Hello, My father is 91 and in a hospice facility; private pay. He is widowed. He owns his home outright; maybe $385,000. His other assets
are stocks, now down to about $47,000. He otherwise lives on $1400 soc sec. He has about $20,000 in his bank account. The money is draining quickly due to the cost of the facility, but clearly he has enough to continue this help.
We are looking to sell his home in case his stocks run out. Some family say to sell house first and protect stocks (giving them a chance to grow); others say to sell stocks and wait on house (their theory is there will less inheritance tax
than capital gains
tax). Obviously, if my father needs the money, all will be liquidated to continue the help he needs.
My question: what is the tax rate
of capital gains for him? Is it so substantial, that selling his house (unless we just have to) is a bad idea.....so we should stick with selling the stocks (at about 18% fed/state
tax)? Trying to make good financial decisions to protect my dad and his assets and certainly, want the best for the rest of the family. Thanks so much.