Option for creating cash account linked to new investment account is missing

JonM

I just added two new investment accounts. Unfortunately the General tab on the Edit Account Details doesn't allow me to link a cash account like I have setup on my other investment accounts. The "show cash in a checking account" question is missing. How can I fix this?

Boatnmaniac

How long ago did you set up this Ameriprise IRA in Quicken?  I'd read somewhere that at one time linked cash accounts were an option for IRA accounts and when it was discontinued already existing IRA accounts with linked checking accounts were "grandfathered."  It is also my understanding that when prior MS Money users converted to Quicken their IRA linked checking accounts were also "grandfathered."

Also, and this is pure conjecture on my part, this might be a function that can be turned on by the brokerage.  Setting up an IRA account in Quicken defaults to not having this  linked checking account function.  But some brokerage companies do allow for IRAs with checking privileges (most don't) so maybe during online services account set up in Quicken there is something in the download from the brokerage that turns on a switch allowing for Quicken to allow for a linked checking account.

Boatnmaniac

Linked cash accounts are not available for IRA/401k accounts and perhaps some other tax deferred and tax exempt accounts.  I'm not sure of the reason for this but I'm guessing it has to do with taxes and that most such accounts are not permitted by the brokerage company to have checking privileges.  Non-retirement investment accounts can often be set up at the brokerage with checking privileges so it makes sense to allow these accounts in Quicken to have linked checking accounts.

JonM

I have other IRA accounts that have cash accounts linked. See screenshot.

Boatnmaniac

How long ago did you set up this Ameriprise IRA in Quicken?  I'd read somewhere that at one time linked cash accounts were an option for IRA accounts and when it was discontinued already existing IRA accounts with linked checking accounts were "grandfathered."  It is also my understanding that when prior MS Money users converted to Quicken their IRA linked checking accounts were also "grandfathered."

Also, and this is pure conjecture on my part, this might be a function that can be turned on by the brokerage.  Setting up an IRA account in Quicken defaults to not having this  linked checking account function.  But some brokerage companies do allow for IRAs with checking privileges (most don't) so maybe during online services account set up in Quicken there is something in the download from the brokerage that turns on a switch allowing for Quicken to allow for a linked checking account.

JonM

Thanks. This is helpful. My Ameriprise account was probably setup in 2009. I am thinking it might be something that Vanguard has disabled. Rather than having a cash account it looks like proceeds from sales are put in a Money Market Fund, which is tracked in the Vanguard investment account instead of a cash account.

Boatnmaniac

@JonM - You are welcome. Many investment companies now hold cash in MMFs instead of the more traditional cash sweep accounts which are more like savings accounts.  Since your money is being held in a MMF security and reported that way to Quicken it makes no sense to have a linked checking account in Quicken for it.

There are some investment companies (like Fidelity) that hold cash in MMFs but then report it to Quicken as both a MMF holding and as Cash which creates account balance issues in Quicken and some needed workarounds to get everything back into balance.  But that's a different issue and another story so I won't go into detail about it here since it doesn't apply to your situation.

Have a great day!

NotACPA

@JonM by any chance were those IRA accounts, that had an LCA, originally created in MS Money?

MSM allowed such configuration, and Q allows the import of such, but you can't directly create such in an retirement type account in Q.