The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  https://boards.fool.com/if-the-irs-allows-you-to-quotrebalance-twice-a-27468542.aspx

Subject:  Re: simple rebalance q and other Date:  2/24/2009  3:06 PM
Author:  aj485 Number:  65389 of 94193

If the IRS allows you to "rebalance twice a year,"

Huh? The IRS has no regulations about rebalancing that I am aware of. Can you please be more specific about what type of account you are talking about, and why you think that the IRS controls your ability to rebalance?

does one do generally by, what, tweaking the percentages in your funds, as opposed to the dollar amounts?

Whether you tweak the percentages or the dollar amounts doesn't really matter - just so you end up with the allocation that you were aiming for.

This is totally separate, then, from rebalncing with "new savings" or by buying and selling, though, which one might also do throughout the year?

Well, there are a couple of different ways to accomplish rebalancing - moving money that's already in the account through buying/selling in order to change the allocations, or directing new contributions in a way to change the allocations. I'm not sure of what distinction you are trying to draw.

AJ
Copyright 1996-2019 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us