Do you rely on your trading to put food on the table?

[tiddlywinks]

What difference does it make if the money comes from outside or from profits?

1) The thread topic.
2) The difference is how you operate. A trading business qualifying and adhering to a formal structure and taxation r&r, or an individual investor. Both are vastly different, both operationally and with regards to taxation. Both have pros and cons. I answer yes to the thread topic question. I also operate as a trading business, by choice.

 

[Abundance Magnet]

1) The thread topic.
2) The difference is how you operate. A trading business qualifying and adhering to a formal structure and taxation r&r, or an individual investor. Both are vastly different, both operationally and with regards to taxation. Both have pros and cons. I answer yes to the thread topic question. I also operate as a trading business, by choice.

Exactly.

Treat it like a business, get paid like a business. Treat it like a hobby, pay for it like a hobby.

 

[777]

This is not necessarily true.
If I use an inverse exchange,, I will be provided a rebate for taking liquidity (entering via market order). Alternatively, I could provide liquidity and use a traditional exchange to collect a rebate also.

Orders that are entered at an aggressive price (better than or worse than the nbbo) do not get any priority with respect to their position in the queue, so I don't know where you were going with that second example.

You should know.
Sigh...

 

[TraderEX]

Exactly.

Treat it like a business, get paid like a business. Treat it like a hobby, pay for it like a hobby.

12 pages to get to this. This July I hit every trading day with what we call the 405 pizza play. 2 ES contracts, entered and exited from 405 to 410, for 1 tic each and $22.00 for takeout. Taco Bell, artisan pizza or Chinese delivery.

Yes, yes, food for the table.

My medical bills wiped out my cash cache and had about 2 years left of cash left supplemented by my $1550 a month SSDI. My bills are right around 5k a month, bare bones.

at the beginning of profitability, sometimes three withdrawals a week just to keep the flow going. On better days, wire back to me for 35 bucks. Those hurt but the kids were in need and they couldn't wait 5 days.

all my spare time devoted to the demo. I have no other choice since I cannot physically handle even an office job. Smoke weed all day to keep the nerve pain at bay. No weed , no function.

Now, every Friday, I take whatever is over $2,000.00 and supply whatever is short $2,000.00. haven't had to supply cash since February and then before that last November.

Day trading for a days pay. My goal is $225.00 my end. I just past 40k, so heading for 60k and use every dime. I now have 14k in my checking account. Long Island is an expensive place to live.

Having to put food on the table made me a trader. i no longer take chances nor look for excitement. i make the cash and me and the boys head out. They spend more of it than I do. The way it should be.

Not one of you guys out there would say no to a full time day traders income. that's why you are here crying so.

the same peanut gallery is also CPA's, tax planners, investment counselors...telling wonderful stories about nothing...gamblers go to Gambler's Anonymous and loser traders come complain about life here.

I'm disabled and bored out of my mind, what's everyone's else excuse.

I've read the tax codes for trading, so

How can I collect Social Security Disability Income, and earn as a day trader legally? Step up guys and fill us with your wisdom.

This is funny comical, not a tragedy.

 

[treeman]

Exactly correct.



Generally, increases in account size come from "personal" funds (which were paid as salary/wages out of the account), rather than profit accrual inside the account. "Never" reinvest profits is a bit overboard though.

I guess you do you, and I'll do me. I haven't withdrawn money from my trading account in well over a year. The money I need to take out in order to live is not a significant percentage of the whole (I'm still working on the optimal way of doing this, but I do it in big chunks and move it into other vehicles so I can concentrate on the trading portion). Without compounding (reinvesting my profits), performance would suffer.