Hello! After taking the course I want to rebalance my portfolio as well as add non-US stocks to my portfolio. My account is through Vanguard and I’m at 72% stocks, 18% bonds and 9% short term reserves. I want to sell some bonds and stocks in order to buy non-US stocks. Will I be taxed for selling the stocks/bonds even though it’s a mutual fund through my Roth IRA?
Hello, from what I know you won’t be taxed on the GAINS inside of your ROTH IRA and as long as you don’t plan to withdraw from it until you are 59.5 years old, then you should be good in my opinion.
That’s right Fernando, you can rebalance within a tax sheltered retirement account without tax implication. If this were a brokerage (taxable) account, then you’d owe capital gains taxes.