Launch HN: Financial Choice (YC S21) – Checking accounts with market returns

Re:Launch HN: Financial Choice (YC S21) – Checking accounts ... by konne88 on Monday August 09, 2021 @02:24PM (#28120348)

If you put in $50K, and it gained 10% your account would now have $55K. If you withdraw $2K, you could be taxed on the 10% profit on that $2K, so $200. So if your tax rate is 25%, you'd pay $50 in taxes because of that 2K withdraw.

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Re:Launch HN: Financial Choice (YC S21) – Checking accounts ... by zie on Monday August 09, 2021 @06:03PM (#28122888)

You are correct, but assuming the holding was < 1yr and STCG applied. If >1yr holding period, LTCG would apply. chances are it would only be a 15% tax rate in a LTCG applied tax. given current 2021 tax brackets.

Even this is incomplete, because we don't know the other tax situations, was there a tax loss carryover that would/could be applied, etc, etc, etc.

Taxes are complicated.

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