What Your Advisor's Tax-Loss Harvesting Strategy Is Really Doing

Episode 17 of The Financial Advisor Podcast with Fexingo: Lucas and Luna break down tax-loss harvesting—the most common tax strategy advisors pitch to taxable accounts. They walk through how it works, why the IRS allows it, and the hidden friction: wash-sale rules, transaction costs, and portfolio tracking error. Using an example of a $100,000 portfolio in a 24% tax bracket, Lucas shows how the math can turn neutral or negative if an advisor harvests too aggressively. Luna questions whether the strategy is oversold, especially for clients in lower brackets or with frequent contributions. Concrete takeaway: run the net-of-cost number before saying yes. No prior episode has focused on a single tax strategy this granularly. #TaxLossHarvesting #FinancialAdvisor #PortfolioManagement #WashSaleRule #TaxStrategy #Investing #Finance #WealthManagement #Fiduciary #TaxEfficiency #LucasAndLuna #FexingoBusiness #BusinessPodcast #FinancialPlanning #CostBasis #TrackingError #IRS #AdvisorFees Keep every episode free: buymeacoffee.com/fexingo