Question on cost basis

Dennis Mahoney

I'm wondering if there is a investment value that shows the amount invested in an account. Suppose I deposit $100,000 in a brokerage account then this is the cost basis. If I then buy stock for $50,000 and sell it a day later for $53,000 then in the portfolio view my cost basis is now $103,000 but obviously my investment is still only $100,000. Is there a value in Quicken that will show the amount invested in the account rather than the result of the trades?

Sherlock

Terminology matters: https://www.investopedia.com/terms/c/costbasis.asp

If you want to see how much you have deposited and withdrawn from the account, I suggest you use a customized Investing Activity report.  For example, open the investment account, press Ctrl + Shift +  N, and select Investing Activity

NotACPA

You NEVER had $100,000 in basis ... you had $100,000 in cash.

You don't have a basis in any security until you buy something.  Merely depositing cash doesn't create a basis in what?  Cash?

After the $50k purchase, you had a $50k security (with a basis of $50k) and another $50K in cash.

When you sold the security you had $103K in cash ... $3k of which was Cap Gains.

WHEN you then buy something for $53K, you'd have $53K basis in THAT security.

q_lurker

@NotACPA While there is technical validity to your answer, it overlooks that Quicken treats the cash in an investment account as have a dollar-for-dollar cost basis.  Or for those users that choose to buy a MM security as a cash vehicle, those shares (that form of cash) also have cost basis. 

@Dennis Mahoney @Sherlock is also right - terminology matters and as you buy and sell securities your cost basis does change.  It is not a static value on an account based on deposits into and withdrawals from the account. 

Is there a value in Quicken that will show the amount invested in the account rather than the result of the trades?

My most direct answer to that question is NO.  You really do need to work within the available reports to get what you are after.  The Investing Activity Report cited by Sherlock does include line items for deposits to and withdrawals from the account(s) included on a quarterly basis.   

Sherlock

Terminology matters: https://www.investopedia.com/terms/c/costbasis.asp

If you want to see how much you have deposited and withdrawn from the account, I suggest you use a customized Investing Activity report.  For example, open the investment account, press Ctrl + Shift +  N, and select Investing Activity

NotACPA

You NEVER had $100,000 in basis ... you had $100,000 in cash.

You don't have a basis in any security until you buy something.  Merely depositing cash doesn't create a basis in what?  Cash?

After the $50k purchase, you had a $50k security (with a basis of $50k) and another $50K in cash.

When you sold the security you had $103K in cash ... $3k of which was Cap Gains.

WHEN you then buy something for $53K, you'd have $53K basis in THAT security.

q_lurker

@NotACPA While there is technical validity to your answer, it overlooks that Quicken treats the cash in an investment account as have a dollar-for-dollar cost basis.  Or for those users that choose to buy a MM security as a cash vehicle, those shares (that form of cash) also have cost basis. 

@Dennis Mahoney @Sherlock is also right - terminology matters and as you buy and sell securities your cost basis does change.  It is not a static value on an account based on deposits into and withdrawals from the account. 

Is there a value in Quicken that will show the amount invested in the account rather than the result of the trades?

My most direct answer to that question is NO.  You really do need to work within the available reports to get what you are after.  The Investing Activity Report cited by Sherlock does include line items for deposits to and withdrawals from the account(s) included on a quarterly basis.   

NotACPA

Well, you could create a custom report, based upon the Investment transactions report, and then filter it to include ONLY "Deposit" and "Xin" transactions.

I'll also point that that for both a MMF and cash, "cost basis" is immaterial ... since you both buy and sell at exactly $1