Capital Gains Taxes  

Knowing when to sell an asset is a difficult part of investing. Reasons for selling a stock, bond, or mutual fund may include:

  • Rebalancing a portfolio
  • Profit taking
  • Stopping further losses
  • A higher potential rate of return on an alternate investment
  • Cash needed for expenses

The tax consequences may be the most important part of your decision. Short-term gains are taxed at your highest marginal income tax rate, while long-term gains are taxed at lower long-term capital gains rates.

The calculator will estimate potential capital gains taxes. If you have owned the investment for 12 months or less, capital gains are considered Short-Term. If you have owned the investment for more than 12 months, capital gains are considered Long-Term.

     

What is the current value of the investment being considered for sale?

$

What is your cost basis? (What did you initially pay for the investment?)

$

What is your federal marginal income tax bracket?

Have you owned this investment for longer than 12 months?

YesNo
 
   
   
Preferred Financial Strategies, Inc.
136 Gateway Blvd., Suite C
(P. O. Box 5366 - mailing address)		 • Mooresville, NC • 28117
Phone: 704 / 658-1040 • Fax: 704 / 973-9717
• Info@FinancialStrategiesforLife.com



 



*Securities and investment advisory services offered through FSC Securities Corporation.  A registered broker/dealer.  Member FINRA and SIPC.  A SEC registered investment advisor. Preferred Financial Strategies is not affiliated with FSC Securities Corporation or registered as a broker-dealer or investment advisor.