Search found 788 matches

by worthit
Fri Mar 24, 2023 3:21 pm
Forum: Investing - Theory, News & General
Topic: I don't have to worry about living past 80, even if I retire at 46 with just 23X
Replies: 71
Views: 4822

Re: I don't have to worry about living past 80, even if I retire at 46 with just 23X

Retiring at 46, my social security benefit at 70 will be 35K , which covers 65% of my spending. Where are you getting this estimate? I ask because as I remember the standard number provided by SS assumes you will continue working until FRA at your current compensation and you need to use one of the calculators for accurate early retirement estimates. Good point, but I do have it covered. Social Security's formula is public and I have gotten all my historical earnings from their website. I built out a social security calculator in excel and it gives me my Soc Sec numbers at any point in the future. I have compared my calculated results to other 3rd party calculators and my results seem accurate. Social Security has a calculator on their own...
by worthit
Sat Mar 18, 2023 4:19 pm
Forum: Personal Finance (Not Investing)
Topic: Need help with 1099-R entries for removal of excess after-tax contribution
Replies: 9
Views: 565

Re: Need help with 1099-R entries for removal of excess after-tax contribution

I'm not an expert, but I just don't buy it. If I made an IRA contribution to an account at Vanguard, subsequently rolled it over to an account at Schwab, and then asked Schwab for a return of excess contributions, I would get a 1099 from Schwab but I would never hear from Vanguard. The contributions have been removed, it's been reported to the IRS, why does it need to be reported by two parties? Thanks for responding. Interesting. But perusing all the forums and reading about it, my understanding is that as the administrator I would need to capture the contribution into the after-tax sub account on a 1099 with a code P since the money was moved from an after-tax account into a Roth. This is what I am looking to find out from the forum here...
by worthit
Sat Mar 18, 2023 2:36 pm
Forum: Personal Finance (Not Investing)
Topic: Need help with 1099-R entries for removal of excess after-tax contribution
Replies: 9
Views: 565

Re: Need help with 1099-R entries for removal of excess after-tax contribution

I'm not an expert, but I just don't buy it. If I made an IRA contribution to an account at Vanguard, subsequently rolled it over to an account at Schwab, and then asked Schwab for a return of excess contributions, I would get a 1099 from Schwab but I would never hear from Vanguard. The contributions have been removed, it's been reported to the IRS, why does it need to be reported by two parties? Thanks for responding. Interesting. But perusing all the forums and reading about it, my understanding is that as the administrator I would need to capture the contribution into the after-tax sub account on a 1099 with a code P since the money was moved from an after-tax account into a Roth. This is what I am looking to find out from the forum here...
by worthit
Sat Mar 18, 2023 11:05 am
Forum: Personal Finance (Not Investing)
Topic: 401(k) Corrective Distribution due to ADP Test Failure
Replies: 15
Views: 867

Re: 401(k) Corrective Distribution due to ADP Test Failure

OP, this happened to me few years ago and I received a communicaton from from the HR/administrator starting that I need to report the income on my tax return and that is what I did if I recall. Nothing too complicated. So you may want to check with your HR/administrator.
by worthit
Sat Mar 18, 2023 10:59 am
Forum: Personal Finance (Not Investing)
Topic: Need help with 1099-R entries for removal of excess after-tax contribution
Replies: 9
Views: 565

Re: Need help with 1099-R entries for removal of excess after-tax contribution

I'm not an expert, but I just don't buy it. If I made an IRA contribution to an account at Vanguard, subsequently rolled it over to an account at Schwab, and then asked Schwab for a return of excess contributions, I would get a 1099 from Schwab but I would never hear from Vanguard. The contributions have been removed, it's been reported to the IRS, why does it need to be reported by two parties? Thanks for responding. Interesting. But perusing all the forums and reading about it, my understanding is that as the administrator I would need to capture the contribution into the after-tax sub account on a 1099 with a code P since the money was moved from an after-tax account into a Roth. This is what I am looking to find out from the forum here...
by worthit
Fri Mar 17, 2023 7:51 pm
Forum: Personal Finance (Not Investing)
Topic: Need help with 1099-R entries for removal of excess after-tax contribution
Replies: 9
Views: 565

Re: Need help with 1099-R entries for removal of excess after-tax contribution

Thanks. My responses are in red. I am looking for confirmation that my entries are correct for the 1099-R I am generating. 1. I contributed $20647 into the after- tax sub account in December 2021. Are you self-employed or W-2? This is for a solo 401k for which I am the administrator 2. Rolled over into a Roth IRA subsequenty. 3. Removed the execss in July 2022 and received a 1099 in January 2023 with $16443.20 in Box 1 (there was a loss of $4204.80) with a code of PJ in Box 7 from the custodian. What excess? Did you contribute to the after-tax account when you didn't have enough income to do so or did you go over the $58,000 limit? Didn't have enough income 4. But now I need to generate a 1099-R for the excess contribution as the administra...
by worthit
Fri Mar 17, 2023 4:18 pm
Forum: Personal Finance (Not Investing)
Topic: Need help with 1099-R entries for removal of excess after-tax contribution
Replies: 9
Views: 565

Need help with 1099-R entries for removal of excess after-tax contribution

Hello BHs:

I am looking for confirmation that my entries are correct for the 1099-R I am generating.

1. I contributed $20647 into the after- tax sub account in December 2021.

2. Rolled over into a Roth IRA subsequenty.

3. Removed the execss in July 2022 and received a 1099 in January 2023 with $16443.20 in Box 1 (there was a loss of $4204.80) with a code of PJ in Box 7 from the custodian.

4. But now I need to generate a 1099-R for the excess contribution as the administrator as I understand.

So here is what I am thinking as entries for the 1099-R I am generating:

Box 1 = $20647
Box 2a = $0
Box 2b = $0
Box 3 = $0
Box 4 = $0
Box 5= $20647
Box 6 = $0
Box 7 = P
IRA/SEP/SIMPLE - Unckecked

Is this correct?

Thanks.
by worthit
Fri Mar 17, 2023 9:36 am
Forum: Personal Finance (Not Investing)
Topic: Can someone explain capital loss deductions please?
Replies: 7
Views: 697

Re: Can someone explain capital loss deductions please?

Hello BHs: Here are the numbers: 2018 capital loss = $5306 (so carry over $3000) capital gains = $0 2019 capital loss = $13726 (so carry over $3000) capital gains = $0 2020 capital loss = $23473 (so carry over $3000) capital gains = $0 No, you use $3000 (against regular income) and carry over $2306 in 2018, 10726 in 2019, 20473 in 2020 At this point, I had $33,505 total capital loss to carry over in future years. Yes, despite your incorrect wording with each year, your number is correct. 2021 capital loss = $462 capital gains = $66834 So I sustract $462 from $33,505 = $33,043 which is the total carry over loss to be applied in future years. No, why would you subtract a loss from a loss? However since I had capital gains of $66,834 in 2021,...
by worthit
Wed Mar 15, 2023 12:18 pm
Forum: Personal Finance (Not Investing)
Topic: Can someone explain capital loss deductions please?
Replies: 7
Views: 697

Re: Can someone explain capital loss deductions please?

MP123 wrote: Wed Mar 15, 2023 12:01 pm
worthit wrote: Wed Mar 15, 2023 11:35 am At this point, I had $33,505 total capital loss to carry over in future years.

2021 capital loss = $462
capital gains = $66834
So, for 2021 you would have $66834-$462-$33,505 = $32867 in remaining taxable capital gains. There would be no remaining loss to carry forward to 2022.

You would find the $33,505 carry forward loss applied on 2021 1040 Sch D line 6 or 14 depending on short or long term.
Thanks MP123.

Now, if have a cpaital loss of $5000 in 2022, I can deduct $3000 towards this, right?
by worthit
Wed Mar 15, 2023 11:35 am
Forum: Personal Finance (Not Investing)
Topic: Can someone explain capital loss deductions please?
Replies: 7
Views: 697

Can someone explain capital loss deductions please?

Hello BHs: Here are the numbers: 2018 capital loss = $5306 (so carry over $3000) capital gains = $0 2019 capital loss = $13726 (so carry over $3000) capital gains = $0 2020 capital loss = $23473 (so carry over $3000) capital gains = $0 At this point, I had $33,505 total capital loss to carry over in future years. 2021 capital loss = $462 capital gains = $66834 So I sustract $462 from $33,505 = $33,043 which is the total carry over loss to be applied in future years. However since I had capital gains of $66,834 in 2021, all the carry over losses accumulated to date ($33,043) are wiped out for future years, correct? Does this mean that I still have to pay taxes on the remaining capital gains of $33,791 in 2022 or has it been applied to the 20...
by worthit
Tue Mar 14, 2023 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Where do I find Schedule 3 line 10 on my tax return?
Replies: 9
Views: 850

Re: Where do I find Schedule 3 line 10 on my tax return?

OP here. Thanks all.

As an update, I was able to locate the over-contribution amount in the transcript.

A follow-up question now if some one can help me figure this - do the transcripts capture after-tax contributions? I see backdoor roth contributions and the amounts reflected.

I was under the impression the transcripts would capture all the non-deductible contributions. Is it not the case?

Thanks.
by worthit
Tue Mar 14, 2023 1:04 pm
Forum: Personal Finance (Not Investing)
Topic: Help with 2023 After Tax Contribution Limit Calculations
Replies: 8
Views: 543

Re: Help with 2023 After Tax Contribution Limit Calculations

Thanks all for responding. My employe (mega corp) does allow after-tax contributions and they are ACP tested as far as I understand. So not worried even if it fails on a rare occasion. I will get my funds back. Correct. I also try to fill $73,500 within 1% of my base salary. What do you mean by within 1% of your base salary? Can you clarify please? Thanks. Have you looked into how this may affect the matching at your employer? Also, some plans require you to stop contribute for a period after any rollover, so double check on that, as well. Thanks Sailaway. Yes, I have. Only match is for pre-tax. I have a checkin scheduled by the middle of the year from the administrator to make sure I don't over contribute. I am expecting a modest pay rais...
by worthit
Tue Mar 14, 2023 10:05 am
Forum: Personal Finance (Not Investing)
Topic: Help with 2023 After Tax Contribution Limit Calculations
Replies: 8
Views: 543

Re: Help with 2023 After Tax Contribution Limit Calculations

8301 wrote: Tue Mar 14, 2023 9:34 am
worthit wrote: Tue Mar 14, 2023 9:26 am Thanks all for responding.

My employe (mega corp) does allow after-tax contributions and they are ACP tested as far as I understand. So not worried even if it fails on a rare occasion. I will get my funds back.
8301 wrote: Mon Mar 13, 2023 11:40 pm Correct. I also try to fill $73,500 within 1% of my base salary.
What do you mean by within 1% of your base salary? Can you clarify please?

Thanks.
All the contributions from me and employer may be integer multiples of my biweekly base pay. If it is $1,000, then the allowed contributions will be $10, $20, $30,..., but not $21 or 22, ...
Got it. thanks.
by worthit
Tue Mar 14, 2023 9:26 am
Forum: Personal Finance (Not Investing)
Topic: Help with 2023 After Tax Contribution Limit Calculations
Replies: 8
Views: 543

Re: Help with 2023 After Tax Contribution Limit Calculations

Thanks all for responding.

My employe (mega corp) does allow after-tax contributions and they are ACP tested as far as I understand. So not worried even if it fails on a rare occasion. I will get my funds back.
8301 wrote: Mon Mar 13, 2023 11:40 pm Correct. I also try to fill $73,500 within 1% of my base salary.
What do you mean by within 1% of your base salary? Can you clarify please?

Thanks.
by worthit
Mon Mar 13, 2023 9:59 pm
Forum: Personal Finance (Not Investing)
Topic: Help with 2023 After Tax Contribution Limit Calculations
Replies: 8
Views: 543

Help with 2023 After Tax Contribution Limit Calculations

Helo BHs: I contribute the max of $30,000 to the pretax 401k (over 50 years old). My employer matches 100% of the first 3% and 50% of the next 3% approximating $12,000/annually. This means I can contribute a maximum of $31,500 right? Just want to make sure before I make any changes to my contributions. Also, not interested in contributing to a Roth 401K. All the after-tax contributions expected to go into a Roth IRA through an in-plan Roth rollover. This is my understanding basd on this article (see link). https://www.forbes.com/advisor/retirement/after-tax-401k contributions/#:~:text=2023%20After%2DTax%20401(k)%20Contribution%20Limits&text=The%20total%20401(k)%20contribution,pre%2Dtax%20limit%20of%20%2420%2C500. Americans who are age 5...
by worthit
Mon Mar 13, 2023 11:15 am
Forum: Personal Finance (Not Investing)
Topic: Where do I find Schedule 3 line 10 on my tax return?
Replies: 9
Views: 850

Re: Where do I find Schedule 3 line 10 on my tax return?

MrJedi wrote: Mon Mar 13, 2023 11:07 am Did the IRS correct your return at all? No

How much estimated tax did you pay in 2021? $1875

Did you file an extension and make an extension payment for tax year 2021? No
Thank you.
Hyperchicken wrote: Mon Mar 13, 2023 11:11 am Another idea: get return transcripts and check them.

They go line by line and everything is in there. There's also lines per your return and per IRS' calculations, so you can compare.

You can order transcripts online and receive them either by paper mail (easier to order, does not require an account) or download a PDF (requires account set up).
Thanks HC. I am going to do that. I already have an account with them.
by worthit
Mon Mar 13, 2023 10:55 am
Forum: Personal Finance (Not Investing)
Topic: Where do I find Schedule 3 line 10 on my tax return?
Replies: 9
Views: 850

Re: Where do I find Schedule 3 line 10 on my tax return?

Thanks all for responding. I dug deeper and now have evidence that I did over pay taxes in 2020.

However,

1. I don't have a SCH 3 in my 2021 tax returns. I only see a SCH 1 and SCH 2 populated. I converted them directly as a pdf when I filed last year.

2. The 2020 tax returns that was done by my CPA has the SCH 3 but with none of these numbers. But his short summary does capture that we overpaid.

But what I am struggling with this the following statement from the IRS which doesn't appear in either of the tax returns.

Estimated tax payments, Form 1040 line 26, SCH 3line 10 - $44,395.
by worthit
Sat Mar 11, 2023 10:09 am
Forum: Personal Finance (Not Investing)
Topic: Where do I find Schedule 3 line 10 on my tax return?
Replies: 9
Views: 850

Where do I find Schedule 3 line 10 on my tax return?

Hello BHs:

I received a tax refund of $1875 in 2022. The accompanying IRS letter states that this was the credit applied from another tax year. I assumed it was from 2020 as an amount of $1270 was over paid per our records in 2020.

The letter has the following in the description:

Estimated tax payments, Form 1040 line 26, SCH 3line 10 - $44,395.
For some reason, I am unable to reconclile this amount. I am not able to locate SCH 3 line 10 both in 2020 and 2021 tax returns.

This is what I have in my 1040 line 26 of my 2021 tax return - Estimated tax payments and amount applied from 2020 return - $42,520.

I did 2021 my taxes using TT if that matters.

Thanks.
by worthit
Fri Mar 10, 2023 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: Quitting without 2 weeks notice or a new job
Replies: 116
Views: 11368

Re: Quitting without 2 weeks notice or a new job

OP, Sorry your wife is going through this. What stuck me the most from your post is this.... Her mental health is in a really bad place I will NEVER trade my health for anything espcecially for a job that treats me badly. I am out the minute I sense a decline in my health and all the norms go out the door for me. Not "worthit" in my book. Best wishes. His wife can take back control. She's ready to quit. As I wrote in my early post, work as if she doesn't care. And why does she care? She's not the owner. Do just 40 hours as others have suggested. It is a mindset. Once she refuses to let them control her and knows that she can just walk away, it can be very freeing. We are not sure if she even has the "mind set" given the...
by worthit
Fri Mar 10, 2023 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: Quitting without 2 weeks notice or a new job
Replies: 116
Views: 11368

Re: Quitting without 2 weeks notice or a new job

OP,

Sorry your wife is going through this.

What stuck me the most from your post is this.... Her mental health is in a really bad place

I will NEVER trade my health for anything espcecially for a job that treats me badly. I am out the minute I sense a decline in my health and all the norms go out the door for me. Not "worthit" in my book.

Best wishes.
by worthit
Thu Mar 09, 2023 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Planning to use Turbo Tax full service option - any feedback?
Replies: 2
Views: 246

Re: Planning to use Turbo Tax full service option - any feedback?

Thanks, Pitgoras. Sounds like the $189 option should do it.
by worthit
Thu Mar 09, 2023 8:55 am
Forum: Personal Finance (Not Investing)
Topic: Planning to use Turbo Tax full service option - any feedback?
Replies: 2
Views: 246

Planning to use Turbo Tax full service option - any feedback?

Hello BHs: I have a w2 and small 1099 job on the side. Last year for the first time I filed my taxes using TT. As I am doing my taxes this year I realize that I might have made some errors as I did a compare. For example, I overstated the property taxes (I live in a region with a SALT cap) and failed to choose "yes" to the question of Roth roll-over (was the money rolled over into a Roth) during the Q&A involving retirement contributions. Not sure if I have to amend my 2021 taxes as a result of this. Given that I am still learning and made such errors, I am considering using their full service option for $389 so at least there is some one competent to eye ball the returns. Has anyone here used them? The reviews online are all ...
by worthit
Wed Mar 08, 2023 2:49 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Also keep in mind that not all salary gets taxed. HSA contributions, medical insurance premiums, (is there anything else?) don't count for either SS or Medicare. That is "box 5" on the W2 may be less than what you were actually paid. Thank you, neurosphere. So in essence none of the pre-tax money gets taxed for SS and medicare. Is that a fair understanding? NO. Only certain types of pre-tax income is free from one or both of SS/Medicare, often referred to collectively as "FICA" . For example, pre-tax retirement account contributions decrease taxable wages (box 1) but not box 3 and 5. Also "sscritic" (an expert on many things and who communicates with a few users via email) suggested you/others look at Publicat...
by worthit
Wed Mar 08, 2023 1:26 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Thank you. Yes, I saw 0.9235 on the SE form line 5b. I am just curious, what does this mean and why this formula is being used? This is only my 2nd year doing my taxes using TT and I am trying to learn all about my pay stub, SS, taxes etc. Hence all this confusion and awkward questions. 92.35% is there to level the field between W-2 and 1099 earners. For example, if as a W-2 employee I earn $10,000, I pay 7.65% * 10000 = $765 in employee's half of payroll tax, and employer pays $765 in employer's half of payroll tax. Now if I am self-employed, and I make $10,765, and I pay both employee's and employer's halves, I want these halves to be calculated as 7.65% of $10,000, not 7.65% of $10,765. Schedule SE approximates this math by multiplying ...
by worthit
Wed Mar 08, 2023 1:03 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

neurosphere wrote: Wed Mar 08, 2023 12:29 pm Also keep in mind that not all salary gets taxed. HSA contributions, medical insurance premiums, (is there anything else?) don't count for either SS or Medicare. That is "box 5" on the W2 may be less than what you were actually paid.
Thank you, neurosphere. So in essence none of the pre-tax money gets taxed for SS and medicare. Is that a fair understanding?
by worthit
Wed Mar 08, 2023 1:02 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Hyperchicken wrote: Wed Mar 08, 2023 12:14 pm
worthit wrote: Wed Mar 08, 2023 12:11 pm Thanks. As you can tell, I am far from an expert. So apologies if i framed the title incorrectly.

Box 5 = $256, 076.50

Line 6 on SE = $40,549

This totals to $296,625.
No worries! We're all learning something every day.

Answering your other question - take a look at schedule SE. It has 92.35% coefficient before you calculate your SE taxes.

43908 * 0.9235 = 40549

This matches your numbers.
Thank you.

Yes, I saw 0.9235 on the SE form line 5b.

I am just curious, what does this mean and why this formula is being used?

This is only my 2nd year doing my taxes using TT and I am trying to learn all about my pay stub, SS, taxes etc. Hence all this confusion and awkward questions.
by worthit
Wed Mar 08, 2023 12:11 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Hyperchicken wrote: Wed Mar 08, 2023 11:59 am
worthit wrote: Wed Mar 08, 2023 11:23 am [...]
Column 3 = Earnings Taxed for Medicare - $296,625

W2 reported income = $230,076
Sch C - Gross = $54,235 Net = $43908
That's the opposite of what the title says.

$296,625 > $230,076 + $43,908

Are you seeing $230k in box 1 of your W-2 by any chance? Box 1 does not include your pre-tax 401(k) contribution, but that amount is still subject to Social Security and Medicare taxes.

Traditional 401(k) is pre-income tax but post-payroll tax. As posted above, box 5 is the one to look at.
Thanks. As you can tell, I am far from an expert. So apologies if i framed the title incorrectly.

Box 5 = $256, 076.50

Line 6 on SE = $40,549

This totals to $296,625.
by worthit
Wed Mar 08, 2023 12:05 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Thank you all for responding. To answer some of your questions: 1. Yes, I have had business income and also deductions every year including solo 401k contributions and expenses. So there is always a difference between the gross income and the net income. 2. For year 2021 there are 3 columns on the SSA statement Column 1 = Work year - 2021 Columns 2 = Earnings Taxed for Social Security - $142,000 Column 3 = Earnings Taxed for Medicare - $296,625 W2 reported income = $230,076 Sch C - Gross = $54,235 Net = $43908 $142,000 was the maximum amount of wages that were subject to SS tax for 2021. So that's fine. For medicare, look at Box 5 to see your earnings subject to Medicare from regular employment. For self-employment go to schedule SE and lo...
by worthit
Wed Mar 08, 2023 11:23 am
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

Thank you all for responding. To answer some of your questions:

1. Yes, I have had business income and also deductions every year including solo 401k contributions and expenses. So there is always a difference between the gross income and the net income.

2. For year 2021 there are 3 columns on the SSA statement

Column 1 = Work year - 2021
Columns 2 = Earnings Taxed for Social Security - $142,000
Column 3 = Earnings Taxed for Medicare - $296,625

W2 reported income = $230,076
Sch C - Gross = $54,235 Net = $43908
by worthit
Tue Mar 07, 2023 9:32 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

JoMoney wrote: Tue Mar 07, 2023 9:24 pm
worthit wrote: Tue Mar 07, 2023 9:20 pm... What i see are numbers like $130,000, $120,000 etc.
For what year(s) ?
Were those numbers the maximum amount subject to SS for those years?
https://www.ssa.gov/OACT/COLA/cbb.html
Thanks.

I just started looking closely and it goes back from 2021 to 2013 which is when I started my 1099 job. The numbers I am referring to are under the 3rd column "Earnings Taxed for Medicare (began 1966) on my social security statement. 1st column captures the years and the 2nd column captures Earnings Taxed for Social Security. which I understand has a maximum.
by worthit
Tue Mar 07, 2023 9:20 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Re: Earnings record from SSA doesn't capture 1099 income. Why?

neurosphere wrote: Tue Mar 07, 2023 9:16 pm If you report 1099 income on schedule C, the profits get reported to SS after you file your taxes with the IRS.

For what tax years is your schedule C profits missing? Did you file tax returns for those years? Do you know if your returns for those years were accepted/received by the IRS?
Thanks.

Yes, all the 1099 goes through schedule C.

For example let us say I made $100,000 in my W2 job and $50,000 in my 1099 job, shouldn't the SS capture $150,000 for a given year? What i see are numbers like $130,000, $120,000 etc.
by worthit
Tue Mar 07, 2023 9:11 pm
Forum: Personal Finance (Not Investing)
Topic: Earnings record from SSA doesn't capture 1099 income. Why?
Replies: 20
Views: 1509

Earnings record from SSA doesn't capture 1099 income. Why?

Hello BHs:

I logged into my ssa.gov account to check on my earnings to date history. I noticed that the taxed medicare earnings doesnt capure all the income earned. Is the amount captured after deductions? Where is the income from 1099 captured?

I was under the impression that all the income you report on your taxes eventually is recorded and taken into account for determing social security. Wouldn't SSA require this 1099 income information as well?

TIA.
by worthit
Fri Mar 03, 2023 9:42 am
Forum: Personal Consumer Issues
Topic: Can We Afford a Disney Cruise for Our 50th Birthdays?
Replies: 80
Views: 7296

Re: Can We Afford a Disney Cruise for Our 50th Birthdays?

Ron,

You are one of the most conscientious BH advocates on this board. Given your discipline, NW and service, I think you deserve to take this trip with your family.

Reaching 50 years is an accomplishment in my book, and after 50 you may find that your body is not interested in cooperating with you as much as you would like it to especially when it comes to travel (ask me how I know :oops:).

I would say after one reaches a reasonably stable financial goal/stage in one's life (which you have), "making memories" should supercede "making money". So don't even think twice.

Just do it.
by worthit
Fri Mar 03, 2023 9:25 am
Forum: Personal Consumer Issues
Topic: Guided Tours in London and Paris
Replies: 18
Views: 1145

Re: Guided Tours in London and Paris

We are planning to visit London and Paris in July and wanted to visit: - Westminister Abbey - Eiffel Tower - Palace and Gardens at Versailles - Louvre Museum Would you recommend booking just tickets in advance where possible (so we have smaller lines or can skip lines), or would you also recommend we book a guided tour for any of these? And if booking a tour, any recommendations for which ones to book? We are 2 adults, 2 teens; looking to spend say 3-4 hours at each of the places listed above, if that helps. Want to keep this reasonably priced (so say our entire 'guided tour budget for 4, for this trip' is $500-$1000 or so) P.S: we also have Tower of London on the list (with the Yeoman led tours) and Buckingham Palace (likely just watch th...
by worthit
Wed Mar 01, 2023 11:58 am
Forum: Personal Finance (Not Investing)
Topic: Did you take Social Security before 70 and not regret the decision?
Replies: 160
Views: 9785

Re: Did you take Social Security before 70 and not regret the decision?

I was in the “special” position of having two children who would receive benefits if I filed at 62. I have no regrets. My wife will file at age 70. She is/was the higher earner. I'm in this category. Now the younger kid is soon to graduate high school, at which point the benefit for him ends. It's been a nice run. Along the way, there were the extra benefits during Covid, etc. No regrets (yet), although sometimes I wonder, if that's a regret. (In the past, this benefit remained through college. Those were the good old days!) Anyway, without spending it, this benefit has resulted in an accumulation of about $150,000, in round numbers. Not sure about whether to put it into his college education, or buy an annuity, the proceeds from which can...
by worthit
Wed Mar 01, 2023 10:06 am
Forum: Personal Finance (Not Investing)
Topic: Did you take Social Security before 70 and not regret the decision?
Replies: 160
Views: 9785

Re: Did you take Social Security before 70 and not regret the decision?

I was in the “special” position of having two children who would receive benefits if I filed at 62. I have no regrets. My wife will file at age 70. She is/was the higher earner. I'm in this category. Now the younger kid is soon to graduate high school, at which point the benefit for him ends. It's been a nice run. Along the way, there were the extra benefits during Covid, etc. No regrets (yet), although sometimes I wonder, if that's a regret. (In the past, this benefit remained through college. Those were the good old days!) Anyway, without spending it, this benefit has resulted in an accumulation of about $150,000, in round numbers. Not sure about whether to put it into his college education, or buy an annuity, the proceeds from which can...
by worthit
Tue Feb 28, 2023 1:21 pm
Forum: Personal Finance (Not Investing)
Topic: Schwab debit card fraud (that I've never used!)
Replies: 40
Views: 2926

Re: Schwab debit card fraud (that I've never used!)

boater07 wrote: Tue Feb 28, 2023 11:50 am
cowdoguote wrote:
Many banks will give you an ATM card upon request in lieu of a debit card. I have an ATM card for our bank accounts--rarely use it--probably less than once a year.
Didn't know there was a difference. Both of my banks gave me a debit card that I only use to access account.
I guess I need to ask them to change it :annoyed
So does Schwab have the option of issuing just the ATM card? I just opened up an account with CS today as I have an overseas trip planned in an month and want to have an ATM handy. This makes me pause now.
by worthit
Mon Feb 27, 2023 10:40 am
Forum: Personal Finance (Not Investing)
Topic: Quick financial health check - considering taking time off
Replies: 27
Views: 1812

Re: Quick financial health check - considering taking time off

Freeadvice wrote: Mon Feb 27, 2023 10:04 am Quiet quit
+1.

p.s. I would do it ASAP if it were me as my health is more important for me than my bank balance.

Best wishes to you,
by worthit
Mon Feb 27, 2023 9:46 am
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

I don't know details but I'm going to guess that this redistricting was an attempt to balance out the HS in the district, that can be really tough for the first few cohorts but usually the "lesser" school ends up better off. Similar things happen to districts near me . My point with all this is that your property value may be immediately impacted by now being zoned for the lesser school, but 5 years from now it might not be considered the lesser school. Thanks. You are correct, the redistircting was (apparently) to balance the HS. But it ended up affecting a particular cohort/geography thereby resulting in kids moving to a HS with a lower score in pretty much every discipline. As you rightly surmised, the house prices are going t...
by worthit
Mon Feb 27, 2023 9:38 am
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

So we have the following choices and financially able to afford: 1. Send him to the newly assigned public school (financially, no cost) 2. Send him to a more competitive public school (financially, 40,000/year as we have to move and perhaps rent for 4 years) 3. Send him to a private school (financially, 40,000/year without moving) 4. Send him to a more competitive public school without moving, for no cost. You should investigate #4. From what you’ve written so far, it appears you haven’t even tried yet. Sorry, I should have been more clearer. This has been looked into. The redistricting happened (apparently) due to over-crowding and the administration is not entertaining any such requests. This has been very political and I rather not expa...
by worthit
Sun Feb 26, 2023 2:49 pm
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

Thanks all for continuing to respond. A couple of other comments for the OP: 2 - While the cost of $40,000 a year was mentioned, the affordability of the private school tuition was not. If you have a high net worth, the HS tuition might be just a drop in the bucket and well worth it. If you have a low net worth, you might be better off saving the $160,000 for the cost of college tuition. Thanks. Yes we are able to afford the $160K. I don't want to focus on the $$$ for this question, as that will mudddy the whole conversation IMHO. Move to the better district and make it your bona fide residence. Rent out your current house to offset the cost. This is less expensive than the private school option. Thanks. Not out of the question as it might ...
by worthit
Sun Feb 26, 2023 9:47 am
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

Saying a student is interested in music doesn’t mean they’d be ok only taking lessons outside of school. That’s like saying you can throw a football with your friend in the backyard so why join the team… It doesn't just have to be lessons. You can join an ensemble, if that's where you're at. A good school music program provides things not available elsewhere, such as concert band, marching band, and symphony orchestra. Been there done that. My children too. Thanks. You are correct. Our son is both in the concert band and symphony orchestra. He not only wants to continue but want to excel. He is inherently interested and we just want to enable that for him. Actually, even though our students were not involved in music by HS, it was overhear...
by worthit
Sun Feb 26, 2023 9:38 am
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

Arabesque wrote: Sat Feb 25, 2023 8:12 pm We lived in the best school district in the area. I found it a lot of hype. I hadn’t planned it, but through a series of happenstances, my children wound up at a private prep school. I couldn’t have been happier with their accomplishments.

One went to HYPS. The other pushed her way through a heavy math major despite not being very mathy. She knew all about push and perseverance from prep school.

Both toured several schools, but picked the same high school. I suspect your son will tell you where he is happiest.
Thank you. Touring the schools are on our to do list.
by worthit
Sun Feb 26, 2023 9:35 am
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

I assume they are asking if there is an "open enrollment" type policy that allows you a "choice" of public schools. Not all areas of the country allow this. For many, your only option is "your" assigned public school or a private school option (often at "full" cost - as few places allow the public dollars to "follow" your child to enable "choice"). Conversely, you might be "on a border" and/or if the borders were recently "redrawn", you might have some flexibility that others don't have given your specific location/timing. Thanks SnowBog. No, we need to move as we are not districted to the competitive schools. Can you move to the district with the more academic...
by worthit
Sat Feb 25, 2023 10:38 pm
Forum: Personal Finance (Not Investing)
Topic: job loss in sight
Replies: 62
Views: 7065

Re: job loss in sight

KlangFool wrote: Sat Feb 25, 2023 5:46 pm
Beensabu wrote: Sat Feb 25, 2023 5:36 pm In the future, don't disclose your personal business to your boss, whether physical or emotional. You are not a person to them. Don't do it.
+1,000.

KlangFool
+2,000
by worthit
Sat Feb 25, 2023 10:31 pm
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

sport wrote: Sat Feb 25, 2023 10:23 pm
Beensabu wrote: Sat Feb 25, 2023 9:27 pm
gtrplayer wrote: Sat Feb 25, 2023 9:16 pm Saying a student is interested in music doesn’t mean they’d be ok only taking lessons outside of school. That’s like saying you can throw a football with your friend in the backyard so why join the team…
It doesn't just have to be lessons. You can join an ensemble, if that's where you're at.
A good school music program provides things not available elsewhere, such as concert band, marching band, and symphony orchestra. Been there done that. My children too.
Thanks. You are correct.

Our son is both in the concert band and symphony orchestra. He not only wants to continue but want to excel. He is inherently interested and we just want to enable that for him.
by worthit
Sat Feb 25, 2023 10:21 pm
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

The overall school academic performance doesn't matter. What matters are the course options for students at a similar level to your child. If there are no students at a similar level to your child, don't choose it. Also the overall sports strength doesn't matter. What matters is if they have the sport(s) your child wants to play, if your child can make the team, and if the level of the team is good enough for your child. Music can be continued outside of school although of course it is convenient if it can fit in the school day. Are there four years of challenging math with decent instruction and classmates at each school? Depending on where he’s from, music in schools can be just as competitive, if not more, than sports. Band competitions...
by worthit
Sat Feb 25, 2023 10:12 pm
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

Thanks to everyone who is responding. I will try to respond to a few here. One of the most important thing for him and us is to make sure he continues to cultivate his interest in music. Is it maybe less expensive to put him in an extra curricular music program outside of school? And even extra curricular academics if the current public option turns out to be not challenging enough for his interests/abilities? That plus making top percentile at a less challenging school plus being a social butterfly that can survive in any environment is... kind of ideal? Thank you. We considered this as well. We live in a HCOL and everyone else pretty much has similar backgrounds and so can spend the extra $$$ to supplement their child's education. That is...
by worthit
Sat Feb 25, 2023 9:53 pm
Forum: Personal Consumer Issues
Topic: High school choice dilemma
Replies: 78
Views: 4685

Re: High school choice dilemma

HS science teacher here. I have taught regular and AP science classes at a variety of public schools from very high achieving schools in affluent areas, to lower achieving schools in more modest and diverse areas. I also have 3 kids. And we paid what was necessary to live within the highest-achieving school district in both Texas and Washington (we have lived and worked in both states) My thoughts on the topic are as follows: 1. High-achieving kids will basically be fine in any setting. As long as we are talking about large enough schools you will have a group of high achieving kids moving from AP class to AP class together at both the lower and higher achieving schools. In fact some of my brightest groups of students have been at lower ac...