Savings Breakdown

Ok, so at least my Vanguard accounts started to gain some money. I just realized that I have no idea how my VGMIX Mutual Fund account will be taxed. Do I get taxed when I take out the money or do I get taxed each year on capital gains, even if ultimately I could lose that money before taking it out of the account? There’s probably a simple answer for this, but as of now I’m clueless.

(Visited 56 times, 1 visits today)

Related Posts:


  1. Alex says:

    Also, you should be able to beat those rates on CDs, or on Money Market Accounts or Internet Savings Accounts.Check out for the latest rates

  2. Shawn says:

    Unfortunately, you will get taxed on all dividends in the year you received the payout(even if you automatically reinvested dividends). Taxes breakdown this way – dividends and short term capital gains get taxed as ordinary income (taxed at your personal tax rate) and log term capital gains are taxed at 15%.You are correct – you could owe taxes even if you ultimately lose money in the fund. Whenever possible, a good rule of thumb is to buy mutual funds soon after dividend date (don;t buy the taxable distribution) and sell before,

Leave a Reply

Your email address will not be published. Required fields are marked *

CommentLuv badge