How will withholding and reporting work when I retire?
September 18, 2006
Date: Tue, 20 Jun 2006
From: Michael
If I exercise my (non-qualified) stock options after I retire, how will withholding and reporting be done, since I will no longer be an employee?
Answer
Date: 05 Jul 2006
Hello Michael,
Since the options were received relating to your employment, your employer will still be required to withhold income and employment taxes and report the income on Form W-2, even when you are no longer an employee.
Good luck!
Mike Gray