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Personal Investments • When to sell holdings with long-term gains to streamline portfolio

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First, turn off reinvesting dividends.

Second, when/if you have tax losses going forward, offset them with tax gains as you simplify.

Third, know your taxes/brackets, and try to harvest those gains in as tax efficient a means as possible. MFJ pays 0% long term capital gains on taxable income up to ~$94k in 2024, and then 15% from ~$94k to $583k, and then 20% above that. So if you can keep your total taxable income low enough (including your long term capital gains), you can avoid taxes up to a certain level, and/or only pay 15% all the way up to $583k. You can also keep this in mind for when you retire (early, ideally) -- you can harvest up to $94k in gains and pay 0% tax.

Fourth, there's always offsetting with charitable donations.

Statistics: Posted by Chadnudj — Thu May 09, 2024 8:55 am — Replies 12 — Views 1062



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