5 Things You Didn't Know About Robinhood (Taxes, Income, Dividends)

TL;DR

Robin Hood offers useful features such as tax calculations, limit orders, and account statements, but does not currently offer a dividend reinvestment plan (DRIP).

Transcript

now if you scroll a little bit lower you will see taxes go ahead and click on that and hit open and oh my god it has all my private info on it I feel so naked right now I did this to show vulnerability and oh my god I'm so white so I and I'm back yeah hey what's up guys Andre here and welcome back to today's video and this one we're gonna be talkin... Read More

Key Insights

• 💨 Robin Hood provides a convenient way to calculate and file taxes on dividends by either using a tax professional or TurboTax.
• 😫 Limit orders help users set specific prices for buying or selling stocks, ensuring they get the desired price.
• 🤱 Robin Hood charges nominal fees mandated by the SEC and FINRA, without making a profit or commission from them.
• 👻 Accessing account statement summaries on Robin Hood allows users to track stock purchases and dividend income easily.

Questions & Answers

Q: How can I calculate and file taxes on Robin Hood?

Taxes on Robin Hood can be filed by either providing the necessary information to a tax professional or using TurboTax to import and calculate the forms. TurboTax will ask you if you bought or sold stocks, and you can enter your unique apex ID number to import all the required information.

Q: How do limit orders work on Robin Hood?

Limit orders on Robin Hood allow users to set a specific price they are willing to buy or sell a stock at. This ensures that you don't overpay or undersell. You can set the price, choose the order type as "limit," and select the date and time for the order to be fulfilled.

Q: What fees does Robin Hood charge?

Robin Hood charges mandatory fees by the SEC and FINRA. The SEC charges $20.70 per $1 million of principle, while FINRA charges $0.000119 per share, rounded to the nearest penny and capped at $5.95. These fees are minimal and do not include any profit or commission for Robin Hood.

Q: How can I access my account statement summaries on Robin Hood?

To access your account statement summaries on Robin Hood, go to the bottom right icon of the app, click on the little person icon, and scroll down to find "account statements." This feature provides a detailed overview of your portfolio activity, including stock purchases and dividend income.

Summary & Key Takeaways

• Taxes with dividends on Robin Hood can be easily calculated and filed by either providing the information to a tax professional or using TurboTax to import and calculate the necessary forms.

• Limit orders allow users to set a specific price they are willing to buy or sell a stock at, ensuring they don't overpay or undersell.

• Robin Hood charges mandatory fees by the SEC and FINRA, but they are minimal and do not include any profit or commission for Robin Hood.

• Account statement summaries on Robin Hood provide a detailed overview of portfolio activity, making it easier to track stock purchases and dividend income.

• Robin Hood does not currently offer a dividend reinvestment plan (DRIP), which automatically reinvests dividends back into the same stock.