The economic value of tax-loss harvesting depends on several factors: the availability of taxable income to offset (including short-term gains, long-term gains, and up to $3,000 in ordinary income per year), applicable federal and state tax rates, the client's tax rate at the time of portfolio liquidation, the investment horizon, the rate of return on reinvested tax savings, and the frequency of portfolio deposits.

Authors

• Person: Not available Organization: Wealthfront
  Wealthfront Tax-Loss Harvesting - Methodology

Sources

• Wealthfront Tax-Loss Harvesting - Methodology research.wealthfront.com Wealthfront via serper

Referenced by nodes (1)

• tax-loss harvesting concept