IRA Taxes Withheld as an Account Fee Paid to Advisor

[astraseske]

Hi Mark,

I read several entries about this but can't match the vocabulary with what I'm seeing in Fund Manager. Currently, the IRA Taxes that are being withheld are being recorded as a 'Distribution Type: Account Fee.' Therefore, on the Executive Summary it says I'm being compensated those fees. So a few questions if I may...

If I double click on the transaction and pull up the 'Distribution Transaction,' select 'Other,' then uncheck 'Reinvested' will this take it out of the 'Account Fees' Paid on the Executive Summary?

If the above does work, will this have a negative impact on performance?

If so, how can I record the transaction so it does not impact performance?

Thanks, Mark. Hope you have a good weekend.

Adam

[Mark]

Hi Adam,

You can change the distribution type from Account Fee to Other (or any other distribution type) and it will not impact performance. Is there some reason you want to un-check reinvested? If this was in the cash account, and cash was taken out to pay this fee, you would want to leave on the Reinvested option. Without the reinvested option checked it is like the client sent in a check to pay the fees/taxes.