Distributions that Straddle Months.

[aviator]

Hi Mark,

My broker has just implemented a system where distributed distributions are recorded on one date and reinvested distributions on another. In my case, the distributions straddle two months -- the reinvested distributions were recorded on the last day of May; the distributed distributions recorded in early June.

You can see how this will create problems for tracking income. In the past all distribution transactions were recorded in one month, regardless of whether they're distributed on reinvested. Question for you is should I change the June transactions to reflect a May distribution? This is something I'd have to do every month (which I'd prefer not to do), just don't know what the workaround is. I'd like to see all distributions recorded in the month they were earned. (I'm aware this isn't a FM issue, just seeking advice on the best way to handle.)

Thanks.

[Mark]

Hi aviator,

It is probably a matter of personal preference. You could leave them recorded as is, and you'll just have the proceeds sitting in cash over the end of the month, and then that cash will be used to purchase more shares at the beginning of the next month.

If you'd prefer to see both the distribution and reinvestment in the same month, you could delete the purchase, and edit the distributed distribution at the end of the month to be a reinvested distribution. You can't edit a purchase to be a distribution (you'd have to delete/add instead), so it may be easier this way. Make sure when you're done manually editing, you don't have any remaining cash side transactions.

[aviator]

This is helpful. Thank you.