Should I Move Money To Vanguard Every Day Instead Of Every Week? Daily Financial Thought #2

Should I Move Money To Vanguard Every Day Instead Of Every Week? Daily Financial Thought #2


“What if I moved money over to vanguard everyday instead of every week?”

The thing is…

I should look at the time it takes to move money over every day versus the time saved if I set up automatic investments.

How much time do I spend per year moving money over?

I just did it and it takes 5 seconds to log on to the Vanguard app and another 15 seconds to process the order.

So in a total of 20 seconds, I’m in and out of the app and money is transferred.

But if we do 20 seconds times 365 days a year, that’s 7300 seconds/year.

At 60 seconds/minute, that’s 121 minutes/year.

Or roughly 2 hours a year spent on the vanguard app moving money over.

If I move over money daily, it would add up to 2 hours a year spent on the app.

This is time that I can directly save by automating my investment to be pulled from my checking account right into vanguard.


However, the question is:

“Will putting money in vanguard daily help increase returns versus automatic investments weekly?”

My hypothesis is yes, it will.

Because the more money you have in stocks, the more time it has the ability to accrue the dividends.

There might also be cutoff points where you’d miss the ex-dividend date to qualify for dividends because of the weekly timing of automatic investments.

I imagine if we put in money every day, it’ll allow us to lock in prices on every single point of the daily ups and downs, versus weekly ups and downs, and thus give a more accurate representation of growth of our stock values?

Who knows *shrugs shoulders.*

But right now, I started doing both.

I have my weekly automatic investment into Vanguard, and daily I am also moving money over.

That way, if I ever forget a week or forget a day, at least my automatic investments will keep me in check.

And that way, I can start locking in growth more often and test out the hypothesis.

To test it out more throughly you’d have to…

To test whether one way or the other would be better, I suppose you’d have to create two accounts in Vanguard.

Both would start say January 1st.

From there, one account would be deposited in weekly, while the other would be deposited daily.

So one account can be $125/weekly for a total of $600.

The other account can be $20 daily for a total of $600.

Then see, at the end of the year, which account has more money based on growth of stock market it self and based on dividends as well.

Your thoughts?

What are your thoughts on this thought-experiment?

Which one would you do/are currently doing now?


Jack The Dreamer

I'm a dreamer. But you know what? All the best people are. And if you're one too, join the revolution! My blog is about being financially independent and working towards that goal each and every single day so that we can all start living the life we've always dreamed of! Jack the Dreamer, over and out!