If you’re an investor, knowing your tax bracket opens up a number of planning opportunities that can potentially decrease your tax liability and increase your investment returns. Investing based on your tax bracket is something that good CPAs and financial advisors, including Betterment, do for customers.
Because the IRS taxes different components of investment income (e.g., dividends, capital gains, retirement withdrawals) in different ways depending on your tax bracket, knowing your tax bracket is an important part of optimizing your investment strategy.
In this article, we’ll show you how to...
Selling securities has tax implications. Typically, these announce themselves the following year, when you get your tax statement.
Betterment’s Tax Impact Preview feature provides...