Selling a stock on Robinhood takes three steps: find the position, tap sell, and confirm the order

Open the Robinhood app and go to the Stocks tab. Find the stock you own in your portfolio, tap it, and you'll see a green Sell button at the bottom of the screen. Tap Sell, choose how many shares you want to sell (or tap the max icon to sell all of them), and review the price. Robinhood shows you the estimated proceeds — what you'll receive after the sale. Tap Confirm to place the order.

The sale executes immediately during market hours (9:30 a.m. to 4 p.m. Eastern on weekdays). If you sell after hours or on a weekend, your order queues and fills when the market opens the next trading day. Once the sale completes, the cash lands in your Robinhood account, not your bank yet.

You can sell a partial position (some shares) or your entire holding. Robinhood doesn't charge a commission on stock sales, so you keep all the proceeds minus any taxes you'll owe on gains.

Key Takeaways

  • Tap the stock in your portfolio, hit the green Sell button, enter the number of shares, and confirm — the sale executes immediately during market hours.
  • Cash from the sale lands in your Robinhood account within one trading day, but you cannot withdraw it to your bank account until the settlement period ends.
  • Stock sales settle in two business days; during that time the cash is held by Robinhood and shows as "unsettled" in your account.
  • After settlement completes, transfer the cash to your linked bank account through the Account menu, which typically takes one to three business days.
  • If you sell a stock at a loss, keep your tax documents; if you sell at a gain, you'll owe capital gains tax on the profit.

Understanding settlement and why you cannot withdraw immediately

When you sell a stock, the transaction does not complete the same day. The stock market operates on a T+2 settlement cycle, meaning the sale settles two business days after you place the order. During those two days, Robinhood holds the cash and marks it as "unsettled" in your account.

You can use unsettled cash to buy other stocks immediately, but you cannot transfer it to your bank account until settlement finishes. This is a rule enforced by the Securities and Exchange Commission, not a Robinhood policy. If you try to withdraw unsettled cash, the transfer will fail or Robinhood will reject it.

Example: You sell 10 shares on a Monday at 2 p.m. The sale settles on Wednesday. You can buy stocks with that cash on Monday evening, but you cannot move it to your bank until Wednesday afternoon at the earliest.

Transferring cash from Robinhood to your bank account

Once your sale settles (two business days after you sell), the cash moves from "unsettled" to "cash available to withdraw" in your Robinhood account. Open the app, tap Account (the person icon at the bottom right), and scroll down to find Transfers. Tap Withdraw and select your linked bank account.

Enter the amount you want to transfer. Robinhood shows you the estimated arrival date, which is typically one to three business days. Standard transfers are free. Tap Confirm and the transfer begins.

The cash appears in your bank account as a deposit from Robinhood Financial LLC. If you have not linked a bank account yet, you'll need to do that first through the Account menu under Linked Accounts. Robinhood will verify the account by depositing two small amounts (usually under $1 each) that you'll confirm in the app.

What happens if you sell at a gain or a loss

When you sell a stock for more than you paid for it, you have a capital gain. The profit is taxable income, and you'll owe federal tax on it (and possibly state tax, depending on where you live). Robinhood does not withhold this tax automatically — you are responsible for reporting it when you file your tax return.

If you hold the stock for less than one year before selling, the gain is taxed as short-term capital gains, which is taxed at your ordinary income tax rate. If you hold it for one year or longer, it's taxed as long-term capital gains, which has lower tax rates. Keep records of when you bought and sold each stock.

If you sell a stock for less than you paid, you have a capital loss. You can use losses to offset gains in the same year, which reduces your tax bill. Robinhood provides a tax document (Form 1099-B) at the end of the year that lists all your sales, but you are responsible for calculating your gains and losses and reporting them to the IRS.

Avoiding common mistakes when selling

Do not assume the price you see on screen is the price you'll get. Stock prices move constantly during market hours. When you tap Sell and enter the number of shares, Robinhood shows you an estimated price, but the actual execution price may be slightly different by the time your order fills — especially if the stock is moving fast or trading low volume. The difference is usually small, but it can matter on volatile stocks.

Do not sell during the first or last 30 minutes of the trading day if you need a precise price. Those times (9:30–10 a.m. and 3:30–4 p.m. Eastern) see the most price swings. Mid-day orders typically fill closer to the price you see.

Do not forget that selling triggers a taxable event. Even if you reinvest the cash immediately, you still owe tax on any gain. Plan for that tax liability before you sell, especially if you've held the stock for less than a year.

Selling fractional shares and partial positions

Robinhood lets you buy and sell fractional shares — pieces of a share, not whole shares. If you own 5.5 shares of a stock, you can sell all 5.5, or you can sell just 2.25 and keep 3.25. This is useful if you want to withdraw a specific dollar amount without selling your entire position.

To sell a fractional position, tap the stock, hit Sell, and enter the exact number of shares you want to sell (including the decimal). Robinhood calculates the proceeds based on the current price. Fractional shares settle on the same T+2 schedule as whole shares.

Selling stocks you bought on margin or with a loan

If you used Robinhood Gold (a paid subscription that lets you borrow money to buy stocks), selling works the same way, but the proceeds go toward paying back your loan first. Robinhood automatically applies the sale proceeds to your margin balance before making cash available to withdraw. You cannot withdraw cash while you have an active margin loan.

If you have a margin loan and you sell a stock, check your Account menu to see your margin balance. Once it reaches zero, any remaining proceeds are yours to withdraw.

Frequently Asked Questions

How long does it take to get my money after I sell a stock?

The sale settles in two business days (T+2). After settlement, transferring to your bank account takes one to three additional business days. Total time from sale to money in your bank is typically three to five business days, longer if you sell on a Friday or before a holiday.

Can I sell a stock after the market closes?

You can place a sell order after hours or on weekends, but it will not execute until the market opens the next trading day. Your order sits in the queue and fills at the market open price, which may be different from the price when you placed the order. If you need a specific price, sell during regular market hours.

What if I sell a stock and immediately want to buy another one?

You can use unsettled cash to buy stocks right away — you do not have to wait for settlement. However, you cannot withdraw that cash to your bank account until the original sale settles two business days later. This is called a "good faith violation" if you repeatedly sell and buy with unsettled cash; Robinhood may restrict your account if you do it more than three times in five business days.

Do I have to pay taxes on a stock sale right away?

No. You report the sale and pay taxes when you file your tax return the following year. Robinhood sends you a Form 1099-B in January listing all your sales from the previous year. You calculate your gains and losses and report them to the IRS on Schedule D of your tax return.

What if I sell a stock at a loss — do I get a refund?

No refund, but you can use the loss to reduce your taxable gains. If you sold other stocks at a profit in the same year, you can subtract your losses from those gains, which lowers your tax bill. If your losses exceed your gains, you can deduct up to $3,000 of the excess loss against other income in that year.