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reinvest dividends or not?
#14
It depends, I have dripped in retirement accounts and still do in my kplan. In the kplan I automatically reinvest all dividends and capital payout gains because the options are few and far in-between, some are simply just not allowed, for instance, the mutual fund dividends and short/long term gains there is no option to receive those payouts into my kplan's MMA--it simply is not offered as an option. But, a lot of times in the kplan I build up my MMA and purchase shares/units after the dividends/gains are paid out in that particular fund.

In one IRA account, there's only two dividend paying stocks so to make it easy those are re-invested. Set on auto-pilot is easy and it still keeps the snowball rolling. As Kerim stated collecting a few hundred dollars to even a little over a 1k a year in dividends just doesn't make enough sense to collect the cash.

The other IRA and ROTH are all collected in cash and reinvested once a month in what I feel is a quality company at a reasonable price. If there's a recession I may or may not throw it on auto-pilot.

The brokerage account is always collected in cash due to taxes in case I do sell something--I don't want to deal with multiple purchase prices if and or when I do decide to sell something.

So, for me...the answer is

It depends.
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Messages In This Thread
reinvest dividends or not? - by stockguru - 09-01-2019, 11:50 AM
RE: reinvest dividends or not? - by ChadR - 09-01-2019, 12:13 PM
RE: reinvest dividends or not? - by crimsonghost747 - 09-01-2019, 12:38 PM
RE: reinvest dividends or not? - by fenders53 - 09-01-2019, 12:50 PM
RE: reinvest dividends or not? - by Binary - 09-01-2019, 11:34 PM
RE: reinvest dividends or not? - by Ron Ricco - 09-02-2019, 08:21 AM
RE: reinvest dividends or not? - by fenders53 - 09-02-2019, 08:53 AM
RE: reinvest dividends or not? - by MikeWa - 09-02-2019, 05:01 PM
RE: reinvest dividends or not? - by Ron Ricco - 09-03-2019, 07:29 AM
RE: reinvest dividends or not? - by fenders53 - 09-03-2019, 08:42 AM
RE: reinvest dividends or not? - by Kerim - 09-04-2019, 07:41 PM
RE: reinvest dividends or not? - by NilesMike - 09-10-2019, 03:10 PM
RE: reinvest dividends or not? - by pdaignau - 09-14-2019, 09:00 PM
RE: reinvest dividends or not? - by rayray - 09-15-2019, 11:43 AM
RE: reinvest dividends or not? - by ChadR - 10-03-2019, 03:48 PM



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