Selling investments without considering tax timing can cost you thousands. For example, selling after 11 months triggers higher short-term tax rates, while waiting one more month qualifies for lower long-term capital gains rates. Managing these rules across multiple accounts is tough, especially with risks like wash sales, which cancel out tax benefits.
Enter Mezzi, an AI-powered tool that simplifies tax planning. It:
- Tracks your holding periods daily to optimize for lower tax rates.
- Alerts you to tax-loss harvesting opportunities while avoiding wash sales.
- Simulates sales to predict tax liabilities, factoring in federal and state rates.
- Consolidates all your accounts securely for a complete financial overview.
With Mezzi, you can make smarter, tax-efficient decisions year-round, saving thousands annually. It’s not a replacement for your CPA but a tool to minimize taxes before April.
What Is Tax-Loss Harvesting & How To Do It? - 8/19/25 | Market Sense | Fidelity Investments
Connect Your Investment Accounts with Mezzi
Mezzi connects to your investment accounts using read-only access, so there's no need to move your assets or transfer funds. Your 401(k), brokerage accounts, Roth IRA, and taxable accounts stay exactly where they are. By consolidating a full view of your accounts, Mezzi delivers precise tax planning and modeling for capital gains and tax scenarios. This secure integration is essential for creating a solid foundation for effective tax strategies.
Secure Account Connections with Plaid and Finicity
Mezzi relies on Plaid and Finicity (Mastercard) to link your accounts securely. These services ensure that your login credentials are never stored on Mezzi's servers. Instead, Mezzi receives only read-only information about your holdings, balances, and transactions. Both Plaid and Finicity are trusted by leading financial apps for their reliability and security.
"Mezzi never sees your brokerage and bank login details. Access to your accounts is limited to read-only."
With support for thousands of financial institutions and account types - including 401(k)s, IRAs, and taxable brokerage accounts - Mezzi offers broad compatibility. As an SEC-registered fiduciary, Mezzi is legally obligated to prioritize your best interests. Plus, with an ad-free platform, your data is never sold to third parties.
See All Your Accounts in One Place
Bringing all your accounts together in one view can reveal tax risks that might otherwise go unnoticed. For example, if you sell a stock at a loss in a taxable account to claim a deduction but accidentally repurchase the same security in your 401(k) within 30 days, you create a wash sale - which cancels out the tax benefit. Mezzi monitors these risks across all connected accounts and alerts you before you make costly mistakes.
This unified view also powers Mezzi's X-Ray feature, which identifies overlapping stock exposures across ETFs, mutual funds, and individual holdings. For instance, Shuping, Founder of Summer AI, shared: "Mezzi's X-Ray feature allowed me to uncover exposure to stocks I didn't realize I had." By highlighting these overlaps, you can avoid paying fees twice for the same investments and make smarter rebalancing decisions. For a portfolio worth $1,000,000, tax optimization could save you $10,000–$20,000 annually.
Model Capital Gains Scenarios in Mezzi
Once you've linked your accounts, Mezzi lets you simulate investment sales to estimate your tax liabilities in real time. You can test different sale amounts, compare dates, and see exactly how much you'll owe in federal and state taxes. Instead of being surprised by your tax bill in April, you can preview the tax impact of selling an investment before making the move. Here's a closer look at how Mezzi's simulations work to project your tax responsibilities.
Simulate Sales to Predict Tax Liabilities
Mezzi keeps a close eye on your portfolio every day, tracking when your investments transition from short-term to long-term capital gains status. For example, selling an asset after holding it for 11 months means you'll face ordinary income tax rates. Waiting just one more month, however, qualifies you for the lower long-term capital gains rates.
The tool calculates tax impacts based on your income, filing status, and where you live. For 2026, federal long-term capital gains rates are 0%, 15%, or 20%, depending on your taxable income. To illustrate, single filers with taxable income up to $49,450 pay 0%, while those earning over $545,500 are taxed at 20%. Additionally, high earners may need to account for the 3.8% Net Investment Income Tax (NIIT) if their income exceeds $200,000 (single) or $250,000 (married filing jointly).
State taxes are another piece of the puzzle. Mezzi factors in your state’s approach to capital gains taxes - whether they’re treated as ordinary income (like California's rates, which can reach up to 13.3%) or not taxed at all (as in Florida and Texas). This state-specific modeling helps you plan ahead and avoid unexpected tax burdens.
Compare Long-Term vs. Short-Term Gains
Mezzi doesn't just crunch numbers; it also highlights the benefits of long-term capital gains rates. If you're holding an investment that's close to the one-year mark, Mezzi will notify you that waiting a little longer could significantly lower your tax rate. With daily monitoring, the platform ensures you don’t miss these opportunities, helping you make decisions that could lead to substantial tax savings.
Tax Advice Disclaimer
While Mezzi offers valuable insights and year-round opportunities, it’s not a substitute for professional tax advice. As the platform explains:
"Your CPA prepares your return and ensures compliance. Tax Optimization finds opportunities throughout the year so there's less tax to report in April".
Use Mezzi's tools to make smarter decisions, but always consult a tax professional for final advice and preparation of your tax return.
Find Tax Optimization Opportunities with Mezzi
Mezzi doesn’t just stop at precise tax simulations - it actively scans your portfolio every day to uncover ways to save on taxes all year long. Instead of waiting until tax season to realize missed opportunities, Mezzi keeps you informed in real time, offering actionable suggestions when it matters most. By monitoring all your connected accounts, the platform identifies strategies that could lead to meaningful tax savings. Here’s a closer look at three key ways Mezzi helps optimize your taxes.
Tax-Loss Harvesting Guidance
When markets take a dip, Mezzi steps in to identify investments trading below your cost basis. Selling these at a loss can offset capital gains from other positions, reducing your overall tax bill. Mezzi’s daily portfolio monitoring ensures you don’t miss these opportunities. As the platform puts it:
"Tax Optimization monitors your portfolio daily and alerts you when a window opens".
It doesn’t stop there - Mezzi also keeps track of the 30-day wash sale rule across all your accounts, ensuring any deductions remain eligible.
Roth Conversion Timing Advice
Mezzi goes beyond the basics by analyzing your income projections and tax bracket to recommend the best time for a Roth IRA conversion. While converting traditional IRA funds to a Roth creates an immediate tax obligation, it also sets the stage for tax-free growth and eliminates required minimum distributions in retirement. The key is timing - Mezzi identifies lower-income years or other optimal windows to minimize the tax impact. With its ability to simulate different scenarios, the platform helps you make informed decisions that align with your financial goals.
Tax-Efficient Rebalancing Guidance
Rebalancing your portfolio is necessary when it drifts from your target allocation, but doing so without creating unnecessary tax burdens can be tricky. Mezzi simplifies this process by coordinating adjustments across all your account types. It suggests rebalancing strategies that prioritize sales in taxable accounts while preserving long-term gains. By tracking holding periods down to the day, Mezzi ensures you don’t accidentally trigger short-term capital gains when waiting a little longer could qualify you for lower long-term rates. This turns rebalancing from a potential tax hassle into a smart way to maintain your portfolio’s balance and protect your returns.
With its unified view of your accounts and real-time insights, Mezzi transforms tax optimization into a proactive and seamless part of managing your investments.
Time Your Sales to Reduce Taxes
Tax Impact Comparison: When to Sell Investments for Maximum Savings
Timing isn’t just about what you sell - it’s about when you sell. Mezzi’s AI keeps a close eye on your portfolio every day, pinpointing the best moments to sell while minimizing tax burdens. Instead of playing the guessing game about whether to sell now or later, you’ll get real-time insights that clarify how timing affects your tax liability. The comparisons and AI-driven insights below make it clear how much of a difference this can make.
Tax Impact Comparison Table
The timing of your sale can translate into thousands of dollars in tax savings. Whether you sell immediately, wait for a better tax bracket, or pair gains with losses, the financial impact is significant. Here’s a breakdown:
| Scenario | Estimated Tax | Tax Savings |
|---|---|---|
| Sell Now (15% bracket) | $15,000 | - |
| Sell Later (0% bracket) | $0 | $15,000 |
| Harvest Losses + Sell | $5,000 | $10,000 |
These numbers aren’t just theoretical. Mezzi calculates your actual tax exposure based on your linked accounts, income, and tax bracket. It tracks each position down to the day, so you’ll know exactly when an investment crosses the 12-month threshold - shifting from short-term to long-term capital gains status.
Use AI to Decide When to Sell
Mezzi takes things a step further by using AI to refine your sale timing. For example, the AI can spot lower-income years when you might qualify for the 0% long-term capital gains bracket, turning what could have been a $15,000 tax bill into nothing. It also identifies opportunities for tax-loss harvesting, showing how pairing a gain with an offsetting loss can shrink your tax liability by two-thirds or more.
If you’re nearing the one-year mark on a profitable investment, Mezzi will notify you to either harvest losses before prices rebound or hold off a few extra days to qualify for a lower tax rate. This kind of precision transforms tax planning from a last-minute scramble into a strategic, year-round advantage - all seamlessly managed across your linked accounts.
Act on Mezzi's Tax-Efficient Advice
Mezzi equips you with the tools to make smarter financial decisions that can save you money. While it doesn’t handle trades or move funds for you, it provides clear, actionable guidance so you can act confidently and avoid costly tax missteps. Powered by detailed tax simulations, Mezzi’s prompts help you decide the best timing for your sales, ensuring you can act swiftly and with precision. You stay in control, but Mezzi gives you the clarity to make informed decisions.
Ask Mezzi Questions About Your Finances
Need answers about your portfolio? Mezzi is ready to help - anytime. You can ask specific questions about your holdings and get tailored answers in just minutes, even outside traditional business hours. Unlike waiting days for a financial advisor to respond, Mezzi’s AI dives into your connected accounts and delivers insights instantly. Whether you’re wondering, “Should I harvest losses now or later?” or “When will this position qualify for long-term gains?”, Mezzi’s advice is based on your real data, not generic scenarios.
Monitor Results After You Sell
Once you’ve acted on Mezzi’s advice, the platform continues to work for you. It tracks your portfolio after every sale, ensuring you maximize your tax benefits. Mezzi will notify you when it’s safe to repurchase assets without risking your tax advantage. This ongoing tracking helps you avoid errors that could undo your savings, keeping you on course for the best outcomes.
Save Thousands in Taxes and Fees Each Year
By following Mezzi’s guidance, users routinely cut down on taxes and fees, saving $10,000 or more annually in advisor costs and fund expenses. Mezzi’s year-round insights transform tax planning from a stressful, once-a-year task into a consistent strategy. The result? More money stays in your pocket, and you gain a meaningful edge in managing your finances.
FAQs
How accurate are Mezzi’s capital gains tax estimates?
Mezzi uses AI-driven analysis of real-time financial data to deliver highly precise capital gains tax estimates. By forecasting tax liabilities, refining strategies, and reducing errors, it helps investors stay ahead. Plus, its system adapts to evolving tax laws, ensuring calculations remain accurate and reliable for smarter decision-making.
Can Mezzi help me avoid wash sales across all my accounts?
Mezzi leverages AI to keep an eye on trades across all your accounts, helping you sidestep wash sales. By identifying potential cross-account violations and flagging risks ahead of time, it supports compliance and guides you toward smarter, tax-efficient decisions.
What information does Mezzi need to model my federal and state taxes?
Mezzi needs access to your financial information, which includes details from both your federal and state tax filings. This generally means providing your IRS Form 1040 along with any related schedules. These documents help ensure precise calculations for your federal and state taxes.
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