No. of Recommendations: 1
DO NOT DEPEND ON YOUR BROKER, THE MUTUAL FUND COMPANY, OR ANYONE ELSE TO KEEP COST BASIS INFORMATION.

True! When I sold my taxable mutual funds and purchased Vanguard funds, the fund family that I left had produced "average cost basis, single category method" for nine of the ten funds, but had no explanation for why I didn't get the average cost basis information for the tenth fund.

Always keep a record of the purchases. In many cases, the annual statements are good enough if they include the year's transaction data.

For the nine funds for which I was given the average cost basis, single category method, when I compared the bottom line of Schedule D with me doing FIFO, we disagreed by $0.06 on a 6-digit portfolio, but the FIFO method did move some of the losses to short term (whereas average cost basis had more of the losses long term). Unfortunately, I tend to be a "buy and hold" investor so I am unlikely to sell for some time, and mutual funds must lump short-term capital gains with non-preferred dividends for tax purposes, so in practice FIFO vs. average cost basis won't make any difference for me unless I really do sell some shares after owning them for less than a year.
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