No IPO or acquisition is required.
Researched 2026-05-07.
OptionsAhoy is an independent tool and is not affiliated with, endorsed by, or sponsored by Tempus AI.
Use this calculator to estimate your Tempus AI (TEM) NSO exercise tax (federal, state, FICA), then compare selling now versus holding through the long-term capital gains threshold. Inputs are yours: grant terms, current price, your income, your state.
Example: at Tempus AI (TEM)'s last close of $50.56, exercising 5,000 NSOs with a $15.17 strike creates a $176,950 bargain element, taxed as ordinary income on the day you exercise. Combined federal + state + FICA on that bargain typically lands between $47,777 and $79,628 depending on your bracket and state. The calculator above computes the exact figure for your situation and compares selling now vs. holding through the long-term capital-gains threshold.
All Tempus AI tools → · Use the generic NSO Exercise Calculator for any company.
Tempus AI equity questions
- How is a Tempus AI 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 Tempus AI grant and compares selling the shares now against holding past the one-year mark for long-term capital-gains treatment.
- Does Tempus AI grant ISOs, NSOs, or RSUs?
- Equity compensation at Tempus AI typically takes the form of incentive stock options (ISOs), non-qualified stock options (NSOs), and restricted stock units (RSUs). Incentive stock options can trigger the alternative minimum tax (AMT) when you exercise. Restricted stock units are taxed as ordinary income when they vest.
- Do Tempus AI RSUs use double-trigger vesting?
- No. Tempus AI restricted stock units (RSUs) use single-trigger vesting: each tranche becomes yours as it vests on schedule, taxed as ordinary income at that point, with no liquidity event required.
One piece of the puzzle.
OptionsAhoy plans your Tempus AI equity alongside hedging, vesting, and de-concentration, across bullish, neutral, and bearish market scenarios. Free during beta.