Captial gains taxes are mentioned by every politician whether or not they want to raise or decrease them. It is a battle cry for republicans to reduce them. And a tactic to raise them by democrats. What exactly are captial gains taxes? When you sell an asset be it a stock, bond, or piece of real estate for more than what you paid for it you generate a profit. This profit is considered a capital gain. The amount of taxes that you pay are determined by many factors. The length of time you've owned the asset, and the tax rate at the time of the sale are just a few. If you own any asset you need a captial gains tax caluculator.
This is a tool that will simplify your life in many ways. Instead of trying to figure out when you bought the stock, how much you paid for it, and what your tax rate is you can enter it in the calculator. Now there is a stipulation. The calculator is only good for one tax year. You can't use the same one next year. This shouldn't be a problem as many sites have free tax calculators that you can use.
If you have even one share of stock or plan on purchasing any in the future this is a tool that you shouldn't be without. It will save you many hours of headaches when you are filling out your taxes. This is something that won't take a lot of time to keep your records updated.
Another thing to keep in mind is your income. This will also determine what your tax rate will be. Unfortunately, you won't know until the end of the year. But this will help you to decide if those stocks you've been holding is a good time to sell or not. If you are losing money then you don't want to hold onto these stocks. But if they are profitable you want to get the most bang for your buck by holding them for as long as possible. If your tax rate is low then the combination of these two things warrants a sale of your assets. A capital gains tax calculator is needed not just for the wealthy but for the middle class as well.