The Annual vs. Monthly IRA Contribution Timing Experiment June 2014 Update.
Annual Contribution Roth IRA
| Shares | Price | Total Cost | Market Value | $ Gain/Loss |
|---|---|---|---|---|
| 312.50 | 18.89 | 5,500.00 | 5,903.13 | 403.13 |
Account Summary:
- No account transactions to report.
Monthly Contribution Roth IRA
| Shares | Price | Total Cost | Market Value | $ Gain/Loss |
|---|---|---|---|---|
| 171.12 | 18.89 | 3,045.00 | 3,232.39 | 187.39 |
Account Summary:
- 06/01/2014 – Contributed $409.00
- 06/02/2014 – Purchased mutual fund (VTIVX)
Annual vs. Monthly IRA Account Comparison
| Account | % Monthly Return | Total % Gain/Loss |
|---|---|---|
| Annual | 2.11 | 7.33 |
| Monthly | 2.09 | 6.15 |
Analysis:
- The economy has been showing improvement since the winter season. Employment, housing, and other key economic figures were all up.
- Interest rates for Treasuries have begun to creep upwards, while bonds have rallied – wiping away most losses from earlier in the year.
- The bull market is still raging. The S&P and Dow indices seem to be ignoring any bad news, and continue to climb.
- The Annual Contribution account is well over a percent higher than the Monthly account for the month of June.
Talk to me, Goose.