I have trouble categorizing transfers between bank (Chase) and brokerage account

mindyflauto

What category should be used when money is transferred from a bank to a brokerage account? Under the master category "Transfer", only credit card is listed. I don't want it to appear in reports as income or spending. I am using Quicken 2016

John_in_NC

There isn't a right or wrong answer for this: use whatever you want. I normally use "Transfer" for all my transfers, but you could use Transfer:Investment, or Transfer:Brokerage. Use/create whatever you like.

It really doesn't matter, though. Since these are transfer transactions, the two sides will cancel out for reporting issues so you won't see it as income or spending as the net of the two transactions is $0. Your moving money from one pocket to another so to speak.

UKR

Somebody correct me if I'm wrong, but I thought the answer was:

• Add the Transfer column to your bank account register, if it doesn't already exist.
• Using the Transfer column, select the transfer-to destination account.

John_in_NC

UKR said:

Somebody correct me if I'm wrong, but I thought the answer was:

• Add the Transfer column to your bank account register, if it doesn't already exist.
• Using the Transfer column, select the transfer-to destination account.

Yes, that is correct regarding how to perform the transfer.

I read this as the OP is confused about what Category to use for the transaction.

volvogirl

UKR said:

Somebody correct me if I'm wrong, but I thought the answer was:

• Add the Transfer column to your bank account register, if it doesn't already exist.
• Using the Transfer column, select the transfer-to destination account.

In Mac I believe you can give a transaction both a transfer and a category.

J_Mike

UKR said:

Somebody correct me if I'm wrong, but I thought the answer was:

• Add the Transfer column to your bank account register, if it doesn't already exist.
• Using the Transfer column, select the transfer-to destination account.

There is one case where assigning a category to a transfer can play an important role. That is for paycheck pre-tax contributions to a retirement account (e.g., a 401k). One creates a category (with the appropriate tax line assignment) and assigns this category to the transfer to the retirement account. This enables QMac to recognize and account for the pre-tax contributions in the Tax Schedule Report.

Likewise, one does a similar exercise to record taxable distributions from a retirement account.

This is an area where QMac differs markedly from QWin - and I think QMac has taken a lead over QWin with the added flexibility of being able to categorize a transfer.