Search found 6632 matches

by pshonore
Wed Apr 24, 2019 8:28 am
Forum: Personal Finance (Not Investing)
Topic: Adjusted basis in a partnership
Replies: 9
Views: 422

Re: Adjusted basis in a partnership

Note those suspended losses should have reduced your basis (and therefore increased your gain on sale). That normally be a wash with the suspended losses. My point is using the suspended losses without reducing basis may be understating your gain. Don't the partners instructions/sales info show your...
by pshonore
Tue Apr 23, 2019 3:35 pm
Forum: Personal Investments
Topic: What are the ways a solo business owner can put money into retirement?
Replies: 14
Views: 792

Re: What are the ways a solo business owner can put money into retirement?

Note the contribution limits for self employed are limited to net profit less 1/2 of SS. A person making 10K of profit can contribute $9293 to a Solo401K
by pshonore
Tue Apr 23, 2019 1:33 pm
Forum: Personal Finance (Not Investing)
Topic: Underassessment by County Assessor
Replies: 29
Views: 1638

Re: Underassessment by County Assessor

Years ago, prior to selling my first home, I went in to the county assessor office and provided documentation that my home was larger than they had on record. I wanted the true details of the house to be public (even at the cost of higher taxes) so that the value was estimated higher on Zillow. Tha...
by pshonore
Tue Apr 23, 2019 1:20 pm
Forum: Personal Consumer Issues
Topic: Amazon Returns accepted at Kohl's Dept. Stores...
Replies: 26
Views: 2114

Re: Amazon Returns accepted at Kohl's Dept. Stores...

Returning Amazon items at Kohl's is much easier than dropping them off at UPS. If you return at Kohl's, you don't have to print a return mailing label or even package your item for shipping. You can just walk in with an unwrapped, unboxed item and drop it off. At least that's the way it is at the K...
by pshonore
Tue Apr 23, 2019 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Adjusted basis in a partnership
Replies: 9
Views: 422

Re: Adjusted basis in a partnership

MikeRM wrote:
Tue Apr 23, 2019 9:21 am
That's a great point...do you have a point of view on whether the sale price should actually be 38,500, or whether I should exclude the 38,500 from reducing my basis?
Does the distribution actually show up in Box 19A of the K1? What are the numbers in the Capital Account block - Section L?
by pshonore
Tue Apr 23, 2019 9:18 am
Forum: Personal Finance (Not Investing)
Topic: Underassessment by County Assessor
Replies: 29
Views: 1638

Re: Underassessment by County Assessor

Years ago, prior to selling my first home, I went in to the county assessor office and provided documentation that my home was larger than they had on record. I wanted the true details of the house to be public (even at the cost of higher taxes) so that the value was estimated higher on Zillow. Tha...
by pshonore
Tue Apr 23, 2019 9:10 am
Forum: Personal Finance (Not Investing)
Topic: Adjusted basis in a partnership
Replies: 9
Views: 422

Re: Adjusted basis in a partnership

Sounds to me like you're counting the sale twice. (once as a distribution and also as a sale)
by pshonore
Tue Apr 23, 2019 8:59 am
Forum: Personal Finance (Not Investing)
Topic: One big end of year tax payment instead of quarterly payments for S-corp?
Replies: 7
Views: 544

Re: One big end of year tax payment instead of quarterly payments for S-corp?

I suppose its possible to have no withholding from say monthly paychecks issued by your S-Corp and then have enough withheld from the last paycheck to cover the tax. I'm sure people do that with RMDs. However you probably would be filing a somewhat fraudulent W4 withholding form in the case of a pay...
by pshonore
Mon Apr 22, 2019 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: Mid year S-corp to sole proprietorship tax/401k implications
Replies: 10
Views: 371

Re: Mid year S-corp to sole proprietorship tax/401k implications

I'm a physician currently have an S-corp but I am thinking sole proprietorship this may be more advantageous for me in terms of reducing federal income tax (increased section 199A QBI deduction). I plan to continue contributions to my individual 401k, possibly shifting to making mega backdoor contr...
by pshonore
Mon Apr 22, 2019 12:32 pm
Forum: Personal Finance (Not Investing)
Topic: LLC taxed as S Corp - SS and Dividends
Replies: 16
Views: 858

Re: LLC taxed as S Corp - SS and Dividends

First, from above if this is SSTB income, someone in the 37% tax bracket would not be eligible for any QBI deduction. Partners in partnerships do not have W-2 wages. In the case of both S-Corps and partnerships, only K-1 distributions are eligible for the QBI deduction. Which will be far smaller wi...
by pshonore
Mon Apr 22, 2019 11:14 am
Forum: Personal Finance (Not Investing)
Topic: LLC taxed as S Corp - SS and Dividends
Replies: 16
Views: 858

Re: LLC taxed as S Corp - SS and Dividends

First, from above if this is SSTB income, someone in the 37% tax bracket would not be eligible for any QBI deduction. Partners in partnerships do not have W-2 wages. In the case of both S-Corps and partnerships, only K-1 distributions are eligible for the QBI deduction. Which will be far smaller wi...
by pshonore
Mon Apr 22, 2019 8:51 am
Forum: Personal Investments
Topic: Need help selling MLP [Master Limited Partnership]
Replies: 10
Views: 763

Re: Need help selling MLP [Master Limited Partnership]

A little further explanation. Each year you get a K1 which usually shows operating income as well as other items of income and expense. (For most MLPs its usually an operating loss). Those losses get suspended and can be used in the future to offset operating income from the same MLP. When you sell,...
by pshonore
Sun Apr 21, 2019 9:07 am
Forum: Investing - Theory, News & General
Topic: Why don't dividends affect the cost basis?
Replies: 14
Views: 1728

Re: Why don't dividends effect the cost basis?

The dividend affects the cost basis of your holding if you reinvest the dividend. Note your holding is now more than the original share. The cost basis of that one share is not changed. If you did reinvest the cost basis of the holding would be $9.88. At the same time your holding would also be mor...
by pshonore
Thu Apr 18, 2019 9:20 am
Forum: Personal Investments
Topic: Roth IRA Withdrawal - Penalized or Not??
Replies: 7
Views: 515

Re: Roth IRA Withdrawal - Penalized or Not??

Form 5498 from the various custodians over the years
by pshonore
Thu Apr 18, 2019 7:52 am
Forum: Personal Finance (Not Investing)
Topic: Universal Life Policy Lincoln Financial - what to do?
Replies: 14
Views: 1204

Re: Universal Life Policy Lincoln Financial - what to do?

I’m guessing that your mother will be 100 years old in December 2025 when the policy matures. Some policies are setup such that they will pay the death benefit on your 100th birthday. The annual premium is set in the contract. I would calculate what the total premium would be if she hits 100 and if...
by pshonore
Wed Apr 17, 2019 9:03 am
Forum: Personal Investments
Topic: SSA Retirement and Child-in-Care Spousal Benefits
Replies: 10
Views: 468

Re: SSA Retirement and Child-in-Care Spousal Benefits

Wife's benefit will stop when the child turns 16. She can then start collecting Spousal/hers at age 62. Kids benefit stops at age 18 or reaching age 19 + 2 months if still attending high school. Max taxation of SS is on 85% of SS benefit, depending on other income. -edited to show kids benefit stops...
by pshonore
Wed Apr 17, 2019 7:46 am
Forum: Personal Finance (Not Investing)
Topic: Universal Life Policy Lincoln Financial - what to do?
Replies: 14
Views: 1204

Re: Universal Life Policy Lincoln Financial - what to do?

I’m guessing that your mother will be 100 years old in December 2025 when the policy matures. Some policies are setup such that they will pay the death benefit on your 100th birthday. The annual premium is set in the contract. I would calculate what the total premium would be if she hits 100 and if...
by pshonore
Mon Apr 15, 2019 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: Physician “TO-DO” list for LLC
Replies: 30
Views: 2530

Re: Physician “TO-DO” list for LLC

Thanks. I’m sold about the solo 401K route. My assumption from comments above is that Vanguard solo 401K has no employee restriction, so that if she ever hired an employee she would immediately be disqualified from a solo 401K and would have to roll over that pre-tax income into a SEP-IRA? Would yo...
by pshonore
Sun Apr 14, 2019 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: Son is a college student still staying at home. How to file taxes?
Replies: 9
Views: 947

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

https://www.taxslayer.com/blog/can-claim-student-dependent/ "If your child is a full-time college student, you can claim them as a dependent until they are 24. If they are working while in school, you must still provide more than half of their financial support to claim them. Be aware that if your ...
by pshonore
Thu Apr 11, 2019 5:34 pm
Forum: Personal Consumer Issues
Topic: Boston area - nice towns for families
Replies: 79
Views: 4492

Re: Boston area - nice towns for families

Natick is typically where people go if they can't afford the inner suburbs. South Natick is the nicest, and the priciest. I lived in East Natick. The house I grew up in now sells for $665k according to zillow. It now has 5 beds/3 baths (it started with 2 beds/1 bath). It backs up to a woodland/pond...
by pshonore
Thu Apr 11, 2019 10:12 am
Forum: Personal Finance (Not Investing)
Topic: Appraised vs Market Value of Home
Replies: 23
Views: 1314

Re: Appraised vs Market Value of Home

Like politics "all appraisals is local". There are many, many approaches as determined by local government. In CT, properties are re-assessed every 5 years and every other cycle requires at least a physical walkaround of the property, with an interior inspection at the owner's discretion. These are ...
by pshonore
Wed Apr 10, 2019 7:11 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Help: Help with quick tax related questions (1099 and child tax credit)
Replies: 2
Views: 171

Re: Tax Help: Help with quick tax related questions (1099 and child tax credit)

Sounds to me like your OK with January daycare expenses but none after that. And there is likely a problem with the DCFSA as well unless your January expenses cover your total contributions.
by pshonore
Wed Apr 10, 2019 3:46 pm
Forum: Personal Finance (Not Investing)
Topic: Seller's Agent - Tiered Commission structure?
Replies: 15
Views: 1085

Re: Seller's Agent - Tiered Commission structure?

If a buyer comes with no agent, won't they expect you to discount the price by some significant portion of the buyer's agent's commission (and perhaps expect that to come out of the total 5% commission in the contract with the seller's agent)? And what happens to the listing contract that says the ...
by pshonore
Wed Apr 10, 2019 2:50 pm
Forum: Personal Finance (Not Investing)
Topic: Can a tax assessment change once it's posted on Assessor's Website?
Replies: 4
Views: 244

Re: Can a tax assessment change once it's posted on Assessor's Website?

Every assessor has different procedures but generally issuance of a CO (Certificate of Occupancy) is a signal to the Assessor to go out and update the books.
by pshonore
Sat Apr 06, 2019 9:43 am
Forum: Personal Finance (Not Investing)
Topic: Can I use QBI for my Rental Properties?
Replies: 20
Views: 1291

Re: Can I use QBI for my Rental Properties?

xerxes101 wrote:
Sat Apr 06, 2019 9:21 am
abuss368 wrote:
Fri Apr 05, 2019 7:45 pm
As a side note, REITs are allowed the 20% QBI deduction.
Do you mean you are allowed QBI deduction as an REIT investor, could you please clarify that?
REITs pass through eligible QBI in Box 5a of the 1099DIV form. Most tax software handles that.
by pshonore
Sat Apr 06, 2019 9:39 am
Forum: Personal Finance (Not Investing)
Topic: HDHP Through S-Corp
Replies: 12
Views: 613

Re: HDHP Through S-Corp

Does taking the SE Health Insurance deduction (as an S-Corp owner) reduce QBI like it would for a Sole Proprietor?
by pshonore
Fri Apr 05, 2019 4:31 pm
Forum: Personal Finance (Not Investing)
Topic: How reliable is H&R Block...?
Replies: 24
Views: 1582

Re: How reliable is H&R Block...?

My folks’ experience with H&R Block has been mixed at best. They experienced occasional small issues, but mostly no issues for years. However, in recent years errors were found by me, the IRS and/or the state (easy to avoid, simple errors). Stopped using them. Thanks... When you found the errors, d...
by pshonore
Fri Apr 05, 2019 3:58 pm
Forum: Personal Investments
Topic: How to transfer from Janus to Fidelity without paying capital gains?
Replies: 24
Views: 1463

Re: How to transfer from Janus to Fidelity without paying capital gains?

Who has been filing tax returns over the years? If so, the cap gains may not be as bad as you think.
by pshonore
Fri Apr 05, 2019 12:14 pm
Forum: Personal Finance (Not Investing)
Topic: How reliable is H&R Block...?
Replies: 24
Views: 1582

Re: How reliable is H&R Block...?

I will say that HRB stands behind their work. If they make a mistake, they will fix it and pay any penalties or interest that results. That is not true for a lot of other preparers. As I've said before, your preparer should be able to explain every line on your return if you ask.
by pshonore
Thu Apr 04, 2019 1:06 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead teachers or those married to one: some questions about career and life...
Replies: 101
Views: 6682

Re: Boglehead teachers or those married to one: some questions about career and life...

Well, look at that, I learned something today! OP, teacher here but have nothing really to add to the conversation. I'm well-compensated in a fairly LCOL area. I feel "trapped" by the fact that I will suffer quite the monetary loss if I were to try to move or change jobs, but I'm in my home distric...
by pshonore
Thu Apr 04, 2019 12:39 pm
Forum: Personal Finance (Not Investing)
Topic: K-1s and UBTI in IRAs
Replies: 4
Views: 358

Re: K-1s and UBTI in IRAs

If I have some MLPs in IRAs that send K-1s at tax time, I know that if UBTI > $1000, a 990-T has to be filed by the IRA My question: Does UBTI have to be aggregated across all IRAs of a particular type (say all traditional IRAs) to see if UBTI reaches $1000, or should it be done on a per IRA basis ...
by pshonore
Thu Apr 04, 2019 12:06 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead teachers or those married to one: some questions about career and life...
Replies: 101
Views: 6682

Re: Boglehead teachers or those married to one: some questions about career and life...

His wife is a teacher in NYS. This doesn’t apply. It most definitely applies if the OP moves to a new state in which teachers do not pay into SS. Whatever new pension the OP's wife would earn in the new state would result in a WEP clawback of already-earned SS benefits at the old state. I know, I'v...
by pshonore
Thu Apr 04, 2019 9:29 am
Forum: Personal Finance (Not Investing)
Topic: Boglehead teachers or those married to one: some questions about career and life...
Replies: 101
Views: 6682

Re: Boglehead teachers or those married to one: some questions about career and life...

Teacher's spouse here. Please be aware that due to the Government Pension Offset, your spouse may have a substantial reduction OR ELIMINATION of all spousal social security benefits. Please see the following: The nitty-gritty of the Government Pension Offset (GPO) is simple. If you meet both of req...
by pshonore
Wed Apr 03, 2019 2:20 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead teachers or those married to one: some questions about career and life...
Replies: 101
Views: 6682

Re: Boglehead teachers or those married to one: some questions about career and life...

Note that every state's plan is different. In CT you can full a full pension (2%/yr service) with 35 years of service at any age (tough to do that before age 57 for most) or for 20 yrs of service at age 60. You can take an early retirement at any age with 25 years but you won't get the full 2%/year....
by pshonore
Mon Apr 01, 2019 4:00 pm
Forum: Personal Finance (Not Investing)
Topic: K-1s and UBTI in IRAs
Replies: 4
Views: 358

Re: K-1s and UBTI in IRAs

If I have some MLPs in IRAs that send K-1s at tax time, I know that if UBTI > $1000, a 990-T has to be filed by the IRA My question: Does UBTI have to be aggregated across all IRAs of a particular type (say all traditional IRAs) to see if UBTI reaches $1000, or should it be done on a per IRA basis ...
by pshonore
Mon Apr 01, 2019 2:35 pm
Forum: Personal Consumer Issues
Topic: Wood vs Laminate Flooring
Replies: 56
Views: 4186

Re: Wood vs Laminate Flooring

Laminate is easier and faster to install. Not necessarily. Our bamboo flooring is a floating floor that snapped together just as easily as any laminate out there. There many varieties of hardwood floor with this as an installation option. You are correct, I should have said, laminate is easier to i...
by pshonore
Mon Apr 01, 2019 1:22 pm
Forum: Personal Finance (Not Investing)
Topic: Received offer on house with contingency for prior sale
Replies: 18
Views: 1526

Re: Received offer on house with contingency for prior sale

Wow! Three fast and great comments already! Truth is, I was misled by the statement that the house remains on the market, without me thinking that this will actually impede its marketability. Glad I asked (and that I found you folks a few years ago.) Depends on the market. If there aren't many hous...
by pshonore
Mon Apr 01, 2019 12:27 pm
Forum: Personal Consumer Issues
Topic: Family flying - picking seats at booking
Replies: 75
Views: 4835

Re: Family flying - picking seats at booking

Gotta pay to play. Book 1 adult with 2 kids and the other with 1. 3 together is feasible. 5 is not. Spirit is for backpackers. I flew Spirit one time and I have never seen a plane load so fast. Most folks were too cheap to use the overhead bins. Some cities only have one daily flight which can be a...
by pshonore
Mon Apr 01, 2019 11:02 am
Forum: Personal Consumer Issues
Topic: Wood vs Laminate Flooring
Replies: 56
Views: 4186

Re: Wood vs Laminate Flooring

Unless you're comfortable working with wood and have the tools (a good pneumatic floor nailer and chop saw at the least), I would not advise a self install for hardwood. If you currently have carpet, the underlayment under that should be removed. And if you are installing hardwood over concrete, it ...
by pshonore
Sun Mar 31, 2019 1:00 pm
Forum: Personal Finance (Not Investing)
Topic: How The New 2018 QBI Deduction (199A) show up in 1120S/Sch-K1 & 1040 For S-Corp Small Business Owners?
Replies: 13
Views: 780

Re: How The New 2018 QBI Deduction (199A) show up in 1120S/Sch-K1 & 1040 For S-Corp Small Business Owners?

I can't think of a scenario where K-1 line 1 wouldn't be the same as line 17 code V but there may be some. In my case they are the same as prepared by TT. Your mileage may vary of course. In a capital intensive business or one with a large amount of non-owner W2 wages, or a similar SSTB business ov...
by pshonore
Sun Mar 31, 2019 11:46 am
Forum: Personal Investments
Topic: Observations from this year's Tax filing, and some questions
Replies: 18
Views: 1540

Re: Observations from this year's Tax filing, and some questions

For what H&RB charges, you should have asked the prepare for a line-by-line explanation of the numbers in your return. If he/she could not explain them to your satisfaction, you could have asked to see the manager for further info. You can always leave HRB (without paying a penny) if you are unhappy...
by pshonore
Sun Mar 31, 2019 8:29 am
Forum: Personal Consumer Issues
Topic: Too late to go after driveway guy?
Replies: 21
Views: 3134

Re: Too late to go after driveway guy?

Note that "licensed contractor" doesn't mean much in a lot of places. Outside of trades like plumbing, electrical, HVAC, etc there are few tests for competency.
by pshonore
Fri Mar 29, 2019 1:24 pm
Forum: Personal Finance (Not Investing)
Topic: High income, child in college - benefit to child by me not claiming as dependent?
Replies: 22
Views: 1873

Re: High income, child in college - benefit to child by me not claiming as dependent?

Responding to a few things here... HueyLD & Katietsu, it looks like you two nailed it. I simulated things in the H&R Block software, and as best as I could tell (by looking at the forms that got produced), the stickler was that she didn't really have any earned income (well, she had $525, with zero...
by pshonore
Fri Mar 29, 2019 12:09 pm
Forum: Personal Finance (Not Investing)
Topic: Question Regarding Closing Costs
Replies: 6
Views: 369

Re: Question Regarding Closing Costs

I would be very surprised if the seller will pay for home insurance cost if you're talking Homeowners Insurance. Things like escrow payments, adjustments for property tax, fuel oil, are usually not considered closing costs unless things have changed since I was a Real Estate agent. Points, title cha...
by pshonore
Fri Mar 29, 2019 11:41 am
Forum: Personal Finance (Not Investing)
Topic: Help with tax filing situation of deceased grandparent and surviving spouse
Replies: 7
Views: 214

Re: Help with tax filing situation of deceased grandparent and surviving spouse

It should be relatively easy to determine whether it is necessary to file for 2018 - I think that would be the first order of business. A quick google suggests the taxable income for 2018 would have to be over 26,600. Thoroughness might dictate an evaluation of previous years - again per google tha...
by pshonore
Fri Mar 29, 2019 11:38 am
Forum: Personal Finance (Not Investing)
Topic: Help with tax filing situation of deceased grandparent and surviving spouse
Replies: 7
Views: 214

Re: Help with tax filing situation of deceased grandparent and surviving spouse

It should be relatively easy to determine whether it is necessary to file for 2018 - I think that would be the first order of business. A quick google suggests the taxable income for 2018 would have to be over 26,600. Thoroughness might dictate an evaluation of previous years - again per google tha...
by pshonore
Fri Mar 29, 2019 10:28 am
Forum: Personal Investments
Topic: Steps I am taking to start a Solo 401k for my wife.
Replies: 9
Views: 324

Re: Steps I am taking to start a Solo 401k for my wife.

Your steps look to correct to me, but I calculate a different number for her employer contribution. I calculate that her employer contribution should be $10,852.70. Net Revenue: $55,000 Portion of N.R. subject to Medicare tax: $55000*.9235 = $50,792.50 .5 Medicare tax: $736.49 Net Revenue minus .5 ...
by pshonore
Fri Mar 29, 2019 9:35 am
Forum: Personal Finance (Not Investing)
Topic: How The New 2018 QBI Deduction (199A) show up in 1120S/Sch-K1 & 1040 For S-Corp Small Business Owners?
Replies: 13
Views: 780

Re: How The New 2018 QBI Deduction (199A) show up in 1120S/Sch-K1 & 1040 For S-Corp Small Business Owners?

Are you saying the HRB Business software is not producing a proper K1? Might want to try TT. My guess is most QBI income for a "simple" S-Corp would start with the K1 Box 1 (net profit). Its further reduced by 1/2 of SE tax, health insurance deduction and and deductible employer retirement plan cont...
by pshonore
Fri Mar 29, 2019 9:27 am
Forum: Personal Consumer Issues
Topic: Shut off water before a vacation
Replies: 78
Views: 5796

Re: Shut off water before a vacation

How many people flip the shut off valve on washing machines between use? Todays braided hoses are better than the old rubber ones but they still can break and flood the area.