Crypto Earnings Calculator Instructions

The Crypto Earnings Calculator is a helpful tool designed to assist individuals in estimating their potential earnings on cryptocurrency investments. This calculator takes into account various factors such as the number of crypto coins, price per coin, initial investment, yearly salary, and filing status. Additionally, it provides insights into potential tax rates and investment earnings.

How to Use the Calculator

Step 1: Input Your Data

1. Number of Crypto Coins: Enter the total number of cryptocurrency coins you hold.
2. Price per Coin: Enter the current market price for each coin.
3. Initial Investment: Specify the total amount you initially invested in these cryptocurrencies.
4. Yearly Salary: Input your annual salary or income from your job or other sources.
5. Filing Status: Select your filing status from the dropdown menu:

• Single
• Married Filing Jointly

Step 2: Calculate

• After entering all the required information, click the Calculate button.
• The calculator will process your inputs and display the results, including:
• Total before tax
• Profit before tax
• Taxable income after the standard deduction
• Estimated tax amounts based on different tax rates
• Potential investment earnings at various interest rates

Step 3: Review Results

• The results will be displayed in a clear format, showing:
• The applicable US tax rates based on your filing status. Your estimated tax rate for short term gains will be bolded.
• The total after tax and the tax paid.
• Estimated earnings from reinvesting your after-tax income at different interest rates.

Understanding the Output

• Tax Rates: The calculator considers both ordinary income tax rates for short term gains and a long-term capital gains rate of 20%. It displays potential tax liabilities based on current IRS tax brackets for the year 2025.
• Investment Earnings: The calculator also estimates how much you could earn if you reinvested your after-tax income at various annual interest rates (4% to 9%).

Disclaimer

• For Informational Purposes Only: This calculator is intended for educational and informational purposes only. It does not constitute financial or tax advice. Always consult with a qualified tax professional or financial advisor for personalized advice tailored to your specific situation.
• Accuracy: While every effort has been made to ensure the accuracy of the information provided, tax laws are subject to change, and individual circumstances can vary widely. Therefore, results may not reflect actual taxes owed.
• No Liability: The creators of this tool are not responsible for any inaccuracies, errors, or omissions in the calculations or for any decisions made based on the output of this calculator.

By following the above instructions, you can effectively use the Crypto Earnings Calculator to gain insights into your potential tax obligations regarding cryptocurrency investments.