In taxable #investing, your after-tax return—the amount you “take home"—is what’s important. Yet far too many investors focus on market performance. Let’s look at the difference.https://www.betterment.com/resources/investment-strategy/after-tax-performance-explained/ …
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Out of curiosity, what tax rate does this use? And does it take into account the change in dividend tax treatment over the years?pic.twitter.com/qgRtL9IpGd
Hi Rex! Assumptions on taxation include a long-term gains rate of 22%, and short-term gains rate of 34%, a federal income tax bracket of 28%, and a state income tax of 0.9%. This simulation of taxation does not account for changes in tax rules for dividends over the period.
