How to Buy Wells Fargo Preferred Stock (6 Steps)

Compare the different types of preferred stock available. Wells Fargo Capital has six offerings. They include Non-Cumulative Convertibles (CUSIP: 949746804), Non-Cumulative Perpetual (two offerings; CUSIP: 949746PM7 and 949746879), Wells Fargo Preferred Funding Corp (CUSIP: 92977V206), Fixed Rate Cumulative Perpetual (No CUSIP) and Dividend Equalization Preferred (CUSIP: 949746887).
Compare callable dates. A call date refers to the date the company can 'call back' or pay you back for the securities. Convertibles have a call option embedded as a feature and the fixed rate cumulative securities are also callable at any time. All others have call dates ranging from March 15, 2018, to Dec. 31, 2022.
Compare coupons. The coupon is the amount you will receive in interest for buying the bond. Coupons are both fixed or floating, and range from 5 percent to 9 percent or more depending on the associated index.
Compare coupon payment dates. Payment dates can range from twice a year to four times a year. Choose an offering that best fits your income needs.
Compare final maturities. All of Wells Fargo's preferred stock are perpetual, which means they have no final maturity date.
Make a purchase through your broker, online broker or contact Wells Fargo Capital directly. You will need the CUSIP number provided in Step 1. This number contains all the information the broker or Wells Fargo representative needs. You will also need to stipulate the number of shares you wish to purchase. Divide the amount you would like to invest by the current price of the stock (see Resources).

How to Value Stock for an Estate

Contact the decedent's financial adviser. As the financial adviser of the estate will not want the account assets to be distributed away from his firm, he will usually be amenable to any administrative task you ask of him during the valuation of estate assets. Combined with the additional resources that a financial services firm can offer, this is usually your best option for determining stock valuations for an estate. Make sure to submit a death certificate for the decedent and whatever trust or court paperwork authorizes you to administer the estate before making your request. In addition to the stock values on the date of the decedent's death, you also want to get the stock prices from six months after this date. Known as the 'alternate valuation date,' the Internal Revenue Service (IRS) allows executors to choose either of these two dates, whichever is more advantageous for tax purposes, when filling an estate tax return. The only restriction is that the net result of the alternate valuation selection must be a reduction in both the gross value of the estate and a reduction in the overall estate tax due.
Consult historical stock data. If you cannot obtain a value from the decedent's financial adviser, you can look up your own quotes to obtain both date-of-death and alternate valuation date prices. Historical charts and prices are available on a number of financial websites, including that run by the Financial Industry Regulatory Authority. For estate purposes, stock valuation is obtained by deriving an average of the high and low prices of a stock on the valuation date. For example, if a stock traded at a low of $21 per share and a high of $23 per share on the date of death (or alternate valuation date), the stock price for estate purposes would be $22 per share.
Use the decedent's statements. If a stock price is otherwise unavailable, you can use the average price listed on the two statements closest to the date of death to develop an estimate of a stock's value. Usually, stock prices are easy to obtain, but in the case of an illiquid or otherwise hard-to-trade stock, historical pricing data may be difficult to find. Although this is the least reliable method of stock valuation, the IRS allows an executor to estimate if prices are reasonably close to the valuation date.

How to Report Non

Examine Box 1 of your Form W-2. It should be a higher amount than your annual salary. The increase is your income from exercising the stock options. Your employer will provide details on the amount in Box 1 to ensure that it includes salary, plus the difference between the option exercise price and the value of stock purchased on the exercise date.
Enter on Line 7 of Form 1040 the amount from Box 1 of your W-2. Include W-2 income from other employers, including the W-2 of a spouse if you file a joint tax return. Add the income from exercising the stock options if that amount is not already on your W-2.
Record the option exercise date in the first column of the ledger.
Write the market value of the stock on the option exercise date in the next ledger column. Label the column 'cost basis.'
Keep the ledger as a record of your purchase date and cost basis. Use this to determine taxable gain or loss when the stock is sold.