Hi Everyone!
After maxing out my pension contributions for the year, I'm find myself short of liquid cash to top up my ISA. This is largely because a fair bit of my compensation is in RSUs which form an S104 pool.
Now normally, one would sell enough RSUs to trigger a capital gain worth £6k and invest the proceeds in ISA (bed and ISA), my situation's a bit different in that I've another RSU vest due within the next 30 days.
IIUC, it still makes sense to sell some RSUs and invest the proceeds in an ISA so as to utilise the limit for this FY.
For eg, assume I own 1000 units of stock X at £100 per unit. I sell 100 units at £200 per unit and invest the proceeds in an ISA. Letdown assume within the next 30 days, 200 units vest at £195 per unit. I believe the capital gain would be 100*5=£500 and my S104 balance would be 1100 units at £108.64 per unit.
Am I right in thinking this is still worth it even though I don't make full use of my CGT allowance? This is because I'm able to utilise the ISA limit which would go waste otherwise? TIA!
P.S. Needless to say, I find myself incredibly fortunate to be in this position.
After maxing out my pension contributions for the year, I'm find myself short of liquid cash to top up my ISA. This is largely because a fair bit of my compensation is in RSUs which form an S104 pool.
Now normally, one would sell enough RSUs to trigger a capital gain worth £6k and invest the proceeds in ISA (bed and ISA), my situation's a bit different in that I've another RSU vest due within the next 30 days.
IIUC, it still makes sense to sell some RSUs and invest the proceeds in an ISA so as to utilise the limit for this FY.
For eg, assume I own 1000 units of stock X at £100 per unit. I sell 100 units at £200 per unit and invest the proceeds in an ISA. Letdown assume within the next 30 days, 200 units vest at £195 per unit. I believe the capital gain would be 100*5=£500 and my S104 balance would be 1100 units at £108.64 per unit.
Am I right in thinking this is still worth it even though I don't make full use of my CGT allowance? This is because I'm able to utilise the ISA limit which would go waste otherwise? TIA!
P.S. Needless to say, I find myself incredibly fortunate to be in this position.