Should I sell my stock now or wait?
Estimate the dollar difference between selling today at short-term rates and waiting until your position qualifies for long-term capital gains — opportunity cost included.
Uses 2026 federal short-term and long-term capital gains rates and NIIT thresholds (IRS Rev. Proc. 2025-32); state tax uses the effective rate you enter. Last reviewed July 17, 2026. Educational estimate — verify against IRS guidance before acting.
How to use this capital gains timing calculator
Enter the date you purchased your stock, its current market value and cost basis, your other taxable income, and an estimated state rate. The calculator shows the estimated tax difference between selling today (short-term rate) vs. waiting until your position qualifies as long-term — and factors in what you could earn if you sold now and reinvested the after-tax proceeds instead.
Short-term vs. long-term capital gains: the dollar difference
Short-term capital gains (positions held 1 year or less) are taxed as ordinary income — the same rate as your salary. Long-term capital gains (held more than 1 year) are taxed at preferential rates: 0%, 15%, or 20%.
For someone in the 22% income bracket with a $50,000 gain: selling short-term costs approximately $11,000 in federal tax. Selling long-term costs approximately $7,500 — a $3,500 difference just by waiting a few more months.
The opportunity cost of waiting
Waiting for long-term treatment isn't free. The money is tied up in the position longer, and the stock could decline. This calculator includes an opportunity cost estimate: if you sold today and reinvested the after-tax proceeds at your expected return rate, how much would you make before the long-term date arrives? If that exceeds your tax savings, selling now may actually be the better financial decision.
State capital gains taxes
Most states tax capital gains as ordinary income, regardless of holding period. California, New York, New Jersey, Oregon, Minnesota and Hawaii are among the states with the highest top rates. Because state rules, deductions and exclusions vary so widely and change each year, this calculator does not apply a state rate automatically — instead, you enter your own estimated effective state rate (leave it at 0% if your state has no income tax).
A few states — Alaska, Florida, Nevada, South Dakota, Tennessee, Texas and Wyoming — have no broad individual income tax, so they do not tax capital gains. Washington is different: it has no conventional income tax but does levy a separate state tax on qualifying long-term capital gains above an annual deduction, so it should not be treated as a "no capital-gains tax" state. Washington residents should confirm the current rules with the Washington Department of Revenue.
Frequently asked questions
How long do I need to hold a stock to pay long-term capital gains tax?
You must hold a stock for more than one year from the purchase date — measured by the calendar, so it is the day after the one-year anniversary of your acquisition date, not a flat 365-day count (which differs in leap years). If you sell on or before that anniversary, the full gain is taxed as short-term capital gains, which is the same rate as ordinary income.
What are the 2026 long-term capital gains tax rates?
In 2026, long-term capital gains are taxed at 0%, 15%, or 20% depending on your total taxable income. Single filers pay 0% on gains while taxable income stays below approximately $49,450; 15% up to $545,500; and 20% above that. Married-filing-jointly thresholds are roughly double ($98,900 and $613,700). An additional 3.8% Net Investment Income Tax applies to higher earners.
Is it always worth waiting for long-term capital gains treatment?
Not always. Waiting for long-term treatment has an opportunity cost — the money is tied up longer, and the stock could fall. The calculator computes how much you save in taxes by waiting vs. what you could earn if you sold now and reinvested the proceeds. For large gains in high brackets, the tax savings often outweigh the cost of waiting.
What is the net investment income tax (NIIT)?
The NIIT is an additional 3.8% tax on investment income (including capital gains) for taxpayers with modified AGI above $200,000 (single) or $250,000 (married filing jointly). This means high earners can pay up to 23.8% on long-term capital gains, not just 20%.
Keep going — related calculators
Answer your next investing question in under a minute.
What's my long-term capital gains rate?
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0% / 15% / 20% tier • NIIT • After-tax
Is this gain short-term or long-term?
Stocks held for one year or less are taxed at ordinary-income rates. Estimate your short-term capital gains tax.
Ordinary rate • vs long-term • What you'd save
Will I owe taxes if I sell this stock?
Estimate the federal tax on a stock sale, including short-term, long-term, and Net Investment Income Tax.
Tax impact • NIIT • After-tax proceeds
Educational use only — not financial advice
StockLeo is for educational purposes only and does not provide financial, investment, legal, or tax advice. Calculations are estimates and may not reflect your full tax or financial situation. Consult a qualified professional before making financial decisions.