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Qualified Dividend

Investing
A dividend taxed at the lower long-term capital gains rate rather than ordinary income, if holding period requirements are met.

Example

Example: Consider an investor building a $100,000 portfolio. Qualified Dividend — a dividend taxed at the lower long-term capital gains rate rather than ordinary income, — directly affects investment strategy and long-term returns. Getting this concept right can mean tens of thousands of dollars in difference over a 20-year period. Model your portfolio with our investment calculator.

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