Securities transaction fee

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Jerilynn
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Securities transaction fee

Post by Jerilynn » Wed Sep 07, 2011 2:53 pm

When I made my last ETF trade with Vanguard, there was a $0.04 "securities transaction fee".

Where does this come from and more importantly, how do I record the transaction in Quicken?

I was thinking that if I put the 4 cents in the commission block, it would all work out.

Thanks in advance.
Cordially, Jeri . . . 100% all natural asset allocation. (no supernatural methods used)

m_j_paquette
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Section 31 Transaction Fee

Post by m_j_paquette » Wed Sep 07, 2011 3:10 pm

That's the SEC Section 31 transaction fee. The SEC levies this on exchanges and major self-regulatory organizations (FINRA)

More here: http://www.sec.gov/answers/sec31.htm

It's part of the cost of a stock transaction, so yes, it goes in as part of the commission in Quicken.

xerty24
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Post by xerty24 » Wed Sep 07, 2011 3:14 pm

That's the SEC paying itself for a job well done. You haven't noticed any insider trading, massive ponzi schemes, or major financial crises this week, have you?

You can learn more here:

http://www.sec.gov/divisions/marketreg/ ... ml#feerate

livesoft
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Post by livesoft » Wed Sep 07, 2011 4:37 pm

Since I pay no commissions, here's what I do in MS Money and what you can do in Quicken. If I sell 100 shares of an ETF at say $50 a share, that would be $5000 in theory, but it turns out toe $4999.34

So I put in the program that I sold 100 shares for $4999.34 and it calculates that I sold them at $49.9934 per share and received $4999.34 for that sale. That's what the IRS wants to know, so I'm good with that.
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Jerilynn
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Post by Jerilynn » Wed Sep 07, 2011 11:09 pm

What determines if there is a security transaction fee?

I must have made 30 or so ETF transactions over the last year and today was the first time it showed up.
Cordially, Jeri . . . 100% all natural asset allocation. (no supernatural methods used)

ftobin
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Post by ftobin » Thu Sep 08, 2011 1:00 am

Jerilynn wrote:What determines if there is a security transaction fee?

I must have made 30 or so ETF transactions over the last year and today was the first time it showed up.
SEC fees I'm familiar with only affect sellers.

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Jerilynn
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Post by Jerilynn » Thu Sep 08, 2011 1:43 am

ftobin wrote:
Jerilynn wrote:What determines if there is a security transaction fee?

I must have made 30 or so ETF transactions over the last year and today was the first time it showed up.
SEC fees I'm familiar with only affect sellers.
That must be it, thanks. Today(yesterday) was the first time I sold ETF shares.
Cordially, Jeri . . . 100% all natural asset allocation. (no supernatural methods used)

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