See exactly what to buy and sell to get back to your target allocation — and if it's a taxable account, what the move will actually cost you.
STEP 1
What kind of account is this?
This determines whether selling to rebalance creates a tax bill.
🏦
Retirement / Tax-Advantaged
401k, IRA, Roth IRA, HSA. Selling to rebalance has no immediate tax impact.
💰
Taxable Brokerage
Selling a winner to rebalance can trigger capital gains tax.
STEP 2
Your tax situation
Used to estimate your capital gains tax rate on anything you sell. This applies to the whole rebalance, so we ask once, up front — 2026 tax year, IRS Rev. Proc. 2025-32.
$
Your total income before deductions — line 11 of last year's Form 1040 is close enough.
Most states tax capital gains as ordinary income. Nine states have no income tax.
STEP 2
Your holdings
Enter your current fund lineup, current value in each, and your ideal target allocation.
For each fund you might sell: also enter what you originally paid for it (cost basis) and whether you've held it more than 12 months. That's what lets us estimate the actual tax on the sale — without it, we can only tell you the dollar amount to sell, not what it costs you.
Total portfolio value: $0Target allocation: 0% of 100%
RESULTS
Your rebalancing moves
Buy the underweight positions, sell the overweight ones. In a retirement account, do this directly. In a taxable account, remember: you can also get here over time by directing new contributions only into what's underweight — no selling required.
Fund
Current
Target
Action
Amount
Total realized gain
$0
Estimated tax on the sale(s)
$0
Federal capital gains tax
$0
State + NIIT
$0
Educational only — not tax advice. This estimate uses 2026 federal brackets and a simplified top state marginal rate; it does not account for itemized deductions, other income, prior losses, or state-specific capital gains rules (e.g., Washington's separate capital gains excise tax). Confirm with a CPA before executing trades — especially near a 12-month holding cutoff, where waiting a little longer can meaningfully change the tax owed.
