Stock Split
Record this when a security in your holdings undergoes a stock split or reverse split (a corporate action).
What you enter
| Field | Required | Description |
|---|---|---|
| Date | Yes | Date the split takes effect |
| Symbol | Yes | The security being split (only holdings you currently own) |
| Numerator | Yes | The "new shares" side of the ratio (e.g. 2 for a 2:1 split) |
| Denominator | Yes | The "old shares" side of the ratio (e.g. 1 for a 2:1 split) |
| Fractional share handling | Yes | What happens to fractional shares: Keep, Cash in lieu, Round down, or Round up |
| Proceeds | If cash in lieu | Either price per unit or total proceeds for the fractional shares sold |
The form shows a live preview: current units, exact post-split units, any fractional adjustment, and the final unit count.
What happens
- Unit count is adjusted by the split ratio (units × numerator ÷ denominator)
- Total cost base stays the same — a split is a corporate action, not a purchase or sale. Exception: cash in lieu removes a small slice of cost base (see below)
- Borrowed/personal cost split is preserved — the deductible position is unchanged
Fractional share policies:
- Keep — retain the exact fractional units (e.g. 150.5 shares)
- Round down — floor to the nearest whole share
- Round up — ceiling to the nearest whole share
- Cash in lieu — floor the units and sell the fractional remainder. This is treated as a small partial sale: proceeds are split between borrowed and personal cash based on the holding's cost composition
Common questions
Does a split change my deductible interest? No. A split changes unit count and per-unit cost but not the total cost base or the borrowed/personal split. Your deductible position is unchanged.
What about cash in lieu for fractional shares? If the split creates fractional shares and your broker pays cash instead, the fractional remainder is sold using the same allocation logic as a regular investment sale. Proceeds are split between borrowed and personal cash proportionally.
Do I need to record reverse splits too? Yes. A reverse split (e.g. 1:3) reduces your unit count and increases your per-unit cost. Enter 1 as the numerator and 3 as the denominator.
What if the split ratio creates no fractional shares? Then all four fractional policies produce the same result. Pick any — "Keep" is fine.
Learn more
- Selling holdings — how partial sales work (relevant for cash in lieu)
- How balances are tracked — the event replay model