Curious to see how many 1020 users out there are having this issue. I have confirmed it with one other and it still persists even after a hard reset of the device.
To reproduce this, you must have a Microsoft Account AND a Facebook account configured on your device and your ME tile image should currently be your Facebook profile pic.
To reproduce:
1) Tap ME tile
2) Tap your image
3) Next screen, tap your image again
4) Choose a photo
5) CHANGE DROPDOWN to post ONLY to MSFT account, not Facebook.
6) Tap Post button
Does your Me tile image change to the image you just selected?
To reproduce this, you must have a Microsoft Account AND a Facebook account configured on your device and your ME tile image should currently be your Facebook profile pic.
To reproduce:
1) Tap ME tile
2) Tap your image
3) Next screen, tap your image again
4) Choose a photo
5) CHANGE DROPDOWN to post ONLY to MSFT account, not Facebook.
6) Tap Post button
Does your Me tile image change to the image you just selected?