Dr. Friday discusses capital gains tax under current laws, explaining how rates differ from ordinary income taxes. She highlights the zero-percent capital gains rate for single filers earning $55,000 or less and married couples earning $100,000 or less. Learn how understanding these thresholds can help you keep more money in your pocket.
Transcript:
G’day. I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment.
Things that we need to think about that may change: capital gains tax, for example. It’s kind of unusual. It used to go right along with the ordinary income tax. Under the current tax laws, it doesn’t. Right now, we have a 12% ordinary income tax, but capital gains kick in at 15%.
But don’t forget that free, zero-percent capital gains rate that’s available for people with smaller gains. For a single person earning $55,000 or less, including all income, you could qualify for the zero tax. For married couples, it’s $100,000 or less.
These are the kinds of things you want to know to put more money in your pocket by understanding taxes.
You can catch the Dr. Friday Call-In Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.