The Final, Definitive Thread on Brokerage Transfer Bonuses

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Earl Lemongrab
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Mon Jan 30, 2017 3:25 pm

Earl Lemongrab wrote:So that form and a copy of the most recent BWIS statement were uploaded. The transfer status for a few days showed "Awaiting documents". Yesterday, it changed to "Cancelled". I called last night, but the rep wasn't sure what happened and no one from the transfer department was still in the office. This morning someone called back. The transfer is still going. He wasn't sure why the status showed cancelled (it still does) but I have his email to bug him if things don't progress.

A check this morning shows that the assets left BWIS, so I expect they will hit Edge this afternoon or tomorrow.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Tue Jan 31, 2017 3:08 pm

*3!4!/5! wrote:One transfer I did a few months ago still appears in the "Service Requests" tab as "Cancelled" but it went through fine. Two other more recent transfers initially did, but no longer, appear in the "Service Requests" tab. So it could just be shoddy coding that once a "Service Request" is completed, it is (sometimes) "Cancelled". In your case, it may or may not indicate a problem.

I also ran into problems with the online status when doing a transfer. My Capital One transfer continued to show "waiting for paperwork" even though I had faxed it over and the rep I was dealing with confirmed that it was being processed. Their website seems pretty decent but this is one area that could definitely use work. Also the inability to upload further documents for the transfer after the initial one. That was how I got messed up in the first place -- I uploaded the statement but hadn't scanned the signed form yet and figured I could do it later. Wrong.

I haven't checked lately to see what the status says.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Tue Jan 31, 2017 4:02 pm

My BWIS transfer posted yesterday (according to the activity log). The transfer status is still "cancelled". Regardless, the funds are there, even though I caused IJS to drop 2% while it was transferring.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by nerdymarketer » Thu Feb 02, 2017 1:44 am

For the Merrill bonus, are qualifying assets summed across multiple account types?

IE, can it come from a combination of Roth IRA + Rollover tIRA + regular tIRA?

Can it be counted across mine + my wife's accounts? Or are those treated separately?

We have a particular combo of accounts that adds almost exactly to $200K, so prefer to transfer just those accounts.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Thu Feb 02, 2017 2:11 am

nerdymarketer wrote:For the Merrill bonus, are qualifying assets summed across multiple account types?

IE, can it come from a combination of Roth IRA + Rollover tIRA + regular tIRA?

Can it be counted across mine + my wife's accounts? Or are those treated separately?

We have a particular combo of accounts that adds almost exactly to $200K, so prefer to transfer just those accounts.


I was told it must be one account per bonus.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by jayhawkerbeef » Thu Feb 02, 2017 10:03 am

nerdymarketer wrote:For the Merrill bonus, are qualifying assets summed across multiple account types?

IE, can it come from a combination of Roth IRA + Rollover tIRA + regular tIRA?

Can it be counted across mine + my wife's accounts? Or are those treated separately?

We have a particular combo of accounts that adds almost exactly to $200K, so prefer to transfer just those accounts.


I almost had a similar scenario and they seemed open to the idea; so definitely ask, especially if the money isn't already there which only gives you leverage. Good luck.

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Re: Merrill Edge new funds requirement

Post by dual » Fri Feb 03, 2017 6:54 pm

MisterBill wrote:So, my shares and cash were removed from my Capital One account this morning. Hopefully they will show up in the Merrill Edge account within a couple of days. So my 45 day concern should be resolved.


I am doing a transfer of IRA funds from TDAmeritrade and CapitalOne to Fidelity. The TDAM transfer went through quickly and painlessly.

Not So Cap1.

Cap1
Requires Medallion signature guarantee
Does not do ACATS
Get message saying they received my request BUT: will take up 10 business days (i.e. 2 weeks) to look it over and approve it. After that the say may take up to 30 days to do xfer.
Charges $75 for complete xfer


life is too short for chickensh*t like this

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by triceratop » Fri Feb 03, 2017 7:08 pm

*3!4!/5! wrote:
nerdymarketer wrote:For the Merrill bonus, are qualifying assets summed across multiple account types?

IE, can it come from a combination of Roth IRA + Rollover tIRA + regular tIRA?

Can it be counted across mine + my wife's accounts? Or are those treated separately?

We have a particular combo of accounts that adds almost exactly to $200K, so prefer to transfer just those accounts.


I was told it must be one account per bonus.


This was confirmed to me as well, as my case was marginal prior to contributions.
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Re: Merrill Edge new funds requirement

Post by MisterBill » Fri Feb 03, 2017 8:58 pm

dual wrote:Cap1
Requires Medallion signature guarantee
Does not do ACATS
Get message saying they received my request BUT: will take up 10 business days (i.e. 2 weeks) to look it over and approve it. After that the say may take up to 30 days to do xfer.
Charges $75 for complete xfer


life is too short for chickensh*t like this

Been there, done that (although my transfer did not require me to get a Medallion signature guarantee, maybe Merrill took care of it for me). Did you submit a push from Cap One to Fidelity, or let Fidelity take care of it? I let Merrill process it.

The good news is that it won't take as long as they say. The bad news is it will take longer than you want it to (or than it should).

Make sure you ask Fidelity to reimburse you for the $75 fee. They did it for me last year.

BTW a footnote to my transfer experience. I got a penny in interest credited to my Cap One account at the end of January. They'd already sent a check to Merrill Edge for the remaining cash, so now I have a penny in the account. I wonder if they'll zero it out at some point or it will stay open for years like the Charles Schwab account that they unilaterally closed on me (and for which I still get a quarterly statement in the mail, much to my delight).

Update: much to my surprise, the Cap One penny got transferred on Friday.
Last edited by MisterBill on Sat Feb 04, 2017 11:37 pm, edited 1 time in total.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by IlliniGuy » Fri Feb 03, 2017 11:29 pm

nerdymarketer wrote:For the Merrill bonus, are qualifying assets summed across multiple account types?

IE, can it come from a combination of Roth IRA + Rollover tIRA + regular tIRA?

Can it be counted across mine + my wife's accounts? Or are those treated separately?

We have a particular combo of accounts that adds almost exactly to $200K, so prefer to transfer just those accounts.


I was told in January that my Roth IRA and Rollover IRA accounts would be aggregated together for purposes of determining the bonus, with the bonus deposited proportionately between the accounts based on the relative balance. I asked about this before transferring any money.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by privatefarmer » Fri Feb 03, 2017 11:49 pm

I have a roth IRA and was wondering if one were to transfer it back and forth between multiple firms, would it became problematic trying to determine what funds were contributions and what funds were gains? if one were to retire early, for instance, I would think it might be difficult to determine what funds were contributions and could thus be withdrawn penalty-free... if you transfer to a new firm I don't believe they would know about contributions made years ago at a different firm, would they?

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Sat Feb 04, 2017 12:02 am

privatefarmer wrote:I have a roth IRA and was wondering if one were to transfer it back and forth between multiple firms, would it became problematic trying to determine what funds were contributions and what funds were gains? if one were to retire early, for instance, I would think it might be difficult to determine what funds were contributions and could thus be withdrawn penalty-free... if you transfer to a new firm I don't believe they would know about contributions made years ago at a different firm, would they?


Same problem with recharacterizations too. I think it's a concern.

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Earl Lemongrab
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Re: Merrill Edge new funds requirement

Post by Earl Lemongrab » Sat Feb 04, 2017 12:10 pm

dual wrote:Cap1
Requires Medallion signature guarantee
Does not do ACATS
Get message saying they received my request BUT: will take up 10 business days (i.e. 2 weeks) to look it over and approve it. After that the say may take up to 30 days to do xfer.

I'm surprised about the signature guarantee. I have moved IRAs out of CapOne in the past without issue. As far as the "might take this long" messages, that's just worst case. Normally things don't take that long.
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Earl Lemongrab
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Sat Feb 04, 2017 12:12 pm

privatefarmer wrote:I have a roth IRA and was wondering if one were to transfer it back and forth between multiple firms, would it became problematic trying to determine what funds were contributions and what funds were gains? if one were to retire early, for instance, I would think it might be difficult to determine what funds were contributions and could thus be withdrawn penalty-free... if you transfer to a new firm I don't believe they would know about contributions made years ago at a different firm, would they?

No custodian tracks the contributions. You are always responsible for that.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by hoops777 » Sat Feb 04, 2017 12:34 pm

I just switched to Schwab and most of my assets are in my sep and they said they cannot add any bonus money into a sep due to regulations.Ticked me off a bit but what can you do.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by blueberry » Sat Feb 04, 2017 12:38 pm

hoops777 wrote:I just switched to Schwab and most of my assets are in my sep and they said they cannot add any bonus money into a sep due to regulations.Ticked me off a bit but what can you do.


Too late now, but you can confirm in advance via phone call or email that the transfer is eligible for a promotion.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Sat Feb 04, 2017 1:14 pm

hoops777 wrote:I just switched to Schwab and most of my assets are in my sep and they said they cannot add any bonus money into a sep due to regulations.Ticked me off a bit but what can you do.

You can roll SEP assets to a regular TIRA that would be eligible.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by tj » Mon Feb 06, 2017 10:43 pm

So this page says offer expired 12/31/16, but it's still active.

https://www.merrilledge.com/offers/1000offer

Anyone try it this year?


I need to roll over my 401k next month and I'm not sure I trust Vanguard to handle it correctly (part of it is a roth 401k), might as well take an incentive bonus and transfer to vanguard later on.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Tue Feb 07, 2017 12:17 am

tj wrote:So this page says offer expired 12/31/16, but it's still active.

https://www.merrilledge.com/offers/1000offer

Anyone try it this year?

I need to roll over my 401k next month and I'm not sure I trust Vanguard to handle it correctly (part of it is a roth 401k), might as well take an incentive bonus and transfer to vanguard later on.

You could try to open an account with the code and see what happens. Maybe call and ask.

If you don't have luck, TD Ameritrade still has their offer going through March:

https://www.tdameritrade.com/offer/1000brex/index.html

You need a bit more assets for $1000, and you have to leave it for a full year. If you don't mind moving, you'd be better off with Etrade:

https://us.etrade.com/what-we-offer/how-it-works/brokerage

You could get $600 for 250k and the holding period is six months. Then move to Merrill after that. If they have the $1000 offer going you could take it then or the regular $600 for just a 90 day commitment. Either way you get more over a one-year period, either $1200 or $1600.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Ethelred » Tue Feb 07, 2017 6:41 am

tj wrote:So this page says offer expired 12/31/16, but it's still active.

https://www.merrilledge.com/offers/1000offer

Anyone try it this year?

I need to roll over my 401k next month and I'm not sure I trust Vanguard to handle it correctly (part of it is a roth 401k), might as well take an incentive bonus and transfer to vanguard later on.

I tried it actually on 12/31/16, and it had expired. The chances of it working 40 days later are vanishingly small.

There is still the $600 offer, though.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Thu Feb 09, 2017 2:05 pm

tj wrote:So this page says offer expired 12/31/16, but it's still active.

https://www.merrilledge.com/offers/1000offer

Anyone try it this year?

If you'd tried clicking on the button to open an account rather than asking here, you would have noticed that it immediately told you that code LVEXPO16 had expired.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by sdvan » Thu Feb 09, 2017 5:11 pm

I am annoyed with Schwab. I planned to open 2 accounts (1 for me, 1 for spouse) and put $100K in each for the $500 bonus X 2. However, the 1-800 person told me it is 1 bonus per household and referred me to the local branch which just called me back and also said that it is 1 per household. However, the online language says that the offer is "valid for individuals" "limited to one per account, with no more than one account enrolled per client." The only language that talks about a household limit is: "The cash bonus, when combined with the value received from all other offers in the last 12 months, may not exceed $5,000 per household."

Has anyone faced this issue?

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Thu Feb 09, 2017 6:56 pm

As new accounts can be opened with the offer code automatically applied, I would suggest that you and your spouse both just open individual accounts and see what happens.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by tj » Thu Feb 09, 2017 10:40 pm

MisterBill wrote:
tj wrote:So this page says offer expired 12/31/16, but it's still active.

https://www.merrilledge.com/offers/1000offer

Anyone try it this year?

If you'd tried clicking on the button to open an account rather than asking here, you would have noticed that it immediately told you that code LVEXPO16 had expired.



Fair enough, in the past, ME has disabled this link and redirected to the normal offer.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by sdvan » Fri Feb 10, 2017 3:52 pm

Earl Lemongrab wrote:As new accounts can be opened with the offer code automatically applied, I would suggest that you and your spouse both just open individual accounts and see what happens.

I think that I will try this. For $100K Schwab gives $500. Most competitors are $200K for $600. So, only $100 lost and no need to leave the money there. The tricky part is that the funds are coming from a Trust account. I'm not sure that will fly and that is why I called initially.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by dual » Mon Feb 13, 2017 5:29 pm

Thought I would update my experience with transferring my ShareBuilder IRA to Fidelity. SB says they received the transfer request form on Feb. 3 (I submitted it a few days earlier at my local Fido branch). I got a secure message today (2/13/17) that they 'approved' the transfer and would first transfer the securities in the account then later the cash. Again they said it could take up to 30 days.

There was a post here (https://www.bogleheads.org/forum/viewtopic.php?t=156721) a few days ago about an alternative method to transfer a SB IRA without incurring the $75 fee:
I am in the process of moving a Roth & Traditional IRA from Sharebuilder to Vanguard. There is a $75 transfer out fee per account. However, the friendly customer service person on the phone let me know of a trick: 1) first sell any positions (assuming the commissions do not exceed $75) and convert everything to cash at Sharebuilder, 2) open up an FDIC insured savings Roth/Traditional IRA over at Capital One 360, 3)transfer the money from Sharebuilder to Capital One 360 (instantaneous), 4) transfer money from Capital One 360 to Vanguard. The transfer is not reported to the IRS and does not count as a distribution. Capital One 360 also does not require a medallion signature guarantee, which was particularly difficult for me to get.


Seems like a good idea. It's too late for me on this go-around but are there any comments on whether this would work?
1. As mentioned in the quote, this would be a problem if there are a large number of securities in the account since the SB commission fee is ~$7 IIRC
2. You would be out of the market while the transfer is taking place but unless you are very unlucky this should average out.
3. Multiple transfers should not be a problem. According to the IRS https://www.irs.gov/retirement-plans/ira-one-rollover-per-year-rule
Trustee-to-trustee transfers between IRAs are not limited

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Wed Feb 15, 2017 3:16 am

dual wrote:Thought I would update my experience with transferring my ShareBuilder IRA to Fidelity. SB says they received the transfer request form on Feb. 3 (I submitted it a few days earlier at my local Fido branch). I got a secure message today (2/13/17) that they 'approved' the transfer and would first transfer the securities in the account then later the cash. Again they said it could take up to 30 days.

There was a post here (https://www.bogleheads.org/forum/viewtopic.php?t=156721) a few days ago about an alternative method to transfer a SB IRA without incurring the $75 fee:

Based on my experience, the available cash in the account will transfer at the same time as the securities. And any cash not settled at the time of the initial transfer will follow a few days later, not 30 days. I don't know why they say that, I guess to cover themselves in case it does take longer.

As for the $75 fee, just ask Fidelity to refund it. They'll do it. They won't refund the trading fees incurred with your alternate method, and then you'll have to rebuy stuff and incur fees, unless you're buying free ETFs or mutual funds.
Last edited by MisterBill on Sat Feb 18, 2017 12:10 am, edited 1 time in total.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Fri Feb 17, 2017 2:43 am

So, I always wondered whether the Fidelity "one per year" policy on bonuses was based on when you added the offer to your account, when you met the conditions, or when you were paid the bonus. I found out today, it's the latter. I spoke to my private client rep about possibly adding some more money to the account and using the F&F offer again, and she told me that I would not be eligible for the offer until 2/22. That's one year minus one day from the date that the credit hit my account in 2016.
Last edited by MisterBill on Sat Feb 18, 2017 12:10 am, edited 2 times in total.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by whodidntante » Fri Feb 17, 2017 10:28 pm

TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Fri Feb 17, 2017 11:38 pm

whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.

I think that's pretty typical, isn't it?

BTW for anyone who got a bonus from Fidelity last year, the 1099-MISC is not being included in the data downloaded/imported into Turbotax. Not sure if it's a bug or intentional and haven't figured out who to talk to at Fidelity about it. I'll need to add it manually.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by Earl Lemongrab » Sat Feb 18, 2017 12:37 am

MisterBill wrote:BTW for anyone who got a bonus from Fidelity last year, the 1099-MISC is not being included in the data downloaded/imported into Turbotax. Not sure if it's a bug or intentional and haven't figured out who to talk to at Fidelity about it. I'll need to add it manually.

They are required to if it's $600 or more, otherwise it's at their discretion.
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Sat Feb 18, 2017 12:54 am

Earl Lemongrab wrote:
MisterBill wrote:BTW for anyone who got a bonus from Fidelity last year, the 1099-MISC is not being included in the data downloaded/imported into Turbotax. Not sure if it's a bug or intentional and haven't figured out who to talk to at Fidelity about it. I'll need to add it manually.

They are required to if it's $600 or more, otherwise it's at their discretion.

Mine was more than that. All of my other 1099 stuff was there. And it's on the paper version so it should be on the downloaded version as well.
Last edited by MisterBill on Sat Feb 18, 2017 2:58 am, edited 1 time in total.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by whodidntante » Sat Feb 18, 2017 2:07 am

MisterBill wrote:
whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.

I think that's pretty typical, isn't it?

BTW for anyone who got a bonus from Fidelity last year, the 1099-MISC is not being included in the data downloaded/imported into Turbotax. Not sure if it's a bug or intentional and haven't figured out who to talk to at Fidelity about it. I'll need to add it manually.


It could have been reported as interest. Bank bonuses usually are. I had to lie to Turbotax to keep it from sending me down the small business line of questioning.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Sat Feb 18, 2017 2:56 am

whodidntante wrote:It could have been reported as interest. Bank bonuses usually are. I had to lie to Turbotax to keep it from sending me down the small business line of questioning.

It was on the 1099-MISC section of the PDF document that I downloaded from the Fidelity account. It was not included in any section of what I got when I did an import from Fidelity.

Turbotax has a feature where it can import 1099 data from various financial institutions, including Fidelity. When it downloaded the data from Fidelity, the 1099-MISC was not included, even though the TT site says it imports 1099-MISC data. I subsequently was told that 1099-MISC data is not among the types of forms that can be downloaded in Turbotax.
Last edited by MisterBill on Wed Mar 15, 2017 2:02 pm, edited 1 time in total.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Sat Feb 18, 2017 11:59 am

whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.
Thanks for the datapoint.
MisterBill wrote:
whodidntante wrote:It could have been reported as interest. Bank bonuses usually are. I had to lie to Turbotax to keep it from sending me down the small business line of questioning.

It was on the 1099-MISC section of the PDF document that I downloaded from the Fidelity account. It was not included in any section of what I got when I did an import from Fidelity.
What precisely do you mean by "import"? That sounds like a software issue, separate from what is reported to IRS.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Sat Feb 18, 2017 1:12 pm

<Delete>
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by tj » Sat Feb 18, 2017 1:17 pm

whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.


Also a data point, Scottrade reported it as 1099-Int.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Sat Feb 18, 2017 1:27 pm

tj wrote:
whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.


Also a data point, Scottrade reported it as 1099-Int.


This makes me think it's safer to just assume all these things (taxable bonuses) will be reported (or reportable) as INT, not MISC, and so posing a risk of exceeding the investment threshold for EITC.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by tj » Sat Feb 18, 2017 1:42 pm

*3!4!/5! wrote:
tj wrote:
whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.


Also a data point, Scottrade reported it as 1099-Int.


This makes me think it's safer to just assume all these things (taxable bonuses) will be reported (or reportable) as INT, not MISC, and so posing a risk of exceeding the investment threshold for EITC.



Nope. My experience is that it much more often than not reported as a 1099-Misc and that Scottrade is the exception.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Sat Feb 18, 2017 1:44 pm

tj wrote:
*3!4!/5! wrote:
tj wrote:
whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.


Also a data point, Scottrade reported it as 1099-Int.


This makes me think it's safer to just assume all these things (taxable bonuses) will be reported (or reportable) as INT, not MISC, and so posing a risk of exceeding the investment threshold for EITC.


Nope. My experience is that it much more often than not reported as a 1099-Misc and that Scottrade is the exception.


Sure, but the uncertainty makes the risk not worth it.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by tj » Sat Feb 18, 2017 1:52 pm

*3!4!/5! wrote:
tj wrote:
*3!4!/5! wrote:
tj wrote:
whodidntante wrote:TDA sent me a 1099-misc and reported my $500 bonus as "other income." This information may be useful to someone.


Also a data point, Scottrade reported it as 1099-Int.


This makes me think it's safer to just assume all these things (taxable bonuses) will be reported (or reportable) as INT, not MISC, and so posing a risk of exceeding the investment threshold for EITC.


Nope. My experience is that it much more often than not reported as a 1099-Misc and that Scottrade is the exception.


Sure, but the uncertainty makes the risk not worth it.


That's true. I wouldn't have guessed much folks here qualify for the EITC. If that is the goal, I guess it would make sense to have a healthy amount of BRKB in taxable to keep dividends low. :D

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Sun Feb 19, 2017 3:15 am

tj wrote:Nope. My experience is that it much more often than not reported as a 1099-Misc and that Scottrade is the exception.

Capital One also reports on 1099-MISC.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by cookymonster » Sun Feb 19, 2017 10:58 am

Capital One oddly sent me a 1099-INT this year for a $200 bonus... they sent me a 1099-MISC last year. Fortunately no EITC to worry about here.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by duckcalldan » Sun Feb 19, 2017 10:12 pm

dodecahedron wrote:
*3!4!/5! wrote:
Earl Lemongrab wrote:
*3!4!/5! wrote:
tj wrote:Do all of the brokerages report the bonus income on 1099-misc? Or do some do 1099-int?
Good question. I'd like datapoints on this too.

Does it matter?

Yes, it can potentially increase taxes by more than $6,000 by having an extra $1 on 1099INT rather than 1099MISC.


Schwab explicitly states that for taxable accounts it will issue a 1099-MISC. (See the footnote in the link below.)

http://www.schwab.com/public/schwab/nn/ ... award.html

Just got my Fidelity tax forms over the weekend. For my $500K transfer from Schwab and reimbursement of account closing fees, I got $1250 on my 1099-MISC.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by *3!4!/5! » Sun Feb 19, 2017 10:24 pm

So reimbursed account closing fees are taxable?

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by MisterBill » Tue Feb 28, 2017 1:47 am

*3!4!/5! wrote:So reimbursed account closing fees are taxable?


Apparently, since it showed up on my 1099-MSIC as well. However, the fee itself could be tax deductible with other investment expenses.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by jclarke805 » Thu Mar 02, 2017 2:14 pm

Wondering if the commission price war breaking out this week is going to result in a new bonus war for account transfers.

Just transferred 200K from Fidelity to Merrill thru the Merrill Edge guy at the local BofA. Bonus is $600 plus free commissions.

It was a week ago today. Money hasn't shown up yet in the new account.

There is an additional $300 bonus if you open up a BofA checking acct. I haven't decided yet since I don't really need another checking account.

He implied that additional money transferred can bring additional bonuses without making a specific offer.

I'm willing to transfer more but only units of minimum (200K) for maximum ($600).

Would like to transfer more to generate more bonuses but really don't want to go beyond the two brokers I have now.

Anymore here get extra bonuses from Merrill?
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by triceratop » Thu Mar 02, 2017 2:22 pm

jclarke805 wrote:Wondering if the commission price war breaking out this week is going to result in a new bonus war for account transfers.

Just transferred 200K from Fidelity to Merrill thru the Merrill Edge guy at the local BofA. Bonus is $600 plus free commissions.

It was a week ago today. Money hasn't shown up yet in the new account.

There is an additional $300 bonus if you open up a BofA checking acct. I haven't decided yet since I don't really need another checking account.

He implied that additional money transferred can bring additional bonuses without making a specific offer.

I'm willing to transfer more but only units of minimum (200K) for maximum ($600).

Would like to transfer more to generate more bonuses but really don't want to go beyond the two brokers I have now.

Anymore here get extra bonuses from Merrill?


There is a signup bonus for BofA's VISA credit cards (great rewards bonuses with Preferred Rewards status at Merrill Edge too!)
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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by jayhawkerbeef » Thu Mar 02, 2017 2:24 pm

jclarke805 wrote:It was a week ago today. Money hasn't shown up yet in the new account.


Bonus is paid two weeks after meeting the 90 day balance requirement - which is not impacted by market fluctuations.

And yes get the credits cards, both of them.

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Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Post by jclarke805 » Thu Mar 02, 2017 2:43 pm

jayhawk wrote:
jclarke805 wrote:It was a week ago today. Money hasn't shown up yet in the new account.


Bonus is paid two weeks after meeting the 90 day balance requirement - which is not impacted by market fluctuations.

And yes get the credits cards, both of them.


Thanks, I know the bonus takes a while. I was referring to the 200K transfer money.

Not really sure what I have to do to get this Preferred Rewards bonus of $300 (expires 4/18). Can I just get a credit card w/o opening up a BofA checking account?

I already have Fidelity, Marriott, Costco and Amazon Prime Visas which are all great rewards cards.

I don't really need another rewards card but I would prefer taking that (as long as it is no-fee) to opening another unneeded checking account.
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