3 Something nobody's mentioned yet - keep a mileage log if you drive as part of your caregiving duties! I deducted over $2,000 last year just from tracking my mileage driving my client to doctor appointments and running errands for them. The IRS mileage rate for 2025 is 65.5 cents per mile.

One important thing to consider is whether you should be classified as a household employee versus self-employed. Since the family is claiming you on their taxes for a dependent care credit, they might actually be required to treat you as a household employee and handle payroll taxes. If you're a household employee, they should be withholding and paying Social Security and Medicare taxes on your behalf. However, if you control how and when you work (set your own schedule, use your own supplies, etc.), you're likely self-employed. For $15,300 in annual income, you'll definitely want to make quarterly estimated tax payments to avoid penalties. I'd recommend setting aside at least 25-30% of each payment to cover both self-employment tax and income tax. Don't forget you can deduct legitimate business expenses like mileage, supplies, and any training related to caregiving. You should also check if the family needs to provide you with any tax documents - they may need to give you information for their dependent care credit claim even if they don't issue a 1099.

I'm in a similar situation but we solved it by having all beneficiaries make small annual contributions to the trust for "maintenance fees." It's way below market rate rent, but our attorney said it helps establish that we're not just getting completely free use which could be viewed as distributions.

This is a complex area where the facts really matter. Based on what you've described, the trust paying for basic property maintenance expenses (taxes, utilities, insurance) on property it owns would typically be considered trust expenses rather than distributions to beneficiaries. The trust is maintaining its own asset. However, the free use of the property by beneficiaries could potentially create imputed income issues. The IRS could argue that the fair rental value of your usage represents a distribution to you. This is especially true if the usage is significant or if certain expenses are more "personal" in nature (like premium cable packages). Key considerations: Does your trust document explicitly allow beneficiary use without compensation? How many days per year does each beneficiary use the property? Are there any expenses that are clearly for beneficiary convenience rather than property maintenance? I'd strongly recommend having your trustee consult with a tax attorney who specializes in trust taxation. The $28,000 annual expense level makes this worth getting right, and the stakes are high enough that professional guidance would be money well spent.

I'm going through this exact same situation right now! My transcript shows a DDD of 2/26 and I just got my SBTPG trace number yesterday. Based on everyone's experiences here, it sounds like I should expect to wait another 1-3 business days for the actual deposit. It's frustrating how opaque this whole process is - I wish SBTPG was more transparent about their processing timeline upfront. The trace number at least gives me some peace of mind that the money is in their system, but the waiting game is stressful when you're counting on that refund. Thanks everyone for sharing your timelines - it really helps set realistic expectations!

I'm going through the exact same situation! Got my SBTPG trace number this morning with a DDD of 2/26 on my transcript. Reading through everyone's experiences here is both reassuring and frustrating - reassuring because it sounds like the trace number means we're in the home stretch, but frustrating because of how long this whole process takes. I had no idea about all these processing steps when I agreed to pay my tax prep fees from my refund. Next year I'm definitely paying upfront and getting direct deposit straight from the IRS. Based on what everyone's shared, sounds like I should expect my deposit by Friday or early next week. The waiting is killing me though - I keep refreshing my bank app even though I know it's probably not going to show up today!

Emma, I feel your pain! I was in the exact same boat last year - frantically searching for a 1099-SA while H&R Block held my tax return hostage. Here's what worked for me: First, check if you actually made any HSA withdrawals in 2024. If you only contributed to your HSA but never took money out for medical expenses, you won't have a 1099-SA. Sometimes tax software asks about forms you don't actually need based on how you answer other questions. If you did make withdrawals, your HSA provider is required to have the form available by January 31st. Try these steps in order: 1. Log into your HSA provider's website (check your paystub for the company name) 2. Look for "Tax Documents" or "Tax Forms" section 3. If you can't find it online, call the customer service number 4. Ask your HR department - they often have direct contacts Don't panic about owing taxes! The 1099-SA just reports withdrawals, but if you used the money for qualified medical expenses (prescriptions, doctor visits, etc.), those are tax-free. Worst case scenario, you can file for an extension to give yourself more time while still enjoying your trip. The stress isn't worth it - this happens to tons of people every year and it always gets sorted out! Good luck!

Emma, I completely understand your frustration! This exact situation happened to me two years ago and I was pulling my hair out trying to figure out what a 1099-SA even was. Here's the quick answer: The 1099-SA reports any money you withdrew from your Health Savings Account (HSA) during 2024. Since H&R Block is asking for it, you definitely made at least one withdrawal from your HSA last year. To find your form, check your most recent paystub first - it should show which company manages your HSA (like HealthEquity, Optum Bank, HSA Bank, etc.). Then go to that provider's website and log into your account. Look for a "Tax Documents" or "Forms" section - they're required to post these by January 31st. If you can't access it online, call the customer service number on your HSA debit card or any HSA statements you've received. They can usually email you a copy immediately. Here's the good news - having a 1099-SA doesn't automatically mean you owe more taxes! If you used the HSA money for qualified medical expenses (doctor visits, prescriptions, medical procedures), those withdrawals are completely tax-free. H&R Block will just ask you to specify which expenses were medical-related. Don't stress too much about this - it's super common and you should be able to get the form quickly once you contact your HSA provider. You'll definitely get your taxes done before your trip!

I've been in a similar situation and here's what I learned: the "opt out of withholding" option can be really tempting, but it's basically just kicking the tax can down the road. You'll still owe the same amount in taxes - you're just choosing when to pay them. One strategy that worked well for me was to take the cash WITH normal withholding (that 22% federal rate), then immediately put a portion of what I received into a high-yield savings account earmarked for any additional taxes I might owe at filing time. This way I had access to most of the money for my immediate needs, but still had a safety net for tax season. The math gets really interesting when you factor in that 401k contributions also save you the 7.65% FICA taxes (as mentioned above). On your $20k bonus, that's over $1,500 in immediate savings, plus the income tax deferral. But if you truly need the cash flow now, sometimes the peace of mind is worth more than the tax optimization. Have you calculated what your actual tax rate would be on the bonus income? Depending on your current income level, it might be lower than that 22% withholding rate, which could mean a refund if you take it as cash with withholding.

One thing that might help your decision is to think about your overall financial picture this year. If you're already maxing out your 401k contributions through regular payroll deductions, then putting the bonus there might push you over the annual limit ($23,000 for 2024). But if you haven't been contributing much to your 401k, this bonus could be a great opportunity to catch up on retirement savings. Also consider your state's tax situation. Some states don't tax retirement account contributions at all, which could make the 401k option even more attractive. Others have high supplemental wage withholding rates that might make the cash option more expensive than you expect. I'd suggest running the numbers both ways before deciding. Calculate what you'd net after all taxes if you take it as cash (including setting aside money for any additional taxes owed), then compare that to what the 401k contribution would be worth to you in tax savings this year. The "right" choice really depends on your current financial priorities and tax situation.