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As others have mentioned that isn't comparable because salaries are taxed. The tax rate on unrealized gains in the US is zero percent from what I understand.


Not correct. Capital Gains taxes depend on the holding period. Short term capital gains (stock held less than a year) are taxed at the same rate as salaries (ordinary income rate). Long term capital gains (stock held at least a year), are taxed on a reduced level that peaks out at 20% (depends on total taxable income) with a possible additional 3.8% Obama Net Investment Tax.


Cool. You covered short term gains and long term gains. Could you answer the question, which was unrealized gains?


So I buy a stock on Jan 1 for $1 and by June 15 it is worth $100. I'm going to pay $99 of short term capital gains at that point?




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