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I was directed here from another board. One of my stocks recently split (2 for 1), and Quicken is trying to get me to accept a "remove shares" entry. I checked the brokerage, and there is no mention of removing shares. The split was recorded as a purchase ("bought") with a description "stk split XXXX shs". Quicken did have me accept an entry "stk split", and that seems to have been correct. Why the removal? There was also "cil" for the odd share I had ("cash in lieu"), so that isn't it.

Any idea why I shouldn't just delete the "remove shares" entry?

TIA,
1poorguy
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No. of Recommendations: 1
No, a stock split should not be recorded as a purchase. That will change your holding period and cost basis.
If you already have a stock split transaction in the register you need to open it and then click the edit button and check these items.
The transaction date should be the date of the split. Not the date of the original purchase.
The security name is correct
New shares
Old shares
Memo: (optional) Transfer IN
Do not enter price after split. It will ruin your cost basis info if you do.

Any fractional shares held should show as sold in the "cash in lieu" transaction.
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Yes, the split was recorded correctly. And I did have a cash in lieu, but it was trivially small. But it still has the line item "remove shares", which doesn't make any sense to me.

I don't delete downloaded transactions lightly, but this seems to be an error. So I'm about to delete it.

I had another issue recently split, and also had a "remove shares", and when I deleted that remove shares I verified I had a correct share count. Which bolsters my courage to delete the line item from this other stock. I've held this one far longer, and there are a lot more shares involved, including from before I started using Quicken (in fact, I think Quicken didn't exist when I got my first shares).

1poorguy
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"Cash in Lieu" is usually short for "Cash in Lieu of Partial Share". Did you have any fractional shares prior to the split? Was the split an odd amount (like 2.5:1)? Either of these could cause a situation where you had partial shares left over that need to be removed since you received cash for the value of those shares instead. You don't get to keep the Cash in Lieu AND the partial shares.

Draggon
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Hi 1poorguy,

How many shares are trying to be removed through the remove shares transaction? Would it be the amount of the fractional shares which you received cash for? If so, then that sounds correct to me.

I'd make sure I have a backup and accept the transaction.

The way I would verify if the transactions did the right thing would be to look at your "holdings" view of that security. If the cost is appropriate across all lots, and the number of shares looks correct, and the cash balance for that account has increased by the "cash in lieu" you received then I would say you're good to go by accepting the transaction(s).

If not, you can always restore from your backup and try again to make sure that your cost and number of shares remains correct. You can also contact Customer Support if you think this is an error.

Hope this helps,
'38Packard
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No. It's thousands of shares. The CIL was separate, trivially small, and I already accepted it.

And the removal doesn't show up on the brokerage's end, or not at least in any transaction screen I can access.

1poorguy
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Did you see my 2nd reply in your initial post on the Retirement Investing board. Don't know if that sheds any light on your 1000's of shares.

https://boards.fool.com/something-is-obviously-wonky-somewhe...

Again GL, & make a backup before you take any action.
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1poorguy wrote No. It's thousands of shares. The CIL was separate, trivially small, and I already accepted it.

I am going to assume the number is not only over 1,000 share and also more than say 2% of that holding.

As the son of a Tax Accountant and the spouse of a former bank CFO, I do understand and appreciate the desire to have accurate portfolio records. That said, keep this points in mind:

#1. Your broker keeps records and is required to inform the IRS (and you) or any sales.
#2. Your broker is similarly required to inform the IRS of the basis for the investments sold, unless those investments were made at some date in the past - in which case you merely enter the basis your records show on the tax forms.


If Quicken has it wrong and your broker is correct, other than having a nice agreement on share count, does any of this matter?

If your broker actually has an error and Quicken is correct, do you think you have any chance of winning this disagreement with the IRS?

I also have had such weirdnesses with Quicken -- although they were in the distant past. After deploring the stupidity of things, I made a single entry in Quicken so that the current Quicken number agreed with my broker and stopped worrying about it. I sleep better.
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If Quicken has it wrong and your broker is correct, other than having a nice agreement on share count, does any of this matter?


True. But the broker for that account changed over a decade ago. The records get a bit confusing. Though, yes, I generally go with what the brokerage says. However, some of these shares are so old that I was specifying lots back then. So basis can get hairy if my records aren't accurate.

I ended up deleting the entries. Shares were most definitely not removed, so the entries seemed inappropriate. I have been getting a screen for a while, whenever there is any activity in that account, that complains "shares reported" and "shares in Quicken" don't match. Still haven't figured that one out. Deleting the entries for the more recent acquisition didn't cause any issues, and I then sold the position which resulted in Quicken accurately reporting I have no shares. The older stock that split is still problematic in Quicken.

Seems like there isn't an easy fix, so I'll probably just have to let it go. Quicken is, at best, a snapshot of my situation. It's most useful for credit cards and bank accounts. Those are spot-on. The brokerages seem to be messy for some reason, and at least one doesn't like to download to Quicken at all. So I have to go in manually for that one (my 401K), which I do every year or two (last time was about 2 years ago).

When I wanted to run my numbers through a retirement simulator/model, I logged into each entity and tallied-up our assets. The Quicken value was reasonably close (and I actually was able to fix a few things during that process), but when it counts I check directly instead of relying on Quicken.

Anyway...no easy fix, so I guess I'll stop worrying about it.
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1poorguy,

There are transaction types called "Add / Remove Shares" that you can use to adjust the share balance that will correspond with your brokerage records.

I've had to do this before with some of our Fidelity accounts over the years. By entering the "Remove Shares" or "Add Shares" transaction, you can make the adjusting entry in Quicken with a record of the entry and a reason for the entry which will fulfill any record keeping requirements I'd say. (I'm not a CPA but a long time Q user).

Go to your holdings view, see how many shares are different from your brokerage statement, and enter in an appropriate Add or Remove shares transaction.

Hope that helps!
'38Packard
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