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Old 03-06-2008, 12:48 AM
Dick Watson
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Default Re: Track 401k

It is absolutely possible, but how is a MUCH more complicated answer. There
are LOTS of possible sccenarios and variations depending on you plan and
your desired level of tracking--hence insight and understanding--which needs
to be inversely proportional to your willingness to go to the effort to find
and/or poke in the data necessary.

The basic soup-to-nuts drill from 100,000 feet, assuming the answer to the
last two questions was detailed tracking and lots of effort:

1) Setup an investement account to track the 401(k) that represents the real
world account. This account will have an Investements register and a cash
register.

2) Define Investments that match the ones you are contributing to. This
typically will have to be done when you start adding positions in these
investments since Money doesn't make it easy to define an investment you
aren't creating a position in. This is a very important step and, depending
on your plan, can and/or should be done several different ways. The basic
BIG QUESTION here is does your plan let you invest in real investment
vehicles that are traded on the open market or private derivatives for which
you cannot go get a market value quotation. The second not so big question
is, if the latter, how does your plan report to you activity? as some number
of units at some per unit value or just as value $s. Basically the answers
drive you to either a) track real shares in real investments with a symbol
for the investment and you can get quotes online to determine value, or b)
track shares in some investment for which you can't get quotes, or c) track
each investment as something equivalent to a money market fund where the #
of shares = the $ value.

3) Setup your Paycheck transactions to account for and transfer your
contributions to the Investment Cash Account. This should match you your
employer's payroll system does this.

4) Setup (something--lots of possibilities here) to account for and transfer
your employer's contributions, if applicable, to the Investment Cash
Account. This should match you your employer's payroll system and your plan
does this.

5) You should enter investments purchases in the Investment Cash account
that "Buy" the Investments that would then be held in the Investment Account
using cash that steps #3 and 4 put in the Investment Cash Account.

6) Periodically adjust the accounts to match the statements. There are also
several ways to do this but it is important--if you want detailed
tracking--to understand and match the plan's mechanics. (E.g., say your
employer sits on contributed money for 45 days before sending it on to the
plan administrator. You'd need to make sure to recognize this when trying to
get your Money accounts to match the plan admninistrator's statements.)

There are variations on all of these and more possoible details. (E.g.,
401(k) loans.) You can also just create an account with dollars that
represents teh total statemtn value on your most recent statement and track
no transactions and investments. Again, it depends on your plan and your
desired outcome of following it in Money.

"Karine" <nospam[at]nospam.com> wrote in message
news:B7965FC4-5021-4566-9259-967C55115B53[at]microsoft.com...
I have a 401k with an institution that doesn't currently provide syncing
capabilities with Microsoft Money. I receive a statement quarterly from the
institution that provides my total contributions and gains/losses for the
quarter, but doesn't provide any further detail. Is it possible to manually
keep track of my 401k in Money using the information provided on my
quarterly statement? If so how do I do it?

  #-1  
Old 03-05-2008, 07:45 PM
Karine
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Default Track 401k

I have a 401k with an institution that doesn't currently provide syncing capabilities with Microsoft Money. I receive a statement quarterly from the institution that provides my total contributions and gains/losses for the quarter, but doesn't provide any further detail. Is it possible to manually keep track of my 401k in Money using the information provided on my quarterly statement? If so how do I do it?
 

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