Maximize Your Retirement with Net Unrealized Appreciation (NUA)
Do you own company stock in your 401(k) or ESOP? You could be sitting on an untapped tax-saving opportunity—and most investors don’t even know it exists.
At Hobbs Wealth Management, we’re helping clients unlock the value of a powerful IRS-approved strategy: Net Unrealized Appreciation (NUA). It’s one of the most effective ways to reduce taxes on your retirement savings, particularly for those with highly appreciated company stock.
What is NUA—and Why Should You Care?
NUA is the difference between what you paid for your company stock (the cost basis) and what it’s worth today. When used strategically, NUA allows the appreciation to be taxed at long-term capital gains rates—typically much lower than ordinary income tax rates.
In one real-world example, a client with $200,000 in company stock saved over $31,000 in taxes simply by using the NUA rule correctly.
Why It Matters Now
NUA may be a fit for you if:
You’re retiring or nearing retirement
You have low cost-basis company stock in your 401(k)
You’re in a higher tax bracket and want to keep more of your hard-earned money
But here’s the catch: The rules are strict, and a single misstep—like rolling your company stock into an IRA—can eliminate the NUA benefit entirely.
Get the Full Guide
Our latest guide, "Unlock Tax Savings with Net Unrealized Appreciation (NUA)," breaks down everything you need to know—from qualification rules to real case studies and planning considerations.
Click button to download the full PDF guide.
Let’s talk strategy. If you think NUA might fit into your retirement plan, we’d love to help you assess the potential tax savings and avoid costly mistakes. Schedule a complimentary consultation today.
David Hobbs, CFP®
Wealth Advisor | Owner
Hobbs Wealth Management
Past performance may not be indicative of future results. Investing in securities involves risks, including the potential for loss of principal. There is no guarantee that any investment plan or strategy will be successful.