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The cost basis of a stock at its original value helps the owner calculate the profit or loss on that original purchase. Over time, an asset changes value due to a number of factors: recent stock ...

Learn how to calculate the cost basis for mutual funds, which is their original value, adjusted for stock splits, dividends, & capital distributions.

Two ways exist to calculate a stock's cost basis, which is basically is its original value adjusted for splits, dividends, and capital distributions.

Home Investing Stocks How to Calculate the Cost Basis of Old Stock If you can't find your purchase date and price, check your old tax filings for clues.

Figuring out the basis If a substantial amount of time has passed since you inherited the stock, you'll need to find historical prices for the shares as of the date of death.

Below, we'll go through how to figure out what your tax basis is on inherited stock. The basis step-up The rules behind inherited stock and tax basis are relatively simple.

However, at tax time, it can be difficult to calculate your cost basis when you eventually decide to sell the shares you've accumulated over a lifetime of dividend reinvestment.