CCL onboard credit for owning stock.

[RuthC]

Curious also if your OBC gets treated like a dividend for tax purposes (i.e. do you get taxed on that money)? Actually for that matter, isn't it problematic getting a cash benefit now from your IRA investment? I don't have enough in my ROTH to do it there and I'm not old enough for tax-free benes from my Traditional. I'm talking about the OBC, not dividends. Or am I just overthinking this? :)

On Board credit from CCL stock is applied directly to your on board account, without going through your IRA, or stock portfolio. It isn't reported anywhere, to my knowledge, for tax purposes.

 

If you take enough cruises, for longer periods of time, you can think of it as a big after-tax chunk of change. :hearteyes: There have been years that I have had three $250 stock credits. That adds up (and makes me a very happy girl).

[thinfool]

Or am I just overthinking this? :)

 

 

Yes, exactly. Stop trying to invent the wheel.

[Crew News]

So I saw several people on earlier pages of this thread say that they own their CCL stock in their IRAs. Just want to confirm that you haven't had any problems getting your shareholder OBC when the owner of the stock is "Stephanie's IRA" instead of just "Stephanie." If I'm going to buy the stock, I would prefer to do so in my IRA so just want to make sure that this isn't going to be a problem.

 

Curious also if your OBC gets treated like a dividend for tax purposes (i.e. do you get taxed on that money)? Actually for that matter, isn't it problematic getting a cash benefit now from your IRA investment? I don't have enough in my ROTH to do it there and I'm not old enough for tax-free benes from my Traditional. I'm talking about the OBC, not dividends. Or am I just overthinking this? :)

 

I can only relate my experience of having my CCL in my IRA. The proof of ownership is based on the owner of the IRA account noted at the top of your statement that is sent to HAL. It is wise to delete/redact all information on your statement that is NOT CCL-related.

 

CCL dividends are indeed taxable but only when you sell the shares. There is an additional 10% tax penalty when you withdraw any funds from your IRA if you have not reached age 59.5 (with a few exceptions). CCL dividends are not paid in cash but rather in CCL stock shares (including small portions of shares) which steadily increases your CCL shares (or portions of shares) over time.

 

Think of OBC as a gift from HAL to help defray some of your on-board expenses and the CCL stock as something that just keeps giving through generous dividends.

[thinfool]

CCL dividends are not paid in cash but rather in CCL stock shares (including small portions of shares) which steadily increases your CCL shares (or portions of shares) over time.

For this to be true the shareholder must 'elect' to have this happen and they must have an account in a brokerage that offers this feature. The default for many brokerage accounts is for dividends to be paid in cash.

 

 

The shareholder benefit is administered by the various lines under the CCL umbrella but it actually comes, or is given, by Carnival Corp.

[FloridaTourist]

Thats less than 6 months? Whats your point? Mine was that if sold you stock on say February 10, you would still be in the 6 month window. You don't have to own the stock for 6 months or own it 6 months prior to your cruise, you just have to own the stock, even for 1 day, within the previous 6 months from your departure.

 

 

 

Hmmm I thought you were saying you had to own the stock FOR 6 months. If that’s not what you meant Peace!

 

 

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[FloridaTourist]

So I saw several people on earlier pages of this thread say that they own their CCL stock in their IRAs. Just want to confirm that you haven't had any problems getting your shareholder OBC when the owner of the stock is "Stephanie's IRA" instead of just "Stephanie." If I'm going to buy the stock, I would prefer to do so in my IRA so just want to make sure that this isn't going to be a problem.

 

Addressing something else from the thread, I went to a presentation given by the future cruise consultant on Maasdam in April, which wasn't about future itineraries but how to save money on your next booking, and she definitely mentioned buying the stock to get OBC.

 

Curious also if your OBC gets treated like a dividend for tax purposes (i.e. do you get taxed on that money)? Actually for that matter, isn't it problematic getting a cash benefit now from your IRA investment? I don't have enough in my ROTH to do it there and I'm not old enough for tax-free benes from my Traditional. I'm talking about the OBC, not dividends. Or am I just overthinking this? :)

 

 

 

I own my stock at park of my 401k. My receipt I sent them was just my last name on it. Could have been mine, my brothers or my late mother’s. I hade the credit applied within 24 hrs.

 

 

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[Haboob]

For this to be true the shareholder must 'elect' to have this happen and they must have an account in a brokerage that offers this feature. The default for many brokerage accounts is for dividends to be paid in cash.

⋮

 

Even if an IRA receives a cash dividend, it will be held as cash within the IRA unless you make a formal withdrawal.

[joekerstef]

Thanks for the responses everyone! Gotta go buy me some stock.... :)

[feathersandnananose]

Beware! the name on the account matters. We've got convoluted stuff, and the CCL stock is in hubby's IRA. Which means, when I took a cruise with my sisters (without hubby), it was his name only on the account page I faxed (though both names are on the overall account and cover page.) They tut-tutted at me, but let me get away with it. If I ever take another cruise without hubby (not likely), I'll include the page with my name on it, too! Or get our investment peeps to print me a specific page. But never had trouble getting the credit.

[drowelf]

CCL dividends are not paid in cash but rather in CCL stock shares (including small portions of shares) which steadily increases your CCL shares (or portions of shares) over time.

 

Yours are? Mine are paid as a Cash Dividend into my IRA-SEP Account. I did not know that you could have fractional shares of regular stocks? I have fractional shares in mutual funds that are part of my portfolio, but never have seen fractional shares of stocks.

[richwmn]

Yours are? Mine are paid as a Cash Dividend into my IRA-SEP Account. I did not know that you could have fractional shares of regular stocks? I have fractional shares in mutual funds that are part of my portfolio, but never have seen fractional shares of stocks.

My CCL shares are also paid in cash to my brokerage account. If you choose to participate in the Dividend ReInvestment Plan (DRIP - how appropriate), you can have fractional shares.