Income from Retirement Investments?

[Dennis Craven]

On 11/12/06, Dennis Craven <dcraven at gmail.com> wrote:
> On 11/12/06, Dale Alspach <alspach at math.okstate.edu> wrote:
> > I use an unrealized gains and losses account (asset) for the other side of these
> > transactions.
>
> But this would result in the increased value not having any impact at
> all, would it not? Is this a generally accepted method?
>
> Admittedly, I do think I like it better than the method I outlined in
> my original post. At least this doesn't falsely increase my income.

The more I think about this, the more sense it makes. The changes in
market value should not be reflected in my accounts because the
gain/loss is unrealized, yes, just as the account name suggests. The
difference between market and book value will be reflected in my
accounts when the appropriate journal entries are made to close out
the fund, and taxes etc are to be paid on the additional income.

Again, thanks for the tip! :)
~djc