Damn, figured out the secret to trading this past year and made a substantial amount. I knew I was going to be hit hard on taxes.....but DAMN!! Bummer
Death and taxes(stocks)
- Thread starter cocean
- Start date
Well, based on the title, I still assume the taxes are a better result than the alternative.
Yeah if you take the returns quickly its pretty brutal
I despise taxes! I wonder if Tig Bitty Pelosi pays them...
Yeah. It seems unfair but at least you know you have more money than when you started. Capital gains suck especially if you enjoy playing the trading game.
Well, capital gains are going up, up, up. Already mentioned by new administration.
It’s just your normal tax rate so it’s not like it’s an overwhelming amount.
Just wait until the socialist bet their tax plans passed.
I laughed at the huge Biden tax plan that’s going to raise a mere 2 trillion over a decade.
You've got more money, but you could have had less if things had worked out differently. You're taking all the risk and the government is sharing the reward. Wish I could get that deal.
You’re probably the only person this has ever happened to.
Who knows what the tax rate will be when you start drawing down 401k’s... heck might be 50% or more
When you lose money, you save money on your taxes so the government shares the loss as well.
I think it’s more likely they will cut social security payments to people who saved for retirement unfortunately.
No offense, but you haven't figured out the secret to trading until you've figured out the impact of taxes and managing fees on your portfolio. I just dropped a dividend fund I had owned for 12 years because they decreased their dividends from a consistent 5.5% to 3.5%, and increased their managing fees from 1.2 to 1.5.
Everybody tries to pay less taxes. But some people shame you for it while doing the same. The rich employ professionals to help them avoid taxes. Then you have the ruling class who get away with all sorts of malfeasance. If you're in a position of enough power you can get away with ANYTHING if there's no video of you doing it.
Does he plan on being president for a decade? LOL. I'd give him 35% chance of getting through the first term.
Well, if you want to make money, you got to pay the gate keeper...
I make too much money last year and first time in life, I will be glad to pay my taxes, instead of taking a loss...
It looks like y'all should do more research on effective tax strategies than hating on politicians.
Stinks that the roth 401k just came into play for most of a few years back.
The normal tax rate is overwhelming at 37.5% top marginal rate. Then you add 7% for state tax and you're paying 45% of your income to the government and that is after you paid your SSA and Medicare tax. The only "break" you get is if you hold your investment for over 1 year and qualify for the LT capital gains rate which is considerably less. But ST capital gains are taxed as ordinary income.
If you’re making $530,000+ a year you look silly complaining about a 37% tax rate.
No that is not the case. ST losses are not deductible. The best you can do is offset other gains - if you have any. There are also LT loss limitations as well. Absent any gains to offset, all you can deduct in one year is $3,000. So if you are 60 and lose $100,000 on a LT investment, you aren't likely to ever be able to take the deduction in full.
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Some people actively trade their IRA and or Roth IRA, and save the taxable account for more buy and hold stuff. Under current law you won’t even owe capital gains on the taxable holdings if you die with them or use them to fund charitable donations.
37.5 % is ridiculous no matter how you slice it. And that is only INCOME tax. That does not include property tax, sales tax, excise tax(which is a substantial tax that nobody knows about because it is hidden), motor vehicle fees, gas tax, etc. Someone in the top tax bracket pays well over 50% of their income in taxes. That is outrageous.
For a regular IRA, all your distributions are taxed as ordinary income regardless of how the money was accumulated. You don't get a capital gains rate for the portion that was earned via capital gains.
The government simply prints more money, and will need to print a lot more to accomodate the "needs" of the Demturd controlled blue states.
Well that’s a different argument. But it’s not like the republicans don’t do the same thing.
Well we know that the acting potus Doesn’t. You can thank that wig wearing umpa lumpa for your CURRENT tax situation.
Phil Mickelson had to pay a 93% tax on his British Open winnings a few years ago. That includes the local taxes across the pond, California state, and Feds.
He is a moron for staying in Cali, Tiger said as much when he heard about it. Tiger got out of Cali many years ago for tax purposes.
But still, that’s legalized theft to take 93% of of a man’s earnings.
He is a moron for staying in Cali, Tiger said as much when he heard about it. Tiger got out of Cali many years ago for tax purposes.
But still, that’s legalized theft to take 93% of of a man’s earnings.
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Doubtful someone that lost 100k as a 60 year old wouldn’t have other investments that would eventually earn enough to offset that 100k deduction.
You have to fund society somehow. If you’re making more than half a million a year you can afford to contribute.
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The Government does not earn money, therefore they cannot lose money. They can take in less but they never lose.
I agree, but both sides spend way too much. Almost no one disagrees with this.
But that wasn't your argument. You said the taxpayer can write it off and the government somehow "loses" as well. That is simply not true. You clearly do not understand tax law.
Who are you to say what someone can "afford"? Take the current situation with Covid. A guy owns his own business and does pretty well until he is suddenly shut down due to no fault of his own. He runs up large debts to keep going and needs to pay those back. Finally, he makes some money to offset his poor misfortune, only now he can't pay his debt back because he has to give it to the government.
You are in no position to make the claim as to what someone can afford or can't afford.
