Is there a way to show dividend reinvestment as an income? At the moment, I am adding them as “Buy” because technically I am buying new securities. But it would be good to show them as an income. Wondering if that’s possible. Thanks.
I do not quite get your point. If a security pays dividends they are liquidized into your PP cash account. From that you buy new securities, so the dividens appear as “income” in your cash account.
Thanks. The dividend is not coming to my cash account as I chose to reinvest dividend (DRIP).
What is the proper way to record automatic dividend reinvestment? Do I add the dividend in the “cash account” and then buy?
there are different philosophies here in the forum how dividends are managed.
I personally actually do receive dividends and PP puts them into the corresponding cash account. If I decide to reinvest them (for whatever security) I book a BUY so that PP takes the money for that purchase from the cash accout.
Important to note as this sometimes comes up here in the forum as well, the above is true only if you physically receive the dividends. It it not true if your fund is an accumulating fund.
Does this make sense?