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So, while it's not true that LT capital gains push you into a higher "earned income" tax bracket, what IS true is that "earned income" DOES push you into a higher capital gains tax bracket. In other words, if any kind of earned income pushes your total taxable income above $94050, then you pay 15% on ALL of your LT capital gains instead of 0%. Correct?

Amazing explanations! Thank you for making this straight to the point video. My understanding is that if your taxable income falls under the 0% long term cap gains rate threshold then you owe 0% tax specifically on your long term cap gains. However, if your taxable income crosses the 15% long term cap gains rate threshold then, ALL of your long term cap gains are taxed at 15% and NONE of it is taxed at 0%. In other words, crossing the 15% threshold long term cap gains rate isn't the same as the progressive tax applied to marginal rates for ordinary income. On the other hand, crossing the 20% long term cap gains rate threshold means you pay 15% tax on the amount within that bracket and anything crossing into the 20% threshold is taxed separately at 20%. So, the 15-20% crossover is taxed the same way progressively as ordinary income. Am I understanding all of this correctly? I would REALLY appreciate your response because this is something I see a lot of debate around and it's confusing. Thank you!

Hello Twav

Great info!

Can I roll over my espp into 401k without tax consequences?

What happens if I get fired.. what happens to the money taken from my paycheck toward espp?! Will I get that back..