Reinvestment of dividends & CGs - Individual vs. IRA accts

[chang]

I might be wrong, but I think Vanguard's default settings for reinvestment of dividends and CGs are different for Individual (taxable) accounts and IRAs. I have bought several VG funds in my Individual account, and never needed to set the account for "Reinvest" dividends and CGs -- it always happens automatically.

I noticed this weekend that VG funds in my IRA had deposited CGs to the core account. I had to find and change the account settings to "reinvest". (And I will need to separately transfer the $$ from core back into the fund.)

So heads up during this CG-intensive season.

[nromsted]

I've never noticed that the default setting was anything other than "reinvest". And most of the time that is fine with me.

But I have been more proactive in recent years in taking much of my CGs in cash. Actually into a MM fund in the account which holds those funds generating the CGs. This requires me to be intentional about investing or spending those funds.