Tax Loss Harvesting Calculator
Tax saved by deliberately harvesting losses against gains.
Calculator
Results
Tax Saved by Harvest
$3,140.00
$20,000.00
$0.00
Live results update as you type — currently showing tax saved by harvest of $3,140.00. Replace the defaults with your own numbers.
Visualizations
Harvest Value
Formula
Deliberately realizing losses to offset gains plus a $3,000 ordinary slice.
Variables
| Symbol | Name | Unit | Description |
|---|---|---|---|
| H | Harvest | $ | Loss realized |
| G | Gains | $ | Offset |
Explanation
Tax saved by harvesting.
Step-by-Step Calculation
Follow each step to understand how the result is calculated from your inputs.
Use = min(harvest, gains + $3,000) = min($20,000.00, $18,000.00 + $3,000)
Savings at cap rate on gains, margin on ordinary slice
Worked Examples
See how the calculator works with different scenarios.
Scenario
The tax loss harvesting calculator run on the values above.
Inputs
Calculation
1. Use = min(harvest, gains + $3,000) = min($20,000.00, $18,000.00 + $3,000) → $20,000.00 2. Savings at cap rate on gains, margin on ordinary slice → $3,140.00
Result
Tax Saved by Harvest: $3,140.00
Interpretation
Harvest in December, replace with a non-identical fund to stay invested without a wash sale.
Understanding Your Result
Your Result: Tax Saved by Harvest: $3,140.00
What This Means
Tax saved by harvesting.
Why It Matters
Harvest in December, replace with a non-identical fund to stay invested without a wash sale.
Professional Interpretation
Harvest in December, replace with a non-identical fund to stay invested without a wash sale.
How this is calculated
Deliberately realizing losses to offset gains plus a $3,000 ordinary slice.
What drives the result
Taxable = income − deductions. Apply each bracket rate to its slice, sum, subtract credits. Marginal prices the next dollar; effective averages all dollars. Pre-tax contributions and well-timed deductions move dollars out of high slices.
Recommendations
- •Mind $3,000 annual ordinary cap.
- •Carry excess forward - it never expires.
Educational Content
Introduction
Income tax is progressive: deductions set the taxable base, brackets price each slice, credits cut the bill directly. Withholding and quarterly estimates only prepay that liability.
Concept Explanation
Taxable = income − deductions. Apply each bracket rate to its slice, sum, subtract credits. Marginal prices the next dollar; effective averages all dollars. Pre-tax contributions and well-timed deductions move dollars out of high slices.
Applications
Benefits
- •Bracket-accurate liability
- •Withholding and quarterly alignment
- •Side-by-side regime math
Limitations
- •Single-filer simplified brackets
- •State codes not modeled
- •Law changes need re-checks
Best Practices
- •Aim near-zero refund
- •Hit safe harbor on estimates
- •Re-elect regimes yearly
Common Misconceptions
Practical Tips
- •Harvest in December.
Common Mistakes
Assumptions
This calculator makes the following assumptions to provide estimates:
Limitations
Be aware of these limitations when using this calculator:
Frequently Asked Questions
Answers to common questions about this calculator.
Wash sale?
How accurate is the tax loss harvesting calculator?
Are these exact IRS figures?
Related Calculators
Explore more calculators related to this topic.
Related Guides
Deepen your understanding with these educational resources.
Glossary
Technical terms used in mortgage calculations explained in plain language.
- Marginal rate
- Tax on the next dollar — the rate that prices deductions and extra income.
Authoritative References
Trusted sources and standards referenced by this calculator.
Applicable Standards
Was This Calculator Helpful?
Page Information
2026-09-22
2.0.0
Free to use for educational and professional purposes.