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Author: InvalidUserID CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121114  
Subject: Dividends In Non-Retirement Account Date: 1/16/2012 4:36 PM
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Hello All,

I purchased Whole Foods a while ago when it was near it's bottom ($10!) and bought it in a non-retirement brokerage account. At the time, it wasn't paying a dividend, I wasn't looking ahead, and I thought I would simply sell when it hit a certain dollar.

Fast forwards to today, it's now $70 and paying a dividend. I'd like to put it into my Roth IRA but the only way (that I know of) doing this would be to sell the shares and then "re-buy" into my Roth. Am I correct?
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Author: TMFPMarti Big funky green star, 20000 posts Home Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 114590 of 121114
Subject: Re: Dividends In Non-Retirement Account Date: 1/16/2012 5:09 PM
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I'd like to put it into my Roth IRA but the only way (that I know of) doing this would be to sell the shares and then "re-buy" into my Roth. Am I correct?

You are correct regarding the law, but I question your plan. Why would you want to realize a taxable gain just to get the dividends into a Roth? Under current law the dividends are taxed at a favored rate, so it seems to me that the most prudent thing to do would be nothing. Then when you spot another undervalued Whole Paycheck (tip of the hat to a friend who came up with that one) you can buy that one in your Roth.

Phil
Rule Your Retirement Home Fool

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Author: InvalidUserID CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 114609 of 121114
Subject: Re: Dividends In Non-Retirement Account Date: 1/17/2012 8:35 PM
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OK, thank you Phil.

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