Capital gains is taxed at a lower rate than your first 50k of income. Because of the lack of FICA if nothing else. 15% is lower than most people are paying on

Capital gains is taxed at a lower rate than your first 50k of income. Because of the lack of FICA if nothing else. 15% is lower than most people are paying on their income. Same with the top tax brackets. Your 2nd million dollars will be taxed at around 35% if my memory is correct. If you're making 50k, you're paying more than 35% of your income in taxes. (fed + fica + medicare)