REVISION REQUIRED DUE TO MATH ERRORS:

1. In the 'Capital gains taxes' section, change: "Short-term gains on assets held fewer than 12 months are taxed at ordinary income rates, up to 37% federally." TO: "Short-term gains on assets held fewer than 12 months are taxed at ordinary income rates, up to 37% federally. Long-term gains on assets held more than 12 months are taxed at 0%, 15%, or 20% depending on taxable income."

AND change: "A single investor with $180,000 in taxable income pays 15% on long-term gains and up to 32% on short-term gains." TO: "A single investor with $180,000 in taxable income in 2024 pays 15% on long-term gains and 24% on short-term gains (at the 24% federal marginal tax bracket)."

2. In Worked Example 1, the expected return benefit calculation requires clarification. Change: "Expected return benefit: $400,000 x 0.15% = $600" TO: "Expected return benefit: $400,000 x 0.15% = $600 (applying mid-range estimate; note this represents the annual benefit of restored risk alignment across the full portfolio)"

Alternatively, to be more conservative and technically accurate, recalculate using only the traded amount: "Expected return benefit: $28,000 x 0.15% ≈ $42" Which would yield: "Net Benefit = $42 - $1,454 = -$1,412" making the case for waiting even stronger.

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Recommendation: Use the $42 figure as it is more technically sound (the benefit should reflect only the rebalanced portion where drift correction occurs).