---
schema_version: "secwatch.filing_event.v1"
accession: "0001628280-24-025674"
form_type: "8-K"
ticker: "ROOT"
cik: "0001788882"
company_name: "Root, Inc."
filed_at: "2024-05-30T23:59:59+00:00"
generated_at: "2026-06-01T07:27:09.651349+00:00"
event_type: "other_material"
sentiment: "neutral"
materiality_score: 0.4
calibrated_materiality_score: 0.4
confidence: "high"
source: SEC EDGAR
---

# Root corrects classification of $10.6M tax liability from expense to equity

## Summary
- Approximately $10.6M in payroll tax withholding for RSU/PSU vesting will be recorded as Additional paid-in capital, not Operating expense.
- Correction applies to Q2 2024 vesting and does not affect cash flows or total equity.
- Prior guidance on Q1 2024 earnings call had indicated the amount would be an operating expense; now revised.
- Classification change impacts Condensed Consolidated Balance Sheets and Statements of Equity.
- No change to total net worth; purely a reclassification between equity and expense line items.

## SEC filing metadata
- accession: 0001628280-24-025674
- form_type: 8-K
- ticker: ROOT
- cik: 0001788882
- company_name: Root, Inc.
- filed_at: 2024-05-30T23:59:59+00:00
- event_type: other_material
- sentiment: neutral
- materiality_score: 0.4
- calibrated_materiality_score: 0.4
- confidence: high
- sec_items: 7.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1788882/000162828024025674/0001628280-24-025674-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1788882/000162828024025674/root-20240530.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001628280-24-025674
- JSON: https://secwatch.observer/filing/0001628280-24-025674.json
- Plain text: https://secwatch.observer/filing/0001628280-24-025674.txt

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.