If I bought it at 3.50 cents each and if it goes up twenty cents and I sell how much would i take home? I'd appreciate if anyone can help me.
2007-12-15 02:53:06 · 7 answers · asked by ivan c 2 in Business & Finance ➔ Investing
Kiker's answer was good until the tax part, then went totally wrong. Short term gains (held less than a year and a day) are taxed as ordinary income which is at whatever your tax rate is - would only be 35% if you are in the very top income bracket. Long term gains (stock held longer than a year and a day) is either 5% or 15% depending on your tax bracket - if your bracket is 15% or lower, which covers most people, it's 5%, otherwise it's 15%.
2007-12-15 03:54:58 · answer #1 · answered by Judy 7 · 3⤊ 0⤋
If you own 10,000 shares and you make a .20 cent profit, than your gains will be $2000. You take home from the sell will be the $2000 minus whatever the brokerage fee is. Generally, you are looking in the range of $9-$11, but some also have an additional fee for penny stocks, which is what yours would be considered since it is below $5.
Now, the taxes WILL BE YOUR RESPONSIBILITY. Your broker WILL NOT put them aside. So come tax season, you will get a 1099 form from your broker and you will be required to pay taxes on your Capital Gains (the $2000). You will also notice those charges and fees you paid will not adjust your Capital Gains tax.
How much Taxes will I owe Kiker?
Well, that depends on you. If you held the investment for less than 365 days, you will owe 35% of your gains, or $700.
If you held the investment for longer than 365 days, than you will owe long-term capital gains, as opposed to short-term, which is 15% of the gains, or $300.
I hope this helped!
2007-12-15 03:33:35 · answer #2 · answered by Kiker 5 · 0⤊ 0⤋
Most firms generally require minimum trades of 10,000 shares in the after hours market. That would mean you'd have to sell all your shares or double your position. Another drawback is that you can't see a bid or ask. You can put in a limit order, but that may put you at risk of not getting the best execution because the specialist can see exactly what you're willing to pay/sell for. Generally individual investors should stay out of the after hours market. It's not a place for people who aren't willing to take large bets on the price they'll get for their stock or the price they'll pay for it. Buying and selling in the after hours market is perfectly legal, and buying or selling a stock that you recently purchased is also legal. There's no time limit on how long you have to hold something before you can buy or sell it (unless you're trying to claim a loss on your taxes).
2016-05-24 01:52:36 · answer #3 · answered by ? 3 · 0⤊ 0⤋
What Year ? Timing ? & What's ? The Market Look's Like, Money In Saving After Buying Shares . It Would Be For Me , Half & Half - Steel & Boeing . Two Great Way To Go & Play It More Then Save.
2017-01-26 23:39:41 · answer #4 · answered by Eddie Charles 1 · 0⤊ 0⤋
Actually, two thousand dollars minus the broker's fee for buying and another fee for selling and lastly the capital gains tax.
2007-12-15 03:14:26 · answer #5 · answered by Harbinger 6 · 2⤊ 0⤋
10,000 shares @ 3.50 = $35,000 ... this is what you pay
10,000 shares @ 3.70 = $37,000 ... this is what you take home
$35,000-$37,000=$2,000 profit
another way
10,000 shares x $0.20 = $2,000 profit
2007-12-15 02:58:27 · answer #6 · answered by Anonymous · 0⤊ 0⤋
$2000
Just got 0.20 x 10,000
2007-12-15 04:34:11 · answer #7 · answered by Johan 5 · 0⤊ 0⤋