Hello guyz…
I’m looking for advice on the best legitimate ways to reduce capital gains tax. I’m already aware of tax-free/tax-advantaged accounts and the benefits of long-term holding, but I’d like to know if there are other best practices for minimizing capital gains taxes.
Are there any apps or resources that could help me navigate this process without the high costs of hiring a financial planner?
Holding taxable assets for over a year is the simplest way to take advantage of lower long-term capital gains taxes.
You can use tax-advantaged retirement accounts, invest for the long term, and offset capital gains with capital losses to reduce capital gains taxes.
I’m also looking for ways to reduce capital gains tax and have already explored tax-free/tax-advantaged accounts and long-term holding. In my experience, other effective strategies include tax-loss harvesting, where you sell investments at a loss to offset gains, and utilizing your annual exclusion amounts. I’ve found that apps like Wealthfront and Betterment offer tools for tax-efficient investing and tax-loss harvesting, helping me manage my investments without the high costs of a financial planner. Additionally, resources like Investopedia and tax software like TurboTax provide useful guidance and tips for minimizing capital gains taxes.