walkinwood
Thinks s/he gets paid by the post
Hello all,
A friend of mine advised me last night to "raise cash" given the market uncertainties, and further advised me to sell the equities (funds in my case) that had appreciated the most!
I have no intention of taking his advice.
But, to prove my point to him, I created this spreadsheet to demonstrate the amount that a position has to appreciate to counter the effect of capital gains on a sale. I hope it drives home the tax costs of selling.
Please let me know if I have any errors in the calculation. Obviously, this only applies to a taxable account.
Google Docs - Tax cost of selling
Regards,
A friend of mine advised me last night to "raise cash" given the market uncertainties, and further advised me to sell the equities (funds in my case) that had appreciated the most!
I have no intention of taking his advice.
But, to prove my point to him, I created this spreadsheet to demonstrate the amount that a position has to appreciate to counter the effect of capital gains on a sale. I hope it drives home the tax costs of selling.
Please let me know if I have any errors in the calculation. Obviously, this only applies to a taxable account.
Google Docs - Tax cost of selling
Regards,
