Just getting familiar with Pralana online. I have one cash account, $500,000. I am seeing interest, which I would expect.
I am also seeing qualified dividends in my plan next year. Is this caused by some default account for excess income I'm not seeing?
Thank you.
Look under Build-Financial Assets-(then either Simple Portfolio Modeling or Advanced Portfolio Modeling depending on which one you are using) - then look for the Growth Taxation tab. The percentage that it wants for each entry is the percent of the total return you assigned (real return + inflation). For an interest bearing account, that would be 100% Growth Taxed as Interest.
Thanks. I'd like to have a cash account earning interest and a taxable account earning dividends and subject to ltcg tax on distribution
Does the "Taxable Investment Account: How Should Growth Be Taxed" carry across both?
