\r\n\r\nIf you have realized gains this year, you may have the opportunity to offset some or\r\nall of them through tax-loss harvesting. This is a technique you can use to proactively harvest available losses to offset gains by selling depreciated securities, which can be a tremendously helpful portfolio management tool.\r\n\r\nIt's slightly counterintuitive - after all, you're supposed to sell high, right? But the idea is not to eliminate exposure entirely; it's only a temporary sale to reduce your tax bill, after which you buy back the same stock. In most years, tax loss harvesting has helped many investors harvest enough losses to offset all gains incurred and even hit the maximum deduction amount ($3,000).\r\nWatch our video to learn how tax-loss harvesting works.\r\nTo learn more about optimizing your taxes, download Personal Capital's free tax guide.\r\n\r\nDownload guide\r\n\r\nThe While-You-Wait video series goes over important financial topics when life puts us on hold.\r\nWaiting for your ride? That's the perfect time to watch. Leave a comment on what topics you'd like to see us cover next.\r\n\r\nThis blog is for informational purposes only; we are not in the business of providing specific tax or legal advice and we generally recommend seeking the advice and counsel of a tax professional before taking any action that may cause a material taxable event.