IRA Distribution transactions and Scheduled Transaction Group are functionality deficient

DoctorBrown
DoctorBrown Quicken Windows Subscription Member ✭✭✭
in Investing (Windows)

In an IRA Setting my FI sells a MMF and transfers the proceeds to my checking account. The Withholding taxes are taken from the amount by the FI. Transactions are entered by the FI and appear in the downloaded transactions as two negative transaction to Tax:State and Tax:Fed and a transfer of the balance of the sell to my checking account.

In order for this to be recorded correctly in my Tax Schedule, I have to:

  1. Create a Bill & Income reminder with a Split transaction to my checking account with - Split 1: [IRA Account], the gross distribution; Split 2: Tax:Fed; Split 3: Tax:State. (Creates a WithdrawalX in IRA.)
  2. Add a Sold transaction for the MMF, the fund source and my FI doesn't generate a Sold download transaction.
  3. Delete the three transactions downloaded from my FI.

Although it has been this way for as long as I know, to me (surely longer), this is messed up. And I DELETE (not accept/edit) downloaded transactions.

The Split in the checking account is artificial because my checking account never sees the tax withholding and Quicken doesn't record the fact that the taxes are transferred to and recorded by the IRS. The FI DOES report them to me in the downloaded transactions.

Now, on to the New Scheduled Transaction Group. it seems I can only select from Regular OR Investment, not transactions from both. This seems to defeat the purpose and intention of the function.

But the transactions to do the above sequence (except for step 3) can be remembered in the Memorized Payee list (Step 1) and the Memorized Investment Transaction List (Step 2). Which the New Scheduled Transaction Group window can see, but can't be combined into one group. Why not? Isn't that the purpose of the function? I see almost no other reason to have this function since in the case of Memorized Payee an item can be create in B&IR for everything in that list.

And since Group is created in the B&IR calendar, all bases would be covered for automation.

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Comments

  • Quicken Kristina
    Quicken Kristina Quicken Windows Subscription Moderator mod

    Hello @DoctorBrown,

    Thank you for sharing your experience. Do you have similar transactions in other account types? If you do, does Quicken handle them the same as you describe with the IRA?

    The limitation on transaction groups that you point out is intended behavior, although I can understand how it's frustrating that it doesn't support your use-case. Our article on investment transaction groups lists some of the uses the feature is intended for: Use these procedures to schedule recurring investment transactions other than dividend and interest payments (for example, dollar cost averaging, DRIPs, or other transactions in which there are purchases on a regular basis).

    If you'd like to see that functionality changed, I recommend creating an Idea post to request the change. Ideas that get enough votes may be implemented in the future. For information on creating an Idea post, please review the post linked below:

    https://community.quicken.com/discussion/7849425/creating-and-voting-for-ideas-in-the-community

    I look forward to your response!

    Quicken Kristina

    Make sure to sign up for the email digest to see a round up of your top posts.

  • DoctorBrown
    DoctorBrown Quicken Windows Subscription Member ✭✭✭

    I totally appreciate the reply. It is great to hear from a knowledgeable source about this concern. It has been a frustration for me for as long as I've been withdrawing from my IRA using Quicken. The only similar transfer transactions with Splits are among the Banking accounts which Quicken handles fairly well, as long as I don't try to split the transaction on both sides of the transfer. And they aren't Tax issues to worry about.

    The transactions to and from the Investment account (I only have one active investment FI) and it being a Tax Deferred account are what makes this a challenge. And, as I described, I feel Quicken could do a better job of handling that.

    I almost never do those complex investment procedures. This is the first time I discovered there is and have had a need to try and use Scheduled Transaction Group. Being able to work with both investment and banking accounts in a group looked like a natural application extension. I don't see why, if the transactions are treated separately and pass data from one to the other, that this couldn't work. (I know details, details…. from a SW engineer.)

    Given the current process, I have low confidence that these suggestions will ever be implemented. Only those people that feel motivated to speak out and come here will ever vote. And that is a small minority of users, I think. The rest, will muddle through using whatever Rube Goldberg methods they can glean from others or this forum. I don't see things ever getting enough votes to implement. Unless Quicken reaches out and asks the less motivated if the improvement is a good idea and desired. I had no idea until now that Scheduled Investment transaction was even possible. I sure would have explored it much earlier.

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