Plan your Together AI NSO exercise
Calculator · free · no signup · pre-IPOTogether AI is pre-IPO. Plan your NSO exercise tax (federal, state, FICA) at any expected valuation.
Beta · invite-only · AlphaLatitude Inc. · Free Tools
Your grant
Seeded from secondary-market data, as of Jun 6, 2026
Tax inputs
Hold strategy
Best after-tax payout — at year 1
$552,182
Sell + invest wins by $368,731 over Hold 1 yr.
Estimates only. Not financial advice.
Sell + invest
Best payout| Bargain element (sale − strike) | $1,028,300 |
| Federal | |
| State | |
| Medicare | −$14,910 |
| Additional Medicare | −$9,255 |
| Market gain over 1 yr at 10.0% | $51,514 |
| LTCG on diversified gain (fed + state + NIIT) | −$14,476 |
| Net at year 1 | $552,182 |
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 | $183,451 |
Sold 2,611 shares at exercise to cover strike + tax; 2,389 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 Together AI
Together AI is a privately held AI company, incorporated in Delaware and headquartered in San Francisco, CA.
Last reported secondary-market price: $215.66 per share (as of 2026-06-06). Your own 409A may differ.
Open-source AI cloud.
Equity grants at Together AI typically include incentive stock options (ISOs) and non-qualified stock options (NSOs).
Together AI was founded in June 2022 by Vipul Ved Prakash (CEO, who previously sold Topsy to Apple), Percy Liang (Stanford CRFM director), Ce Zhang (ETH Zurich), Chris Ré (Stanford), and Tri Dao (FlashAttention author). The company operates a cloud platform for training and running open-source AI models, giving developers API access to models like LLaMA and DeepSeek without managing GPU infrastructure. Together raised $102.5 million in November 2023 and a $305 million Series B in February 2025 at a $3.3 billion valuation, led by General Catalyst.
Sources: together.ai
OptionsAhoy is an independent tool and is not affiliated with, endorsed by, or sponsored by Together AI.
Together AI 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.
Example: at Together AI's last reported price of $215.66, exercising 5,000 NSOs with a $64.7 strike creates a $754,800 bargain element, taxed as ordinary income on the day you exercise. Combined federal + state + FICA on that bargain typically lands between $203,796 and $339,660 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 Together AI tools → · Use the generic NSO Exercise Calculator for any company.
Together AI equity questions
- How is a Together 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 Together AI grant and compares selling the shares now against holding past the one-year mark for long-term capital-gains treatment.
- Does Together AI grant ISOs, NSOs, or RSUs?
- Equity compensation at Together AI 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 Together AI 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 Together AI shares qualify turns on when you acquired them and the company's asset size at that time.
One piece of the puzzle.
OptionsAhoy plans your Together AI equity alongside hedging, vesting, and de-concentration, across bullish, neutral, and bearish market scenarios. Free during beta.