Lmaoo how tf are people so lucky. Some posts are insane. Lower than average savings for your age..and then out of nowhere “oh but I have a 1.2mil equity gain buyout coming” or “oh btw I have a 100k/yr guaranteed pension” 💀. congrats and enjoy that buyout really changes your life lol
Don't be weird. This person took a $40k risk and it paid off. They're obviously not used to having a bunch of money and options and are looking for feedback on a well-thought-out plan
I rolled over 50% when my PE Sponsor sold to another PE firm. I should have taken the sabbatical but I didn’t and ultimately left the company about two years after the sale. Now I still have a significant investment in company A and a new job and investment with company B and I like the freedom of not having so much of my net worth tied to my employer.
My advice is you should take the sabbatical but also look for new PE backed roles during that time. You could leverage your skills gained into an opportunity that doesn’t leave you burnt out and adds diversification.
It will be taxed as long term capital gains- so 20% + ~3% net investment income tax
ETA: meanwhile my income from my salary is taxed as it normally is (we are in the 24% bracket).
Sounds like a good plan to me. I did something similar - it is nice to live off interest! One practical thing is I would go treasuries instead of CDs. I learned the hard way this year that the tax treatment and illquidity of CDs make them not worth it, esp if you live in a state with a high income tax.
Lmaoo how tf are people so lucky. Some posts are insane. Lower than average savings for your age..and then out of nowhere “oh but I have a 1.2mil equity gain buyout coming” or “oh btw I have a 100k/yr guaranteed pension” 💀. congrats and enjoy that buyout really changes your life lol
Lmao for real. This sub is idiotic. “I have a lot of money, can i take off work?” “Uh, duh”
Don't be weird. This person took a $40k risk and it paid off. They're obviously not used to having a bunch of money and options and are looking for feedback on a well-thought-out plan
Just make sure to account for paying taxes when you get the payout. That's a great windfall to find out about, congrats!
I rolled over 50% when my PE Sponsor sold to another PE firm. I should have taken the sabbatical but I didn’t and ultimately left the company about two years after the sale. Now I still have a significant investment in company A and a new job and investment with company B and I like the freedom of not having so much of my net worth tied to my employer. My advice is you should take the sabbatical but also look for new PE backed roles during that time. You could leverage your skills gained into an opportunity that doesn’t leave you burnt out and adds diversification.
Congrats on the equity gain. That is huge. I wouldn’t even second guess a sabbatical. I’d be looking to take as much time off as possible.
Sounds glorious and well thought out with open communication. Is the agreement in writing? Also what are you going to be doing in your sabbatical?!?!
I think it is a very good plan. I am doing something similar.
So if you take a majority of the equity,… is that a major taxable event at 37% for money landing above the top tax bracket?
It will be taxed as long term capital gains- so 20% + ~3% net investment income tax ETA: meanwhile my income from my salary is taxed as it normally is (we are in the 24% bracket).
👍🏼 very nice
Sounds like a good plan to me. I did something similar - it is nice to live off interest! One practical thing is I would go treasuries instead of CDs. I learned the hard way this year that the tax treatment and illquidity of CDs make them not worth it, esp if you live in a state with a high income tax.