The numbers behind finance and taxes can be as beneficial as they are confusing – and sometimes they can do both at once. In fact, it’s possible for your own loss to come full-circle and act as a gain. Markets have generally trended upward recently, but bouts of volatility could easily mean that some of your investments have gained value while others have dwindled. 

Realizing any gains from an investment can come with the bill for capital gains tax. However, selling other investment stakes for a net loss can work to negate your total gains and lower the taxes owed on a profitable sale. 

This process is known as Tax-Loss Harvesting¹ and is a commonly used tool that takes advantage of managing the timing of realizing gains or losses to help mitigate the tax obligation for portfolio owners. By utilizing the experience and knowledge of financial professionals, you can determine the what, why, and when of managing individual items in your investment portfolio while maintaining the levels of risk and balance that are best aligned with your long-term goals.

No matter how in tune you are with your finances, it’s always great to have a helping hand from a professional. Contact us at 678-539-9518 with any questions you may have that can help you be sure about your financial strategies.

1.  https://www.investopedia.com/terms/t/taxgainlossharvesting.asp – :~:text=Key%20Takeaways%201%20Tax-loss%20harvesting%20is%20a%20strategy,a%20similar%20asset%20and%20maintain%20the%20portfolio%20balance.

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This blog is intended for informational purposes only. It is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the particular needs of an individual’s situation.