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[Maxwell House]

There are insanely massive penalties that come from selling off mutual funds because you will get an early withdrawal penalty along with everything else which is not something you incur if you sell of stocks.

That simply isn't true. There isn't any early withdrawal penalties for selling a mutual fund. Are you confusing mutual funds with 401k plans? Selling a mutual fund is exactly the same as selling a stock. There aren't any additional taxes.

 

[Maxwell House]

only 20% thats a hell of a lot. That means your investments need to make quite a return on investment to SEE any profit whatsoever.

That isn't really true either. If you make a profit, you make a profit. It is just that you will only get 80% of the profit, instead of all of it. The tax doesn't make the threshold rate of return needed to turn a profit go down or anything. For example, you don't need to make a 20% gain selling IBM stock to just break even or anything. You will just get a 16% profit instead of 20%.

And the tax is over the entire portfolio. You will have gains and losses over the year. It is the net profit that is taxed, not each gain seperately.

 

[Phoenix]

The way you worded it, it sounded like you thought that selling mutual funds was subject to the same penalties that withdrawing early from a 401K would entail.

Depends on if your funds are in your 401K or not

 

[fennec fox]

Thanks for all the house talk here, folks. I may be moving to a new city shortly, so once I get settled down there I'll get to earnest work on it.

In the meantime I'm still freelancing here. I just bought a copy of "Ferrets for Dummies" and I'm wondering whether I can get away with writing that off.

 

[Phoenix]

Thanks for all the house talk here, folks. I may be moving to a new city shortly, so once I get settled down there I'll get to earnest work on it.

In the meantime I'm still freelancing here. I just bought a copy of "Ferrets for Dummies" and I'm wondering whether I can get away with writing that off.

Donate it to a charity and yes you can