Monthly draw on IRA causes issue in spending-plan

I have investment account (Roth IRA-1) I take a monthly draw on for the same amount. The account it is pulled from (IRA-1) and the account it is deposited into are both in my Simplifi.
In transactions, I have my checking account reflect deposit (category income) (this is good)
In spending plan under other spending, I see transactions in my IRA-1 account (matching green and black entries - same amount). These more or less total-up to the amount of the deposit described above as income. They are marked as ignore in spending plan yet they still show up.
I've tried having support help a couple of times but we end up just changing things that in the end, do not seem to help Simplifi reflect reality. The result right now is on spending plan, other spending is showing the amount of my monthly deposit from the IRA (all the individual transactions that add up to the monthly draw.
What is the best way to handle this sort of situation? While I like seeing the total picture with investment accounts, the ability or setup of Simplifi to handle this situation and be able to represent an accurate picture seems elusive.
We've tried removing and adding recurring transactions, checking to ignore them in reports/spending plan, all to no avail.
Thanks for any guidance!

Best Answers

  • DannyB
    DannyB Superuser ✭✭✭✭✭
    Answer ✓

    I reread your original post and have a couple of questions.

    1. Is the deposit into your checking account being tracked in Simplifi in the "Income" section or the "Transfers & Credit Card Payments" section.
    2. Are the transactions showing up in "Other Spending" greyed out and marked with the "excluded" icon (icons is excluded from both Sending Plan and Reports)?

    I believe the only transaction in your IRA-1 account that should affect your Spending Plan in Simplifi is the actual transfer from the IRA-1 account to your checking account.

    As far as "doing it all" in Simplifi, I find that reviewing and if needed, updating the number of holdings in my investment accounts monthly to be much more efficient (i.e. less time consuming and more accurate for Portfolio, Balance and Performance reporting) in QS than trying to keep up with the dozens of monthly transactions in my accounts. I don't need to track dividends or interest, or rebalancing transactions done by my advisor/accounts manager. The only transaction in these accounts I'm particularly concerned about QS wise, is the monthly draw that lands in my checking account.

    Simplifi user since 01/22
    Budget: a mathematical confirmation of your suspicions.” ~A.A. Latimer
  • VermillionSands
    Answer ✓

    It was Yes on both counts.

    I changed to manual and things reflect reality now - my comfort level is much higher now that I trust what I see. I am with you on leave the investments to tools designed to handle those and budget/cashflow to this software. Thanks for your advice!



  • DannyB
    DannyB Superuser ✭✭✭✭✭

    Hi @VermillionSands

    I had the same problems when I started taking a monthly draw from one of my retirement accounts last spring. End the end, this is what I have done. I don’t need or particularly want to track all my investment account activity in QS - if I ever do want to see that activity I log into my account on my advisor’s website and it’s all there.

    So, I made my retirement investment accounts manual. To keep the value of these manual accounts current in QS, I added all my holdings in each account and do a monthly review and update of these holdings.

    For my monthly draw I created a recurring personal income event that shows up in the income section of my spending plan. Now when the deposit lands in my checking account it is matched up with this recurring reminder and I have an accurate accounting of my monthly income.

    Simplifi user since 01/22
    Budget: a mathematical confirmation of your suspicions.” ~A.A. Latimer
  • Danny,

    I am holding this as my "Plan B" approach, thinking along the same lines as you. While it would be ideal to "do it all" in Simplifi, my frustration at trying to reach that goal is quickly driving me to the alternatives.

    Thanks for outlining what you did - I will more than likely follow this path.

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