Tag: #capitalgains

Now is the prime time to start thinking about optimizing your Roth conversions, RMDs, capital gains, Medicare premiums and charitable giving before the end of the year. Below are five things retirees should consider before December 31.   Roth conversions ‘in the valley’ The valley is the period between when you retire and when yourRead more…

What if you lose money on your investments? A tax loss can be a valuable asset if you use a strategy called “tax loss harvesting,” which is based on the ability to offset capital gains with capital losses so that you only pay tax on your net capital gains. However, there’s a certain sequence youRead more…

Long-term capital gains are subject to lower rates of tax than short-term capital gains, which are taxed at ordinary income tax rates. You therefore need to know your holding period for any capital asset you sell. If you hold an asset for more than one year, the gain you realize when you sell it willRead more…

Capital gains are taxed when they’re “realized.” Your capital gain (or loss) is generally realized for tax purposes when you sell a capital asset. As a result, capital assets can continue to appreciate (increase in value) without becoming subject to tax as long as you continue to hold on to them. For example, loans againstRead more…