Question

Is tax-loss harvesting worth it for retirees?

Answer

Tax-loss harvesting may be worthwhile for retirees with taxable brokerage accounts, particularly those with realized capital gains to offset. By selling positions that have declined in value, you can offset gains and up to $3,000 of ordinary income annually, with excess losses carried forward indefinitely. The strategy is often most effective when done systematically throughout the year, not just at year-end when opportunities may be compressed.

About Mercer Advisors

We exist so you don’t have to worry about money. For more than 40 years, we’ve taken the sophisticated, time-tested approach that many ultra-high net worth individuals use to help manage their financial lives and made it accessible to more families.

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