Investors scared about the market right now shouldn’t just be deciding what to trim back, they should decide what to sell for tax purposes.
What investors must know about cost-basis methods is that this important tax move now could be worth real money later.
“People make an election without really thinking about why they did it or what it means,” said Phil Weiss, chief investment analyst for Baltimore-Washington Financial Advisors, “but if you mess it up, you could be leaving money on the table or paying too much in taxes.”