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Introduction to Investment Earnings

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Investment earnings come in a variety of forms. Learn how stocks and bonds make their money, and what this means at tax time.

What you will learn

  • Earnings on Bond Investments
  • Earnings on Stock Investments
  • Earnings on Mutual Funds
  • Taxes on Your Investments

What do you know?

Introduction to Investment Earnings

Investment earnings may come in a variety of forms. Some earnings are immediate, while you may need to wait for others. Some earnings may receive favorable tax treatment.

When planning your investment strategy, you should consider what type of earnings work best to meet your objectives. As a savvy investor, you will want to work toward maximizing your returns by minimizing taxes and staying ahead of inflation. These considerations will affect the types of investments you choose, based on the dividends, capital gains, or interest income they may generate.