How do you calculate the amount you are putting in your Roth IRA? Assume I want to fund a $2000 IRA with 10 purchases of $200. My on-line broker charges $5.00 per transaction. I want any dividends re-invested. These are things that I am really confused about -- are these true or false?Scenario 1: a) I can invest $200 ten times, but not dividends as they are considered investments and would put me over the limit (or I can reduce my contributions by the amount of dividends reinvested)ORb) The dividends are considered earnings on my investment and do not count towards the limit. Scenario 2:a) The $5 fee is treated as a commission, so I am investing the max at $200, but only $195 of it can earn incomeOR3) I can pay the $5 over and above the $200 ($205), so that all $200 can earn income.Thanks so much!!!!
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra