Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Thank you.
Bob Ford
From my Kindle
On June 4, 2025, at 12:38 PM, "Michael Wainer via bivio.com" <user*35350100001@bivio.com> wrote:
Hello Anne:
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
John Rice on
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Peter Dunkelberger on
One word of caution--my understanding, and please correct me if I am wrong, is that the taxation on the capital gains on appreciated stock transferred to fully liquidate a partner's share in the partnership are merely deferred for the partnership. When the partnership is liquidated those gains are paid by the partners who turn off the lights. So if you are closing the club, does it make sense to transfer appreciated stock if those same remaining club members are going to pay the gains on those transactions? Or to put it another way, if the partnership is liquidated, and remaining members' equity shares are paid with appreciated stock, those withdrawing members are going to pay the capital gains taxes on the appreciated stock anyway. At least if my understanding of the tax rules is correct. So just sell the stocks and pay off the remaining members in cash.
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Robert Shaw on
I believe what I am about to say is correct.
If you are ending the club it likely will be most beneficial to transfer appreciated stock to those who want it.
It may be more difficult if more than one member wants the same company.
If the stock is held at a loss the club should sell it to give the tax loss benefit to all members.
The members receiving stock in lieu of cash will not pay taxes on the transferred stock until they sell it.
The withdrawal documents will provide them with their tax basis so these documents should be retained.
And if they hold the transferred stock until death they may escape the taxes altogether.
The club sales will be taxable to the members in the year of sale.
That will be reflected on their K-1.
One final point: Do not do anything until you are certain all the withdrawal paperwork is completed and correct.
Fixing mistakes after the stock has been transferred can be difficult or even impossible.
Bob Shaw
President
Classic Strategy Investment club
On Jun 6, 2025, at 3:01 PM, Peter Dunkelberger via bivio.com <user*26984900001@bivio.com> wrote:
One word of caution--my understanding, and please correct me if I am wrong, is that the taxation on the capital gains on appreciated stock transferred to fully liquidate a partner's share in the partnership are merely deferred for the partnership. When the partnership is liquidated those gains are paid by the partners who turn off the lights. So if you are closing the club, does it make sense to transfer appreciated stock if those same remaining club members are going to pay the gains on those transactions? Or to put it another way, if the partnership is liquidated, and remaining members' equity shares are paid with appreciated stock, those withdrawing members are going to pay the capital gains taxes on the appreciated stock anyway. At least if my understanding of the tax rules is correct. So just sell the stocks and pay off the remaining members in cash.
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
ira smilovitz on
Peter,
You are correct that the capital gains on appreciated stock transferred to a withdrawing partner is deferred for the remaining partners until they withdraw. However, if the "last ones out" take stock as part of their withdrawal, the accumulated deferred capital gains are distributed among the adjusted cost bases of the shares received. That means, the gains are further deferred until each member sells the shares they were given as part of their withdrawal.
The whole advantage of the withdrawal with appreciated stock is that each member can choose his or her own timing for recognizing the gains based on when they sell shares. If shares are sold by the club before the withdrawals, each member will be forced to recognized their apportioned share of the gains in the withdrawal year.
One word of caution--my understanding, and please correct me if I am wrong, is that the taxation on the capital gains on appreciated stock transferred to fully liquidate a partner's share in the partnership are merely deferred for the partnership. When the partnership is liquidated those gains are paid by the partners who turn off the lights. So if you are closing the club, does it make sense to transfer appreciated stock if those same remaining club members are going to pay the gains on those transactions? Or to put it another way, if the partnership is liquidated, and remaining members' equity shares are paid with appreciated stock, those withdrawing members are going to pay the capital gains taxes on the appreciated stock anyway. At least if my understanding of the tax rules is correct. So just sell the stocks and pay off the remaining members in cash.
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Peter Dunkelberger on
Thanks for setting me straight, Ira. I did not realize that the deferred capital gains are passed on to the final closing partners.
You are correct that the capital gains on appreciated stock transferred to a withdrawing partner is deferred for the remaining partners until they withdraw. However, if the "last ones out" take stock as part of their withdrawal, the accumulated deferred capital gains are distributed among the adjusted cost bases of the shares received. That means, the gains are further deferred until each member sells the shares they were given as part of their withdrawal.
The whole advantage of the withdrawal with appreciated stock is that each member can choose his or her own timing for recognizing the gains based on when they sell shares. If shares are sold by the club before the withdrawals, each member will be forced to recognized their apportioned share of the gains in the withdrawal year.
One word of caution--my understanding, and please correct me if I am wrong, is that the taxation on the capital gains on appreciated stock transferred to fully liquidate a partner's share in the partnership are merely deferred for the partnership. When the partnership is liquidated those gains are paid by the partners who turn off the lights. So if you are closing the club, does it make sense to transfer appreciated stock if those same remaining club members are going to pay the gains on those transactions? Or to put it another way, if the partnership is liquidated, and remaining members' equity shares are paid with appreciated stock, those withdrawing members are going to pay the capital gains taxes on the appreciated stock anyway. At least if my understanding of the tax rules is correct. So just sell the stocks and pay off the remaining members in cash.
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Lisa Robertson on
i am wondering if people are still confused about the difference between a withdrawing member's unrealized gain on their partnership interest and the unrealized gain in a stock in the portfolio that they might receive in their distribution. The taxable gain is based on the withdrawing partner's interest in the club, not the unrealized gain in a particular stock. Fortunately, the software sorts that out for us.
Lisa Robertson
On 06/06/2025 1:56 PM PDT ira smilovitz via bivio.com <user*2883400001@bivio.com> wrote:
Peter,
You are correct that the capital gains on appreciated stock transferred to a withdrawing partner is deferred for the remaining partners until they withdraw. However, if the "last ones out" take stock as part of their withdrawal, the accumulated deferred capital gains are distributed among the adjusted cost bases of the shares received. That means, the gains are further deferred until each member sells the shares they were given as part of their withdrawal.
The whole advantage of the withdrawal with appreciated stock is that each member can choose his or her own timing for recognizing the gains based on when they sell shares. If shares are sold by the club before the withdrawals, each member will be forced to recognized their apportioned share of the gains in the withdrawal year.
One word of caution--my understanding, and please correct me if I am wrong, is that the taxation on the capital gains on appreciated stock transferred to fully liquidate a partner's share in the partnership are merely deferred for the partnership. When the partnership is liquidated those gains are paid by the partners who turn off the lights. So if you are closing the club, does it make sense to transfer appreciated stock if those same remaining club members are going to pay the gains on those transactions? Or to put it another way, if the partnership is liquidated, and remaining members' equity shares are paid with appreciated stock, those withdrawing members are going to pay the capital gains taxes on the appreciated stock anyway. At least if my understanding of the tax rules is correct. So just sell the stocks and pay off the remaining members in cash.
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Richard Evans on
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38 PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Richard Evans on
To add on to my question How does the treasurer report to Bivio about the transaction? The selling of stock and money going to one member?
Diana
Sent from my iPhone
On Jun 8, 2025, at 6:52 PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38 PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Tracy, Molly M on
If you sell appreciated stocks, all club members will be subject to capital gain taxes.
To avoid this, You should sell your losing stock, or consider transferring appreciated stock to the member requesting the money. He/she can liquidate the stock for cash if they desire and the rest of the members won't be penalized.
Molly
P.s. our bylaws gives our club the option of transferring stock whenever a member requests a partial or full withdrawal.
Sent from my iPhone
On Jun 8, 2025, at 5:52â¯PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
 I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is
a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38â¯PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the
transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment
Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Robert Shaw on
Read your partnership agreement.
It is likely the club has the option to pay the money in stocks or cash at the club option.
Be sure whatever you do is in accord with your PA.
And do not do anything until the bivio withdrawal paperwork is all complete and correct.
Finally, if the the club sells stock to raise the money all club members will have taxes to pay.
Bob Shaw
Classic Strategy Investment Club
On Jun 8, 2025, at 6:51 PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38 PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Robert Shaw on
I further suggest you call bivio for advice and if they want to charge you pay it and charge the departing member if the PA permits it.
On Jun 8, 2025, at 7:01 PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
To add on to my question How does the treasurer report to Bivio about the transaction? The selling of stock and money going to one member?
Diana
Sent from my iPhone
On Jun 8, 2025, at 6:52 PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38 PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
Donna OConnnell on
It is up to the club. My club always transfers stocks.
Then the person who wants $20,000 has to sell the stock and pay the capital gains tax.
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks
--
Donna O'Connell
Kathy McGovern on
My club's bylaws allow the club members to decide whether to pay a member in cash or stocks. You could transfer stocks and the member would be able to immediately liquidate the stock. This would be more advantageous for the club to keep from paying capital gains. If paying in cash, the club would need to report two separate transactions to Bivio: first, the sale of stock and then the transfer of funds.
Kathy McGovern
On Jun 8, 2025, at 6:01â¯PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
To add on to my question How does the treasurer report to Bivio about the transaction? The selling of stock and money going to one member?
Diana
Sent from my iPhone
On Jun 8, 2025, at 6:52â¯PM, Richard Evans via bivio.com <user*32774200001@bivio.com> wrote:
I need basics. A member is requesting a substantial amount of her money. Not in stocks but in cash. We will have to decide which stock or stocks to sell to come up with $20,000. We have made great decisions on stocks, everything but one is a gain in dollar value as well as dividends. Which means capital gains. Is each member be required to pay capital gains on their taxes or is it just the member who is requesting the payment?
Diana Evans
Sent from my iPhone
On Jun 6, 2025, at 12:38â¯PM, Anne Weeks via bivio.com <user*6029900001@bivio.com> wrote:
On Thursday, June 5, 2025, 4:30 PM, John Rice via bivio.com <user*24380400001@bivio.com> wrote:
Schwab doesn't allow shares to be distributed to members. The only alternative for transferring stock to members and avoiding the IRMAA adjustment will be to switch your broker to another one that allows stock transfers to members. After the transfer to the new broker you can disband and distribute the stocks and cash. The individual members now have the choice to sell the amount of stocks each year to avoid the IRMAA and higher tax on capital gains.
Could you please provide the Schwab form number. You are the first investment club that has been able to perform a stock transfer to a member that has reported through club cafe. We have been told that Schwab will not transfer stock from an investment Club to a member.
Our club, The Bear Trap Co., switched to Schwab when TD Ameritrade ended a few years ago. We have given stock transfers to a member twice in the past year. Before that our experience was to sell stock(s) to give to a member withdrawing a portion of their
club shares or a complete withdrawal. No issues with Schwab. We do have to fill out a form and the two co-signers in our club (Treasurer and Assistant Treasurer) have to sign. We are lucky to have a Schwab office nearby where we drop off the form.
Like many clubs, we are planning to closedown this year.
Just members getting older. We are with Schwab with
checking privileges. Obviously, it is simpler to sell
everything and distribute the cash. But some members have
large capital gains and would prefer stock. I have been the
long time treasurer and have been reading the conversations
on here for ideas.
I have some specific questions.
Must all distributions be the same for each member, that is
all cash or all stock?
Is Schwab allowing stock transfers? Hard or easy to work
with them?
Has anyone considered the effect of these large capital
gains on the IRMAA adjustment (Medicare)? Any work around
ideas.
If our club distributes shares, I am considering using a CPA
to do things properly. Or is that overkill and I should be
able to do myself?
What about taking some capital gains this year and doing the
final shutdown next year? Any advantages?
Thanks for your thoughts. I am sure I will be posting again
soon.
Anne Weeks