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Stas Politis, CPFA®
Stas Politis, CPFA®
Upward Wealth Group, LLC Employer-Sponsored Plan Advisor & Investment Representative
https://www.upwardwealthgroup.com (561) 345-3992

At Upward Wealth Group, we understand the critical role of employer-sponsored plans in talent retention and employee financial well-being. By reducing financial stress, these plans foster a healthier work environment and enhance productivity and performance. With our tailored approach, we ensure that your company's retirement plan is not just effective but also aligned with your organizational goals.

Our services cater to a diverse clientele, including self-employed professionals, entrepreneurs, business owners, and executives/trustees seeking to optimize their retirement savings. With decades of experience and a commitment to personalized solutions, we specialize in crafting employer-sponsored retirement plans that suit your specific requirements. Whether you prefer a straightforward, easy-to-administer plan or a more intricate one tailored to your unique circumstances, we've got you covered.

Given their substantial contribution to our retirement nest eggs, we recognize the significance of 401(k) plans in retirement planning. It's essential to synchronize all your savings and investments inside and outside employer-sponsored retirement plans to maximize their combined potential in achieving your retirement objectives. By harmonizing these elements, we can build a comprehensive portfolio that works synergistically toward securing your financial future.

Let's collaborate to design a retirement plan that meets regulatory requirements, empowers your employees, and positions your business for long-term success. Reach out to us today to embark on this journey toward financial security and prosperity.

Counteracting Capital Gains with Tax-Loss Harvesting

Tax Read Time: 2 min

Tax-loss harvesting means taking capital losses (selling securities for less than what you initially paid for them) to offset any capital gains you may have.

While this doesn't get rid of your losses, it can help you manage your tax liability.

Keep in mind that this article is for informational purposes only and is not a replacement for real-life advice, so make sure to consult your tax or accounting professionals before implementing any tax strategy that may involve tax-loss harvesting.

How It Works

You may deduct up to $3,000 of capital losses in excess of capital gains for your federal tax return each year. (Your tax or accounting professional can speak to how capital losses are treated on your state tax return.) Any remaining capital losses above that can be carried forward to potentially offset capital gains in following years.

By taking losses and carrying over the excess losses into the future, you may be able to manage some long-term and short-term capital gains.

Wash-Sale Rule

You must watch out for the Internal Revenue Service's "wash-sale" rule. You can't claim a loss on a security if you buy the same or a "substantially identical" security within 30 days before or after the sale. (The window is even 61 days wide in some instances.) In other words, you can't just sell a security to rack up a capital loss and then quickly replace it.

Potential Drawbacks

You may not wish to sell assets in a portfolio for tax-loss harvesting, especially if it has been built for the long term. Also, you can only practice tax-loss harvesting in taxable accounts; tax-advantaged accounts are ineligible for this strategy.

Year-Round Strategy

While some investors get to thinking about tax-loss harvesting as the year comes to a close, it's a practice that you can consider all year round.

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG, LLC, is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

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