TreasuryDirect networth calculation issues - inflow/outflow
I setup linked TreasuryDirect Account.
However, the inflow/outflow are making the assets virtually 0.
inflow: From budget bankAccount to Linked TreasuryAccount
outflow: From Linked TreasuryAccount to buy the security ( t-bill/i-bonds)
With this above transaction, the net becomes zero.
Wonder, how are folks tracking networth for such scenarios.
Hey Sky Blue Harp ! The data for investment and loan accounts is reported differently (than checking/savings/credit) by financial institutions, so we don't recommend linking those—as Superbone mentioned.
For investment accounts, these typically have a cash position, and the transactions that are reported to us are the last transaction to hit that cash position. For example, if you make a 401k contribution, that amount is first used to purchase cash in your 401k account, and then that cash position is sold (an outflow) to buy funds. Your financial institution reports that one cash outflow transaction to us, when of course you’d expect to see an inflow.
I like to handle Tracking Accounts by creating a Scheduled Transaction to show regular contributions or payments, then update the account balance like this monthly (or as often as you'd like).