Search found 161 matches

by desertbandit442
Sat Feb 03, 2024 10:23 am
Forum: Personal Finance (Not Investing)
Topic: Where is 8606 form in H&R Block online?
Replies: 4
Views: 637

Re: Where is 8606 form in H&R Block online?

Form 8606 is for reporting nondeductible contributions to and distributions from Traditional, Traditional SEP, and Traditional SIMPLE IRAs. It is not used for ROTH IRAs.

Qualified distribution from a ROTH IRA is designated by the Box 7 code of the 1099-R you should receive. You would see a Q code in Box 7 of the 1099-R, if it is qualified. Filling out the Form 1099-R information in your tax program with the code in Box 7 will automatically make it non-taxable, if the Block 7 code is a Q.
by desertbandit442
Sat Jan 29, 2022 9:03 pm
Forum: Personal Finance (Not Investing)
Topic: HELP with taxes after 401k early withdrawl
Replies: 7
Views: 770

Re: HELP with taxes after 401k early withdrawl

Additional information:

Quote from SmartAsset article: 401(k) Tax Rules: Withdrawals, Deductions & More; “ State and local governments may also tax 401(k) distributions. As with the federal government, your distributions are regular income. The tax you pay depends on the income tax rates in your state. If you live in one of the states with no income tax, then you won’t need to pay any income tax on your distributions. So depending on where you live, you may never have to pay state income taxes on your 401(k) money.”
by desertbandit442
Sat Jan 29, 2022 8:41 pm
Forum: Personal Finance (Not Investing)
Topic: HELP with taxes after 401k early withdrawl
Replies: 7
Views: 770

Re: HELP with taxes after 401k early withdrawl

The ruling on withdrawals from retirement funds is only the state you are living in when you receive the withdrawal can tax retirement funds. If you were living in TX when the withdrawal was made, only TX can tax that income. Since TX has no state income tax, you won’t owe any state income tax on the withdrawal. It doesn’t matter where you were living and where the payments were made prior to the withdrawal.
by desertbandit442
Fri Jul 12, 2019 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: Filing Restricted SS Application - Language Check
Replies: 52
Views: 7187

Re: Filing Restricted SS Application - Language Check

munemaker wrote: Tue Jul 03, 2018 6:26 pm My wife recently filled out the online application. Very simple. It asks you whether you are applying for "retirement benefits" or "spousal benefits." So you just pick one or the other, in your case "spousal benefits." Why is any further explanation necessary.
Same thing I did in December to start my spousal benefits in March this year when I hit FRA. No problems at all. I did not provide any additional statements/information.
by desertbandit442
Mon Apr 15, 2019 6:16 am
Forum: Personal Finance (Not Investing)
Topic: Late K1
Replies: 10
Views: 1526

Re: Late K1

You can wait for the IRS to issue an assessment, in which case you will likely owe just the additional $200 tax, plus interest. +1 Wait on the IRS's matching letter. Then pay the bill. Amended returns are a headache. And if you go to a CPA, they will charge more than that just to file the amendment. Then you'll still have to pay the bill. Technically, since it’s not the 15th yet, can’t OP just file a superseding return rather than an amended one? I seem to remember reading that in another thread but can’t find it (maybe since I can’t spell superseding). Then again, waiting for the bill doesn’t seem like a terrible choice in this case either. For a personal income tax return there is really no such thing as a superseding return. I went to t...
by desertbandit442
Mon Apr 15, 2019 5:46 am
Forum: Personal Finance (Not Investing)
Topic: HELP! Tax questions.
Replies: 11
Views: 1222

Re: HELP! Tax questions.

me112964 wrote: Sun Apr 14, 2019 4:50 pm Accountant filed taxes electronically before including deduction for my wife’s SEP. Now what do I do? This seriously increases our taxes due tomorrow. He did this despite us notifying him of the contribution. Do I call IRS and try an extension or do I pay the amount (a significant drain on savings) and file an amendment later. Not sure I trust the accountant after how this was handled. Should I pay for a complete revie? Any advice greatly appreciated.
My question would be why did he file it before you had a chance to review the return? Not a good practice IMO.
by desertbandit442
Mon Apr 15, 2019 5:41 am
Forum: Personal Finance (Not Investing)
Topic: HELP! Tax questions.
Replies: 11
Views: 1222

Re: HELP! Tax questions.

LifeIsGood wrote: Mon Apr 15, 2019 5:30 am In reading about superseding returns, I get the impression that this is only for business returns, not personal ones. Is that correct?
This is what I saw in the link:

“A superseding personal return should be prepared as an amended return on Form 1040X. (There is no superseding box to check.) All amended personal returns filed before the due date, including extensions, are automatically treated as superseding, incorporating the new data and modifying the original return. This means a forgotten irrevocable election CAN be made and is treated as if made on the originally filed return.”

So for a personal return you file an amended return, there really is no superseded return for personal income tax return.
by desertbandit442
Mon Apr 15, 2019 5:02 am
Forum: Personal Finance (Not Investing)
Topic: Son is a college student still staying at home. How to file taxes?
Replies: 9
Views: 1364

Re: Son is a college student still staying at home. How to file taxes?

MathWizard wrote: Sun Apr 14, 2019 7:42 pm I assume that this is for federal taxes.

Personal exemptions are gone. In the past a dependent added to the number of personal exemptions. How would a dependent affect taxes now?
Would qualify for Other Dependent Credit (ODC) of $500 that is non refundable but reduces tax liability by $500. Once child is over age of 17, no longer eligible for child tax credit, but is eligible for ODC.
by desertbandit442
Mon Apr 15, 2019 4:20 am
Forum: Personal Finance (Not Investing)
Topic: No need to file a tax extension form?
Replies: 27
Views: 2307

Re: No need to file a tax extension form?

P.S. I swear I wrote the above words, based on my personal experience, without even noticing the subject line. Someone in the forum actually did receive a K1 on April 14th . I believe you :-) I couldn't do it on time because an expected K-1 has not arrived yet. I suppose no legal requirements on the delivery time of K-1 like for 1099, W-2 form? Yes there is a requirement for issuance of a K-1. For example, an S-Corp is required to file their business tax return by March 15 and issue the K-1s by then. Unless the S-Corp files an extension, then their business filings and K-1s are due by September 15. This is always my personal income tax situation as the S-Corp always files an extension, so we have to file an extension because we don’t get o...
by desertbandit442
Thu Feb 28, 2019 8:51 am
Forum: Personal Finance (Not Investing)
Topic: How will cancelling ACA healthcare mid year effect subsidy?
Replies: 18
Views: 2177

Re: How will cancelling ACA healthcare mid year effect subsidy?

Based on income for year, so will likely have to pay back.
by desertbandit442
Sun Feb 24, 2019 10:07 am
Forum: Personal Finance (Not Investing)
Topic: [H&R Block] and TurboTax Handle 1099MISC Differently
Replies: 9
Views: 931

Re: HRB and TurboTax Handle 1099MISC Differently

IRS has cracked down on 1099-MISC income if it is reported in Box 7. Box 7, non-employee compensation requires a Schedule C for Self-Employment income 99.8% of the time. If your wife did the work over a four month period, then it is regular and continuous for that four month period and is thus subject to self-employment tax. About the only time Box 7 income wouldn’t require a Schedule C if they did a job, like cleared a lot over a weekend and the person/business issued them a 1099-MISC for that job and they did no other work like that (landscaping) during any other time in the year. If you don’t report your 1099-MISC Box 7 on a Schedule C, you will most likely get an IRS letter for self-employment taxes. Makes no difference whether its one...
by desertbandit442
Sat Feb 23, 2019 7:35 pm
Forum: Personal Finance (Not Investing)
Topic: [H&R Block] and TurboTax Handle 1099MISC Differently
Replies: 9
Views: 931

Re: HRB and TurboTax Handle 1099MISC Differently

IRS has cracked down on 1099-MISC income if it is reported in Box 7. Box 7, non-employee compensation requires a Schedule C for Self-Employment income 99.8% of the time. If your wife did the work over a four month period, then it is regular and continuous for that four month period and is thus subject to self-employment tax. About the only time Box 7 income wouldn’t require a Schedule C if they did a job, like cleared a lot over a weekend and the person/business issued them a 1099-MISC for that job and they did no other work like that (landscaping) during any other time in the year. If you don’t report your 1099-MISC Box 7 on a Schedule C, you will most likely get an IRS letter for self-employment taxes.
by desertbandit442
Sat Feb 23, 2019 7:13 pm
Forum: Personal Finance (Not Investing)
Topic: Return rejected by IRS (anyone seen "processing issues" from HR Block?)
Replies: 22
Views: 5742

Re: Return rejected by IRS (anyone seen "processing issues" from HR Block?)

Second others, most likely a software update for certain form or calculation within in your return and the planned software update to fix the issue is March 10.
by desertbandit442
Sat Feb 09, 2019 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Adding to amount shown in in Box 1 of 1098-T - OK, or not?
Replies: 13
Views: 1374

Re: Adding to amount shown in in Box 1 of 1098-T - OK, or not?

Thanks, good to know. I never really understood the point of “amount billed”. I thought the institution was being pro-active in switching reporting methods but I see now that they had to. There was a lot of fraud going on with the Education Credits. It was easier for colleges just to show amount billed in Box 2 of the 1098-T and there was not a requirement to report the amount paid in Box 1. As you could imagine taxpayers were claiming they paid the amount billed, minus scholarship/grants reported in Box 5, with their funds/student loans to maximize the education credit. Several years ago the IRS came out with the requirement that the colleges had to show the amount paid during that tax year in Box1. That requirement kept getting pushed ba...
by desertbandit442
Fri Feb 08, 2019 9:17 pm
Forum: Personal Finance (Not Investing)
Topic: Adding to amount shown in in Box 1 of 1098-T - OK, or not?
Replies: 13
Views: 1374

Re: Adding to amount shown in in Box 1 of 1098-T - OK, or not?

Kenkat wrote: Fri Feb 08, 2019 8:35 am If the institution reports amount billed, you have to record your actual expenses paid in that tax year based on your own records. The amount billed is not really relevant and I don’t really know why the IRS allows that option. The college my two sons attend used to report amount billed but switched to amount paid for 2018. The amount I am claiming is much closer to the 1098-T but still does not match exactly due to books, etc.
Institution cannot report amount billed anymore on 1098-T. Only Box 1 amount of qualified education expenses actually paid to college as of 2018, then the other Boxes like 5 for scholarships/grants. Box 2 will not be used and always blank as of 2018 reporting requirements.
by desertbandit442
Fri Feb 08, 2019 7:21 am
Forum: Personal Finance (Not Investing)
Topic: Adding to amount shown in in Box 1 of 1098-T - OK, or not?
Replies: 13
Views: 1374

Re: Adding to amount shown in in Box 1 of 1098-T - OK, or not?

To answer post directly above this. Have to report what is in Box 1 of 1098-T as qualified education expenses. For example what is in Box 1 of the 2018 1098-T has to be on 2018 tax return. There are two ways to handle what you are asking: First get the university to issue a corrected 1098-T or when you go to file next year you can use the following on your 2019 tax return (from IRS Form 8863 Instructions): “The amount of qualified tuition and related expenses reported on Form 1098-T may not reflect the total amount of the qualified tuition and related expenses paid during the year for which you may claim an education tax credit. You may include qualified tuition and related expenses that are not reported on Form 1098-T when claiming one of ...
by desertbandit442
Thu Feb 07, 2019 8:33 am
Forum: Personal Finance (Not Investing)
Topic: Adding to amount shown in in Box 1 of 1098-T - OK, or not?
Replies: 13
Views: 1374

Re: Adding to amount shown in in Box 1 of 1098-T - OK, or not?

Only allowed to take the credit for the year it was actually paid to the institution. Doesn’t matter what semester it was for. Just for info—I prepare taxes. No, you can’t add to the amount in Box 1, you have to use what is actually shown as paid to the institution for qualified education expenses in Box 1.

The only area to further increase paid for qualified education expenses is that for books, equipment for class. That is the only thing above and beyond what is shown on Box 1 of the 1098-T, but you claim that part elsewhere on the Form 8863.
by desertbandit442
Mon Jun 11, 2018 8:48 pm
Forum: Personal Consumer Issues
Topic: Applying online for SS
Replies: 4
Views: 610

Re: Applying online for

I just helped my wife apply for her SS benefits online this past Thursday and there was nothing that had to be sent. I think the confusion might be if you fill out an application online and print it to mail it in, then I saw something about mailing in documents with the application being mailed. I would recommend do the application online and submitting it online. Then, register for a my social security account if you don't already have one. You can follow the process of your application on your mysocialsecuruty account then. If they need more information they will call you. In fact, they called my wife this past Saturday to see if she really wanted to start her benefits in July, when she could start in June. They didn't need any other docu...
by desertbandit442
Sat Apr 08, 2017 7:07 pm
Forum: Personal Finance (Not Investing)
Topic: American Opportunity Tax Credit - General Questions
Replies: 23
Views: 4068

Re: American Opportunity Tax Credit - General Questions

You should be good. It is not how many years you attended college, it is if you have completed a four year college undergraduate program; then you can't claim it. The limit on the AOC is that you can only claim it for a total of 4 tax years. Two year community or vocational college is fine as long as it is an eligible education institution and student is at least a 1/2 time student. Most that issue a 1098-T are, and if there is any doubt you can ask the institution. Definition of eligible institution from IRS Pub: Eligible educational institution. An eligible educational institution is generally any accredited public, nonprofit, or proprietary (privately owned profit-making) college, university, vocational school, or other postsecondary edu...
by desertbandit442
Wed Mar 29, 2017 6:57 am
Forum: Personal Finance (Not Investing)
Topic: earned income credit question
Replies: 4
Views: 887

Re: earned income credit question

You can say no, you don't have to claim a credit. Nothing happens--you just might get a letter from the IRS saying you qualify for the EITC. You can disregard that letter if you don't want to claim the credit.
by desertbandit442
Sat Jul 30, 2016 4:38 pm
Forum: Personal Investments
Topic: I have $3,000 to gamble
Replies: 71
Views: 12298

Re: I have $3,000 to gamble

I was in the same boat about 5 years ago, but had $2,000 to gamble. Ended up not going to Vegas, so with my "mad money" I opened up a Scottrade account in April 2011. Before anyone says anything, all my other investments are in two Vanguard index funds. I split the $2,000 between two stocks and have added nothing (other than dividends reinvested) or taken out anything, just let it ride. Just this Friday the account went over $4,000. I know, almost as boring as index funds, but that was my gamble. Going to let ride another 5 years. But, my wife is bugging me for a hot tub so I might have to close out the account early.
by desertbandit442
Sat Jul 30, 2016 3:57 pm
Forum: Personal Investments
Topic: Question on IRS filing status
Replies: 17
Views: 1916

Re: Question on IRS filing status

Also need to know how spouse took deductions when he filed, married filing separately. If he itemized, then your mother has to itemize and can't take the standard deduction. Likewise if he took standard deduction for MFS, then your mother has to take the standard deduction for MFS. Actually, if he took standard deduction, she can itemize, but if she itemizes, he will then be forced to itemize (or the IRS will reduce his standard deduction to zero.) If you and your spouse file separate returns and one of you itemizes deductions, the other spouse will have a standard deduction of zero. In this situation, the other spouse should also itemize his or her deductions. Source: IRS FAQ True. Since she would be filing an amended return, I was just w...
by desertbandit442
Sat Jul 30, 2016 1:13 pm
Forum: Personal Investments
Topic: Question on IRS filing status
Replies: 17
Views: 1916

Re: Question on IRS filing status

Just found out my "very" elderly mother fell prey to three years worth of an HR Block error. She is married. However, previously filed "married, filing separately" when she took her taxes to a professional CPA. This past week she received a letter from the IRS indicating income from a "Qualified Dividend" was not reported on her 2014 tax return. In reviewing her return; indeed, the dividend was left off. Therein, is when I also noticed HR Block reported her filing status as single. She will now be filing amendments for the past three years. I'd appreciate any help with what to anticipate regarding taxes owed. Her income is entirely from Qualified Dividends and Social Security. Earnings are about 275,000 annual...
by desertbandit442
Sat Jul 30, 2016 9:03 am
Forum: Personal Investments
Topic: Question on IRS filing status
Replies: 17
Views: 1916

Re: Question on IRS filing status

pshonore wrote:
desertbandit442 wrote:If one spouse files married filing separately the other spouse must also. Also can't just file single when legal status is married as of December 31st of the tax year, even though some people do.
If you check Pub 17, the other spouse can file Head of Household if they meet the requirements. Almost certainly not applicable in this case however.
Yes, if you lived apart from your spouse, which didn't seem to be the case here--as you said.
by desertbandit442
Sat Jul 30, 2016 8:41 am
Forum: Personal Finance (Not Investing)
Topic: When does the 5-year clock start on a second Roth?
Replies: 21
Views: 3953

Re: When does the 5-year clock start on a second Roth?

Notably, under Treasury Regulation 1.408A-6, Q&A-2, for the purposes of this 5-year rule the clock starts the first time any money is funded into any Roth IRA, whether by contribution or conversion. There is not a new 5-year clock for each Roth contribution, nor for each Roth account that is held. All Roth IRAs (but not Roth 401(k)s) are aggregated together to determine whether the 5-year rule is met for any/all of them (which indirectly means that rollovers from one Roth IRA to another do not change or reset the 5-year requirement). In the case of rollovers from a Roth 401(k), any years in the Roth 401(k) are not added to the years for the Roth IRA; thus, if the individual did not otherwise have a Roth IRA already, the rollover from a ...
by desertbandit442
Sat Jul 30, 2016 8:19 am
Forum: Personal Investments
Topic: Question on IRS filing status
Replies: 17
Views: 1916

Re: Question on IRS filing status

If one spouse files married filing separately the other spouse must also. Also can't just file single when legal status is married as of December 31st of the tax year, even though some people do.
by desertbandit442
Sat Mar 26, 2016 8:03 am
Forum: Personal Investments
Topic: Withdrawal Strategies for Larger Purchases after Retiring
Replies: 39
Views: 4901

Re: Withdrawal Strategies for Larger Purchases after Retiring

Also know and factor in state income tax considerations, if you live in a state with income tax. In SC, for example; if under 65, $3000 of qualified retirement income (pensions, IRAs, 401Ks, etc.) is not taxed. Age 65 and over, $15,000 of qualified retirement income is not taxed for each person, for a total of $30,000 when both of you hit age 65. This plays a large role in my traditional IRA to Roth conversions, or using traditional IRA money for any large purchases. I would use cash before age 65 in my case, or sell off some of my taxable mutual fund investment for TLH or long term capital gains before touching my traditional IRA.
by desertbandit442
Fri Feb 05, 2016 6:42 am
Forum: Personal Finance (Not Investing)
Topic: Child Support and taxes
Replies: 29
Views: 2397

Re: Child Support and taxes

I work in the tax industry. By the custodial parent signing the Form 8332, the only two tax breaks the noncustodial parent can use are the dependency exemption, which is $4,000 per dependent for 2015, and the Child Tax Credit of $1,000. All other tax breaks/credits remain with the custodial parent, like the Dependent Care Credit, Earned Income Credit (if you qualify), etc. Also if the child support is not paid, the custodial parent can revoke the Form 8332.

I must add, the above assumes the IRS requirements for a qualifying child are met.
by desertbandit442
Thu Dec 10, 2015 4:47 am
Forum: Personal Consumer Issues
Topic: Flaunt Your High-Mileage Car
Replies: 945
Views: 151266

Re: Flaunt Your High-Mileage Car

2002 Jeep Wrangler with 199,700 miles. Bought new with intent, and it still is, of driving it for 25 years or 500,000 miles. Looks like I'll make the years first, then try for the 500,000 miles.
by desertbandit442
Wed Jan 28, 2015 11:48 am
Forum: Personal Finance (Not Investing)
Topic: I just filed a Restrictive App at the SS office
Replies: 39
Views: 14003

Re: I just filed a Restrictive App at the SS office

Thanks for sharing your experience Cody. I'll be doing the same thing in four years.
by desertbandit442
Sun Nov 30, 2014 1:46 pm
Forum: Personal Finance (Not Investing)
Topic: Spousal Dynamics on Finance
Replies: 59
Views: 10389

Re: Spousal Dynamics on Finance

We fall under scenario 1. I don't worry, I've done all I could. I wrote out 4-5 pages to follow for 1st year, short term (years 2-5) and long term (more than 5 years). Then, if she still doesn't want to mess with it, I have a fee only contact that I have already talked to for her.
by desertbandit442
Thu Nov 27, 2014 2:42 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rates - Is the 4% rule still good?
Replies: 84
Views: 12428

Re: Safe Withdrawal Rates - Is the 4% rule still good?

BahamaMan wrote:
desertbandit442 wrote:4% is perfect if your going to live 25 years off of the retirement savings. Less percent if you need it to live longer, and you can withdraw larger percent if going to live less than 25 years off the money. That's assuming no decrease in the principle, except for the withdrawal.
Why wouldn't you want to decrease the principle?
You would, just the 4% you take out for the year.
by desertbandit442
Thu Nov 27, 2014 1:21 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rates - Is the 4% rule still good?
Replies: 84
Views: 12428

Re: Safe Withdrawal Rates - Is the 4% rule still good?

4% is perfect if your going to live 25 years off of the retirement savings. Less percent if you need it to live longer, and you can withdraw larger percent if going to live less than 25 years off the money. That's assuming no decrease in the principle, except for the withdrawal.
by desertbandit442
Sat Oct 25, 2014 5:42 pm
Forum: Personal Consumer Issues
Topic: How often do you change your car's oil?
Replies: 168
Views: 40024

Re: How often do you change your car's oil?

Every 3,000-4,000 miles.
by desertbandit442
Sat Oct 25, 2014 5:35 pm
Forum: Personal Consumer Issues
Topic: How do you wash your car?
Replies: 143
Views: 26385

Re: How do you wash your car?

Closer to never than rarely. I have a 2002 and it still runs like it was new.
by desertbandit442
Mon Jun 09, 2014 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Planning with and w/o SS
Replies: 27
Views: 3673

Re: Retirement Planning with and w/o SS

I did my retirement saving and investing w/o SS in my plan. Now retired, but not collecting SS yet. Plan on waiting until 70 for that. SS will be additional vacation money, mad money, surprises, additional care money (if needed) and not having to withdraw out of Roth IRA. Will be able to at least leave IRAs to beneficiaries.
by desertbandit442
Fri Apr 18, 2014 9:44 am
Forum: Personal Finance (Not Investing)
Topic: SS Strategy Metric
Replies: 55
Views: 6611

Re: SS Strategy Metric

sscritic wrote:
desertbandit442 wrote:My metric is my wife. As long as we are married and she is alive, I will wait until 70. I will start collecting right away if she should pass before me.
Why? Didn't she ever work? When she dies, you can collect as her widower and delay your own to age 70, and get the best(?) of both worlds.
Her benefits are between 1/4 to 1/3 of mine.
by desertbandit442
Thu Apr 17, 2014 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: SS Strategy Metric
Replies: 55
Views: 6611

Re: SS Strategy Metric

My metric is my wife. As long as we are married and she is alive, I will wait until 70. I will start collecting right away if she should pass before me.
by desertbandit442
Sun Apr 13, 2014 2:04 pm
Forum: Personal Finance (Not Investing)
Topic: Wife to work as a Contractor - Advice needed
Replies: 30
Views: 3749

Re: Wife to work as a Contractor - Advice needed

This always worked for us, when my wife worked as an "independent contractor;" she put 50 percent of her earnings in a separate account to fund federal taxes, state taxes, self-employment taxes, and a SEP IRA. This always kept us out of any tax trouble/shortages and funded an IRA for her. Since you have no state income taxes in Texas, I would think setting aside 40-45 percent of her income for the year would cover her taxes and IRA.
by desertbandit442
Tue Feb 25, 2014 9:30 am
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

For those suggesting filing a dispute did anyone read the link to the Chicago Bar Associaton's Attorney Fee Dispute? http://www.chicagobar.org/AM/Template.cfm?Section=Attorney_Fee_Dispute_Assistance&Template=/CM/ContentDisplay.cfm&ContentID=2424 I'll save you the trouble: "If the Committee reviews the file and finds that your claims suggest illegal or unethical behavior involving your attorney's fees, the Committee will hold a hearing." As previously stated numerous times I can guarantee there has been nothing illegal or unethical done. Immoral, yes. Unnecessary, yes. And numerous other things that violate the code of decent human behavior but illegal or unethical? I highly doubt it from such a prestigious firm. And even ...
by desertbandit442
Sat Feb 22, 2014 10:47 am
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

I would not sign anything yet and take that 37 page document of transactions to an estate lawyer to look over and give you his/her take on if it seems reasonable. I don't think it should take more than an hour to go through and cost no more than $150 - $250 for the consult. The 37 page document is just transactions (Transaction Register). They are all things like selling a stock and transferring it to the cash reserve fund, paying the electric bill, etc. Those I know are legitimate. The Transaction Register includes "expenses" for the law firm. I still need to get the actual breakdown of these "expenses". OK, sounds like that should be your plan before you sign. That is a reasonable request on your part, to get a breakd...
by desertbandit442
Sat Feb 22, 2014 10:36 am
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

What I am not sure about, is if you are talking only about legal fees, or legal fees, executor fees and probate fees, or all those fees and costs to close the estate like paying off debts. Could you clarify what is involved in that 100,000 plus in expenses? From what I can tell the fees the executor and his firm are charging are for their work, legal fees. I believe they also would include executor fees and probate fees as I don't see those being deducted from the estate separately. It is a 37 page document of just transactions so I may have missed something. As mentioned all fees and costs associated with closing the estate are not included in the law firms/executor's fees. They were paid out of the estate/trust and I see all those transa...
by desertbandit442
Sat Feb 22, 2014 9:58 am
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

What I am not sure about, is if you are talking only about legal fees, or legal fees, executor fees and probate fees, or all those fees and costs to close the estate like paying off debts. Could you clarify what is involved in that 100,000 plus in expenses?
by desertbandit442
Fri Feb 21, 2014 11:47 pm
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

It's even worse than I thought. $101,349 in fees. I have an extremely sick wife in the hospital and a young son I am essentially raising alone, this is the last thing I need to deal with but I think I have to somehow. But I don't know where to even start. I am being pressured to sign papers to receive the distribution by Feb. 28 for tax reasons. By signing these papers I absolve the executor and the law firm of everything related to the estate. I don't think I should sign but like I said I don't know what to do. I don't even want to speak to my cousin as all previous correspondence (limited) has been unpleasant. But I will ask for a detailed breakdown of expenses. edit: I previously had asked for a breakdown of costs. They provided me with...
by desertbandit442
Fri Feb 21, 2014 5:41 pm
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

I don't know about specifying a fixed low executor fee. What if nobody wants to handle the duties responsibly for that amount? Here's an example. Years ago, a relative had a very large collection of buttons, and passed away. Her executor, her daughter, knew the buttons were collectible and had value at some level but knew nothing about them. She spent a couple hundred hours researching them, making contacts with people in the (very narrow) field, and sold them off through some direct sales and auction sales over about a year. She got $40,000 for the buttons due to her efforts. She told me that shortly after after her mom died, she was contacted by a collector who knew her mother asking if she wanted to sell the buttons and what the asking ...
by desertbandit442
Fri Feb 21, 2014 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: The Estate lawyer cost us big
Replies: 109
Views: 15294

Re: The Estate lawyer cost us big

There seems to be things getting crossed here in the post and some responses. There can be both legal fees and an executor fee in handling an estate. The executor fee alone may be up to 7 percent of the estate, in the state where I live, and then the legal fees are on top of that. Your cousin may be including the executor fee and legal fees in the cost the OP talked about. You should get a breakdown of the costs from your executor/cousin and I think a good part of that cost will be an executor fee alone. The fee may sound high to you, but what the executor did was probably perfectly legal. I don't think you should hold a grudge against your cousin/executor/lawyer, all wrapped up into one. This is an issue in drawing up your will and naming ...
by desertbandit442
Thu Jan 02, 2014 11:53 am
Forum: Personal Consumer Issues
Topic: The Funniest Movie Ever
Replies: 227
Views: 27989

Re: The Funniest Movie Ever

Steve Martin's The Jerk.
by desertbandit442
Mon Sep 02, 2013 11:17 am
Forum: Investing - Theory, News & General
Topic: Individual Stocks - Do you own any?
Replies: 97
Views: 10887

Re: Individual Stocks - Do you own any?

About 0.6% of my holdings in PFIZER, CISCO, and VALERO--just for fun. Rest of holdings in index funds. Individual stock holdings have outperformed index funds by double over 1 year and 3 year period, but like I said it is just for fun and I would never go over 1.0% of holdings in individual stocks. I go to Vegas too every 3 or 4 years, just for fun.
by desertbandit442
Mon Sep 02, 2013 10:53 am
Forum: Personal Finance (Not Investing)
Topic: What Personal Finance Magazines do you read?
Replies: 60
Views: 7467

Re: What Personal Finance Magazines do you read?

Money and Kiplinger. If I had to choose one, I would stay with Kiplinger.