Quite pain of withdrawing monthly fr trading acct

Discussion in 'Professional Trading' started by innovest_11, Sep 22, 2009.

  1. hi all fulltimer, do u feel pain, of withdrawing from trading account every month?

    Account seems not growing or even going backwards...
  2. for me its been easier to look at personal living expenses as a line item business expense. A "salary" I have to pay each month, along with the other trading expenses, data feed, platform cost, tax withholding etc. It was easier on me mentally to give myself a set "salary" than just "take whatever is left". Plus you can always insert a line item for "bonuses" at the end of the year. Structure it just as you would a small business, and it'll be a lot easier.
  3. You implying your profits are smaller than your living expenses.

    Simply, there's no "seems like" because you know for fact if your withdrawals are larger than your profits.

    First solution, the easy one, reduce you living expenses and trading expenses so that your withdrawals are smaller.

    The next solution, the hard one, have a third party take a closer look at how your trading and how you're treating trading like a business just as any struggling businesss owner would do.

    Ignore the above and you could be one of the few that are profitable yet forced to quit trading because your profits aren't enough.

  4. I do not withdraw money every month. I withdraw about quarterly or when I need money, say, if a hurricane comes and trashes my home.

    For me, withdrawing money is part of speculating. I don't know if it hurts more to withdraw during a losing streak or when I'm on a winning streak.
  5. Handle123


    I take out every quarter, but a third of it goes into a tax account.

    But if your "expenses" are larger than your revenue, your account is telling you are in a recession, and you got to figure out why.
  6. wave


    Run your trading account as an Endowment.

    See Example