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    Tax Loss Harvesting

    Turn losses into savings.

    What it is

    • Sell loss positions.
    • Offset gains.
    • Save taxes.
    • Buy similar — different fund.
    • 30-day wash sale rule.
    • Senior savings.

    $3,000 deduction

    • Up to $3k loss vs ordinary income.
    • Saves 22-37% tax.
    • $660-$1,110 saved.
    • Carry forward losses.
    • Senior boost.
    • End of year focus.

    Roboadvisor automatic

    • Wealthfront, Betterment.
    • Auto tax loss harvesting.
    • 0.25%/yr fee.
    • Senior set + forget.
    • Worth fee for many.
    • Daily monitoring.

    Manual

    • Sell underwater fund.
    • Buy similar — different fund.
    • Don't buy back 30 days.
    • Wash sale = no benefit.
    • Senior careful.
    • Or use roboadvisor.

    Roth conversions

    • Convert traditional → Roth.
    • Pay tax now.
    • Tax-free later.
    • Lower tax brackets early retirement.
    • Senior advanced strategy.
    • CPA help.

    When useful

    • Taxable brokerage account.
    • Not IRA/401k (no benefit).
    • Senior bear markets.
    • End of year.
    • $3k+ losses available.
    • Worth doing.

    Save $660-$1,110 yearly

    Tax loss harvesting saves $660-$1,110/year for senior in middle bracket. Wealthfront/Betterment automate at 0.25% fee. Or manual end-of-year. Only taxable accounts. Combine with Roth conversions for advanced. CPA helps for complex.