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From: suhre@trwrba.UUCP (Maurice E. Suhre)
Newsgroups: net.invest
Subject: Re: Building a portfolio question?
Message-ID: <1731@trwrba.UUCP>
Date: Thu, 12-Dec-85 18:07:38 EST
Article-I.D.: trwrba.1731
Posted: Thu Dec 12 18:07:38 1985
Date-Received: Sat, 14-Dec-85 03:43:32 EST
References: <1177@ihuxb.UUCP>
Reply-To: suhre@trwrba.UUCP (Maurice E. Suhre)
Distribution: net
Organization: TRW EDS, Redondo Beach, CA
Lines: 17

In article <1177@ihuxb.UUCP> ler@ihuxb.UUCP (Litzhoff) writes:
>As a new investor in the market my first goal is to build a working
>portfolio(i.e. buy and sell stock building capital). I only have a
>few thousand to work with. How can I retain my profits so I can
>build a portfolio if the goverment takes its fair share?
>
Simple.  Aim for capital gains.  The government won't get very much
(40% * marginal tax rate) which might be 12-18% of your profits.
That is, you can probably keep 80-90 percent of the capital gains.
When you get affluent, you can worry about tax shelters and the
alternative minimum tax.

I don't remember if the dividend exclusion was repealed or not.

Maurice

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