what's an unrealized gain/loss in a 401k

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Subject Author Date what's an unrealized gain/loss in a 401k MaryL 04-11-2007  Re: what's an unrealized gain/loss in a 401k wyu 04-11-2007  Re: what's an unrealized gain/loss in a 401k MaryL 04-11-2007  Re: what's an unrealized gain/loss in a 401k Rich Carreiro 04-11-2007  Re: what's an unrealized gain/loss in a 401k PeterL 04-11-2007  Re: what's an unrealized gain/loss in a 401k Rich Carreiro 04-11-2007  Re: what's an unrealized gain/loss in a 401k Ernie Klein 04-11-2007  Re: what's an unrealized gain/loss in a 401k Rich Carreiro 04-11-2007  Re: what's an unrealized gain/loss in a 401k redmonds 04-11-2007  Re: what's an unrealized gain/loss in a 401k PeterL 04-11-2007
Posted by MaryL on April 11, 2007, 1:12 pm hello, as the subject line asks, what is an unrealized gain/loss in a 401k "balance history" statement (1 year)? I understand what it means otherwise but as the 401k balance continues to climb, month over month, at what point does the fund/funds actually book the gain/loss? does understanding this timeframe allow me some maneuvering as to moving money between funds? or does it limit me in such a way that I should not do it until the gain is posted? am looking right now at one fund, where the 12 month balance history shows me having an unrealized gain of 25k and wondering when it actually posts? Posted by on April 11, 2007, 1:33 pm > as the subject line asks, what is an unrealized gain/loss in a 401k "balance > history" statement (1 year)? > I understand what it means otherwise but as the 401k balance continues to > climb, month over month, at what point does the fund/funds actually book the > gain/loss? For a 401K -- or any other tax-deferred account -- gains are only realized when you sell and move the money to something else. Your statement showing unrealized gains is probably just an artifact of the fund company's standard template sent to investors in both taxable and tax-deferred accounts. It really has little relevance in your case. Posted by MaryL on April 11, 2007, 2:36 pm wyu wrote: > For a 401K -- or any other tax-deferred account -- gains are only > realized when you sell and move the money to something else. so since I *never* do move or sell anything but have stayed in the mix of funds since I joined the 401k plan, it means literally nothing? 25k a year is a big deal and I just now noticed it on the last online statement so am wondering at what point it's actually booked? I don't actually get a statement, mailed, it's all online only and I access the account only online somehow the 401k has also continued to grow over the decades....have had same plan, same funds since 1979 Posted by Rich Carreiro on April 11, 2007, 2:56 pm > wyu wrote: > > For a 401K -- or any other tax-deferred account -- gains are only > > realized when you sell and move the money to something else. > > so since I *never* do move or sell anything but have stayed in the mix > of funds since I joined the 401k plan, it means literally nothing? All it means is that at the moment the statement was prepared, your investments in the account were worth $25,000 more than you paid for them. That's it. The market could crash tomorrow and they could suddenly be worth less than you paid for them. Or they could keep going up. But the key part is that $25,000 gain is not and will never be guaranteed, booked, or posted in any way (unless you sell and thereby convert the paper gain to cash). -- Rich Carreiro rlcarr@animato.arlington.ma.us Posted by PeterL on April 11, 2007, 3:49 pm > wyu wrote: > > For a 401K -- or any other tax-deferred account -- gains are only > > realized when you sell and move the money to something else. > > so since I *never* do move or sell anything but have stayed in the mix of > funds since I joined the 401k plan, it means literally nothing? 25k a year > is a big deal and I just now noticed it on the last online statement so am > wondering at what point it's actually booked? Or until they distribute it to you. But either way it's not a taxable event since it's in the 401K. > > I don't actually get a statement, mailed, it's all online only and I access > the account only online > somehow the 401k has also continued to grow over the decades....have had > same plan, same funds since 1979 Isn't that wonderful? Similar Threads Posted 401k rollover into 401k or IRA question January 12, 2007, 3:33 pm 401k October 22, 2006, 4:48 pm 401k "force out" September 18, 2007, 5:15 pm 401k rollover October 30, 2006, 5:01 am 401k, really worth it? November 1, 2006, 7:11 pm Individual 401K LLC November 5, 2006, 8:34 am 401K rollover November 7, 2006, 10:40 am Put 401K into an Annuity? November 21, 2006, 9:53 am Roth 401K? January 2, 2007, 5:04 am Roth 401k vs. Roth IRA vs. 401k January 8, 2007, 5:00 am