Author Topic: What statements do you keep?  (Read 1213 times)

better late

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What statements do you keep?
« on: May 07, 2017, 02:55:33 PM »
I know the internet has some answers about this topic, but I'll feel more confident (and hopefully I'll finally shred any excess paperwork) if I hear the details from you smart people.

I think I have the majority of the quarterly statements from all our investment accounts going back to the 1990's.  When I started, someone explained that I would need the initial investment and reinvestment information to calculate basis when retirement withdrawals began (or some such accounting).  I thinks the investment firms used to ask if you wanted fifo/lifo accounting.  Somewhere along the way I think the rules changed, but my behavior didn't.

Do you keep quarterly or yearly statements?  When you retire, do you have to worry about accounting for capital gains within your 401k or IRA withdrawals?

letired

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Re: What statements do you keep?
« Reply #1 on: May 07, 2017, 03:35:26 PM »
Do you keep quarterly or yearly statements?  When you retire, do you have to worry about accounting for capital gains within your 401k or IRA withdrawals?

Isn't part of the point of tax-advantaged accounts that you don't need to account for basis inside those accounts? I'm 98% sure that when the money comes out it is taxed as income, not on gains (or loss).

However, anything in regular taxable accounts is taxed on gains, and holding the paperwork might help. I have an account that dates back to my birth, and I don't have any trading info for it past 1993. Accounting for the gains on those very first shares is going to be a question for Ye Olde Accountant when I get to that point.

fattest_foot

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Re: What statements do you keep?
« Reply #2 on: May 08, 2017, 08:34:43 AM »
Like L.A.S., I'm keeping the taxes. Don't keep any investment statements, as they seem pretty irrelevant.

It's the taxes (Roth IRA) that matter to me. That's the only way I know of to keep track of my principal.

We did just open a taxable account with Vanguard this year, so maybe in that circumstance the basis will be important. But I'm still not really sure I need to keep statements for that.

Spitfire

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Re: What statements do you keep?
« Reply #3 on: May 08, 2017, 08:39:25 AM »
I keep the latest quarterly statement for my 401k, when a new quarter closes I throw the last one out and replace it.

Unless you need to track basis, like an IRA that has contributions that you deducted mixed with contributions you didn't deduct, you probably don't them.

I do keep the 1099 statements that are sent every year for taxable accounts in a tax file for that year. Nothing from the quarters though.