Hi Team, I am mostly a long-term investor but I have many individual positions in addition to the ETFs. I got started a little late at this point I’m 41 and I have a bout a life savings of 360k. About 275k of that is in the market. (Freelancing I need more available funds – and may need to buy a car. Don’t have a car now.)
Two questions about maximizing returns
I work as a freelancer and it’s a very feast or famine lifestyle. I always invest heavily but this year I literally didn’t work at all, so my entire income is less than $45,000. Most of it being Unemployment and 1099k for interest , bank churning, dividends…. Maybe 6k of 1099s.
#1- I was hoping to sell stocks to capture tax capital gains exemptions this year – this is because I made so little money I heard I will not be taxed on any capital gains. Is there a limit to what capital gains you won’t be taxed on? I know that it should be long-term positions and most of my positions are over a year. I was planning on selling and buying back some MSFT, SHOP, IVV…. Some of those positions might go back down but if I don’t get taxed at all – then what’s the big deal? Am I missing anything?
#2- Second question. I invested in ROVR. They came to an agreement with Blackstone to get acquired and it’s up to $11 a share. My dollar cost average is about $8 a shares and I have 170 shares I was thinking of just selling now for like $10.90 or whatever missing out and maybe like $10 of the deal in order to offset capital gains because of the low income year. The deal will close in 2024 with Rover becoming a private company after and shareholders getting paid cash for their positions. Am I missing anything about this? I was reading that there’s an offering where they see if they can get a better buyout and some other regulatory approvals…. What are the chances that the buyout would be more than $11 a share that the deal reached now? Is this a good idea to sell to this block in the gains? I had believed in the long-term growth potential of this company but at this point, it seems like someone else did with bigger pockets and so I’m not gonna get to benefit from that anyway.
Leave a Reply