Skip to Content
Personal Finance

Tame Taxes in Your Taxable Account

Some hands-on strategies to minimize your tax hit.

Taxable accounts are appealing for the flexibility they offer, and they make a lot of sense for short-term savings and as a location for additional investments beyond contributions to tax-sheltered accounts. The obvious drawback, of course, is that your earnings are subject to taxes. Don't throw in the towel just yet, though. You can employ a few strategies to keep as much money in your pockets as possible.

Avoid Short-Term Gains
The simplest way to avoid losing unnecessary cash to taxes is to avoid short-term gains as much as possible. If you hold a security for a least a year before selling, your gains qualify for a reduced, long-term capital gains tax rate. Gains realized within a year of the purchase date are taxed as regular income, while the tax rate for long-term capital gains is only 15% for most investors. From 2008 until 2010, taxpayers in the bottom two income brackets do not owe any taxes on long-term capital gains.

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.