A quick question: If I pay dividends, I pay 27.5% capital gains tax each time. Am I right in thinking that the reinvesting option is better for me if I want to save the ETF for the next 20 years?
I'm still not quite sure what the better option is 🫠 And as you write here, to sell the ETF at the end of the year and then buy again to get profits is not quite understandable for me when I read everywhere, the money should stay there for at least 5 years. Would be nice if you could help me with this on the jump.
I'm still not quite sure what the better option is 🫠 And as you write here, to sell the ETF at the end of the year and then buy again to get profits is not quite understandable for me when I read everywhere, the money should stay there for at least 5 years. Would be nice if you could help me with this on the jump.
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@Alea_iacta_est Ultimately, it doesn't make much difference for tax purposes whether you reinvest dividends or directly use an accumulator. However, the accumulating ETF has a minimal advantage, but it also depends on what you want to do after 20 years. Switch to a distributing ETF? Then there are a lot of taxes, then I would save directly the distributing ETF (as long as it is not a high dividend ETF). I have written nothing here about selling at the end of the year and buying again. In general, my post is honestly not about the topics you asked questions about 😅. Did you possibly confuse my post with the one from @Fabzy? I think that fits more to your questions. https://app.getquin.com/activity/ztGnWscOHe
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