Tax loss harvesting allows you to turn lemons into lemonade by eliminating negative stocks from your portfolio while avoiding taxes. However, you have to be careful of wash sale rules. For example, selling Vanguard S&P 500 ETF (VOO 0.43%) at a loss and buying SPDR S&P 500 ETF Trust (SPY 0.43%) before 30 days.
Please watch the below video to learn:
- What tax loss harvesting is
- How wash rules work
- Pros and cons of tax harvesting
- Tax loss harvesting rules
- Examples of how to tax harvest
*Stock prices used in the below video were during the trading day of July 14, 2022. The video was published on July 14, 2022.