Tax-Loss Harvesting Calculator 2026

Enter your gains and harvestable losses to see your tax savings instantly — then check the wash-sale rule and read exactly how the netting works.

Private by design. No SSN, no bank login, no IRS login, no payroll password. Runs in your browser. Educational estimate only.
Your gains & harvestable losses
$
$
$
Unrealized losses on positions held ≤1 year.
$
Unrealized losses on positions held >1 year.
Result of harvesting
Estimated tax saved
$900
Loss carried forward
$0
Net short-term (gain / loss)$0
Net long-term (gain / loss)$2,000
Offset against ordinary income (max $3,000)$0
Tax without harvesting$1,200
Tax after harvesting$300
Harvesting these losses is estimated to save $900 in tax this year.
Wash-sale rule checker

The wash-sale rule disallows a loss if you buy the same or a substantially identical security within 30 days before or after the sale. Enter both dates to check.

Understand your result

How tax-loss harvesting works

Losses are netted by holding period first: short-term losses offset short-term gains (taxed at your ordinary rate), and long-term losses offset long-term gains (taxed at 0%, 15%, or 20%). Because short-term gains are taxed more heavily, using losses to wipe them out usually saves the most tax. Leftover losses of one type then offset gains of the other type.

If you still have a net loss after offsetting all gains, you can deduct up to $3,000 against ordinary income ($1,500 if married filing separately), and carry the rest forward indefinitely. The catch is the wash-sale rule — rebuying too soon disallows the loss — so many investors swap into a similar (not identical) fund to stay invested while banking the loss.

Worked example

You have $8,000 of long-term gains and sell a fund with a $6,000 long-term loss (24% ordinary bracket, 15% LT rate):

  • The $6,000 loss offsets $6,000 of your gains → only $2,000 of gain is taxed
  • Tax without harvesting: $8,000 × 15% = $1,200
  • Tax after harvesting: $2,000 × 15% = $300
  • You save $900 this year — and if you swap into a similar fund after 31 days, you stay invested
Common mistakes to avoid
Frequently asked questions
What is the wash-sale rule?
If you buy the same or a substantially identical security within 30 days before or after selling at a loss, the loss is disallowed and added to the basis of the replacement shares — you get the benefit later when you sell those.
How much loss can I deduct against income?
Up to $3,000 of net capital loss per year against ordinary income ($1,500 if married filing separately). The rest carries forward with no expiration.
Do short-term vs long-term losses matter?
Yes. Netting happens within each class first. Offsetting short-term gains, which are taxed at ordinary rates, usually saves the most tax.
Can I harvest losses in an IRA or 401(k)?
No. Tax-loss harvesting only applies to taxable brokerage accounts. Gains and losses inside tax-advantaged accounts don't affect your current taxes.
How do I stay invested and still harvest?
Sell the loser and immediately buy a similar but not 'substantially identical' fund (for example, a different provider's total-market index). You keep market exposure while banking the loss.
What if my loss is bigger than my gains?
It offsets all your gains, then up to $3,000 of ordinary income this year; anything left carries forward to future years indefinitely.
Sources & verification
Related calculators & guides
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Federal Tax Calculator 2026
See your full estimate
Educational estimate only. This simplified tool applies the general capital-loss netting and wash-sale rules and does not account for every situation (collectibles, §1256 contracts, state tax, net investment income tax, or the full definition of “substantially identical”). Confirm with a qualified tax professional. Full disclaimer.