Trading account: wiring money out

I’ve been reading about professional traders. They seem to recommend to have different accounts for different trading systems. Otherwise it could mess up your mind set they write. I do have one for trading but my other two accounts contains medium term trades and longer term positions. I might have to change that later on.

Also I’ve read that some traders wire out a part of their trading account every week/month to cover for other costs such as taxes and living cost and to increase the trading account next year. This is to get into the right mind set of making money regularly and take profit.

I don’t have the same situation and I’m trying to save around 1000 USD every month. I don’t pay capital gains tax when I trade the three accounts on this blog. I pay a yearly tax on my portfolio where the cash is placed in “Kapitalförsäkring” or “Investeringssparkonto”. I think it’s around 0,3% of the total portfolio every year at the moment.

To get in the right mind set and stay there I decided to also “wire out” money regularly. However instead of putting money in my bank account I will send them from my trading account to my other 2 accounts after each of my monthly reports.

I decided to go with the following:

Account totalAmount wired
<100 000 SEK 2 500 SEK
100 000 – 200 000 SEK5 000 SEK
>200 000 SEK10 000 SEK
1 USD is around 8.4 SEK

Lets see how this goes and if I think its helpful or not. I’ll start with the month of January today.

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