Understanding Cost Basis: Calculation, Examples, and Tax Impact
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What Is Cost Basis? How It Works, Calculation, Taxation, and Examples
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A “step-up in cost basis” can save your heirs hundreds of thousands in taxes. If you bought a home for $500K and it’s worth $1.5M when you pass, your kids’ cost basis resets to $1.5M — meaning no capital gains tax if they sell. But if you gift it before you pass, they keep your $500K basis and could owe tax on $1M in gains. That’s why timing and strategy matter in tax planning. 💡 Want to learn more ways to protect your wealth and legally reduce taxes? Comment ‘playbook’ and I’ll send you my fre
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