Tax Playbook · Investment tax wins
Tax-loss harvesting
If one investment lost money, sell it and use the loss to cancel out tax on an investment that made money — dollar for dollar. You can also use up to $3,000 of losses a year against your paycheck income, and save leftovers for future years. Just don't buy the same thing back within 30 days — that's a wash sale, and the IRS won't count the loss.
Good for: Anyone with a regular (non-retirement) investment account.
Learn the basics
Recent articles & guides
- IRS — Topic 409, capital gains and losses
- Fidelity — tax-loss harvesting using ETFs
- Vanguard — offset gains with loss harvesting
- Finance Fernly — tax-loss harvesting explained
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Educational summary, not tax advice. Limits and rules change — confirm current law with your tax adviser.