What is the best method to enter a bond that matures?

Ann Lewis
Ann Lewis Member ✭✭✭
in Investing (Windows)
I have searched the Quicken Community and the web and I'm having trouble finding a solution of how to enter a bond that matures. I have tried "return of capital" but the cash is not reflected in the cash balance of account. I have also tried "sold bond" but then I have a capital gain. Any recommendations are appreciated!
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Answers

  • NotACPA
    NotACPA Quicken Windows Subscription SuperUser ✭✭✭✭✭
    A bit more info needed.
    What price, per $1000 face value, did you pay for the bond.  IF, less than $1000 ... you do indeed have a CapGain.
    Selling the bond, for face value, is the proper approach. 
    So, please elaborate upon your issue.

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

  • Ann Lewis
    Ann Lewis Member ✭✭✭
    Purchased at face value, received face value, so no CapGain.
  • bmciance
    bmciance Quicken Windows Subscription SuperUser ✭✭✭✭✭
    Put it in as “Bonds Sold”.   That will allow you to also put in the interest you are receiving on the maturity. 

    Quicken Windows user since 1993.

  • Ann Lewis
    Ann Lewis Member ✭✭✭
    Thanks, but interest was paid quarterly. So the interest payment was paid (downloaded into Quicken) as a separate transaction. When I use "Bonds Sold" there is a Capital Gain reported on the date the bond matured.
  • Ann Lewis
    Ann Lewis Member ✭✭✭
    PS "Bonds Sold" gives a correct cash balance, but with a CapGain. Thanks!
  • bmciance
    bmciance Quicken Windows Subscription SuperUser ✭✭✭✭✭
    Are you sure the amount you are receiving at maturity doesn't include interest?  If that is a separate item downloaded then it sounds like you do have a capital gain unless your cost of the bond is incorrect.

    Quicken Windows user since 1993.

  • Ann Lewis
    Ann Lewis Member ✭✭✭
    I think I found the issue. Argh! There were two investment accounts and the bond was transferred about 4 years ago with a placeholder automatically entered. Once I cleaned that up, sold the bond, there is no CapGain. Thank you so much for your help!
  • Peter Ernst Djuric
    Peter Ernst Djuric Member ✭✭
    Can you help with my question since this one is as close as I can find in the community.

    I am showing the income item from a matured bond with an empty CATEGORY. I have balanced out the return of capital. What category can I use so the item doesn't in income. There was no capital gain, that was broken out as interest.
  • q_lurker
    q_lurker Quicken Windows Subscription SuperUser ✭✭✭✭✭
    @Peter Ernst Djuric  When a bond matures I may see three different transactions - a final interest payment received, an amortized bond premium, and the face value proceeds from the matured bond.  

    What real world transactions are you trying to deal with in this case?  What is "income item"?
    What category can I use so the item doesn't in income. 
    Word or words missing?

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