Just to add another perspective here - I've been using Wise for about 3 years and went through this exact same confusion. The key thing I learned is that you need to look at WHERE each currency is actually held, not just that it's a "foreign" company. I contacted Wise support directly and they provided me with a detailed breakdown of which banks hold each currency. My USD was indeed held at a US bank (Community Federal Savings Bank), so that didn't count toward FBAR. But my EUR and GBP were held at European banks, so those did count. The tricky part is tracking the daily balances throughout the year to find your maximum. I ended up creating a simple spreadsheet to track this since Wise statements don't always make it obvious when you hit peak balances across multiple currencies. One more tip: if you're even remotely close to the $10k threshold, it's probably worth filing the FBAR anyway. The penalties for not filing when required are much worse than over-filing when not required. Better safe than sorry with FinCEN compliance.

Based on what you've described, you likely don't need to file an FBAR for your Wise account this year since your maximum balance across all currencies was only around $800. The FBAR filing requirement only kicks in when the aggregate value of ALL your foreign financial accounts exceeds $10,000 at any point during the calendar year. However, there are a couple of important nuances to consider with Wise accounts: 1. **Location matters more than currency**: As others have mentioned, what determines if an account is "foreign" for FBAR purposes is where the financial institution holding your money is located, not the currency type. Your USD in Wise is likely held at a US bank and wouldn't count toward the threshold. 2. **Keep good records**: Even though you're well below the threshold now, I'd recommend tracking your balances more carefully going forward. If you start using the account more frequently for larger transfers, you could potentially hit the threshold without realizing it. 3. **Consider other accounts**: Make sure you're not forgetting any other foreign accounts - even small investment accounts, savings accounts in other countries, or accounts you have signature authority over (like business accounts) all count toward the aggregate total. Since you're nowhere near the $10k threshold with just this account, you should be fine for this year's filing. But definitely keep documentation of your maximum balances just in case!

This is such a timely question! I actually just went through this exact situation when I had gallbladder surgery in Thailand last year. The cost difference was incredible - what would have been $25,000+ in the US cost me about $8,000 including travel. A few additional points that haven't been mentioned yet: **Medical tourism documentation**: Since you specifically traveled for medical care, keep your travel itinerary and any medical tourism agency paperwork if you used one. This helps establish that the trip was purely medical. **Follow-up care**: Don't forget that any follow-up care you received back in the US related to your Costa Rica surgery is also deductible. This includes post-op visits with your regular doctor, any complications treatment, or physical therapy. **Payment methods**: If you paid with a credit card, the currency conversion on your statements can serve as backup documentation for exchange rates. I found this really helpful for smaller incidental expenses. **State taxes**: Check if your state also allows medical expense deductions - some states have different thresholds or rules than federal. Your situation sounds very straightforward since it was clearly medically necessary and you have good documentation. The fact that you got quotes in the US first actually strengthens your case - it shows you explored domestic options before going abroad for financial reasons, which is completely legitimate. Good luck with your return! Medical tourism is becoming more common and the IRS is well-equipped to handle these situations.

I had a similar experience with foreign medical expenses and wanted to share a few additional insights that might help! I had back surgery in Germany two years ago and successfully claimed the deduction. One thing I'd emphasize is keeping a detailed medical journal or timeline. I documented my condition progression, US consultations, the decision-making process for going abroad, and recovery timeline. This really helped paint a complete picture of medical necessity if anyone ever questioned it. Also, regarding the 7.5% AGI threshold - don't forget you can combine ALL your medical expenses for the year, not just the foreign surgery. So include things like prescription medications, US doctor visits, medical equipment, even travel to local medical appointments. Every expense counts toward reaching that threshold. For your Costa Rica surgery, make sure to get a final medical report or discharge summary from the facility if you haven't already. Having an official medical document describing the procedure and necessity can be really valuable documentation. The deviated septum repair is definitely legitimate - breathing issues significantly impact quality of life and overall health. You made a smart financial decision going abroad while still getting quality care. The IRS recognizes that medical costs in the US can be prohibitive, so seeking affordable care elsewhere is completely reasonable and deductible.

I'm so sorry to hear about your business closure - having to shut down after 7 years must have been heartbreaking, especially when external factors like supply chain issues were largely to blame. The silver lining here is that S Corp losses are designed to flow through to your personal return, and this applies even when the business is closing permanently. Your negative AGI of -$28,500 creates what's called a Net Operating Loss (NOL), which you can carry forward indefinitely to reduce taxes on future income. A few key things to discuss with your accountant when they return: First, make sure your stock basis calculation includes any personal loans or additional capital contributions you made to keep the business running - many people forget about emergency cash infusions they provided during tough times. Second, ensure all business closure costs are captured (final rent, professional dissolution fees, inventory liquidation losses, etc.) as these can increase your deductible loss. Since you both worked full-time in the business, material participation won't be an issue. The at-risk rules shouldn't apply either unless you had non-recourse debt. Your situation sounds straightforward for claiming the full loss, which will provide meaningful tax relief as you rebuild financially over the coming years.

I'm really sorry to hear about your business closure after 7 years - that must have been an incredibly tough decision, especially when factors like supply chain issues were largely beyond your control. The good news is that your S Corp losses will definitely flow through to your personal return via the K-1, even with the business shutting down. That negative AGI of -$28,500 you're seeing creates a Net Operating Loss (NOL) that you can carry forward indefinitely to offset future income - essentially providing tax relief for years to come as you rebuild. A few things to verify with your accountant when they return: Make sure your basis calculation captures any personal loans or additional capital you contributed during the struggling periods (many business owners forget about emergency cash they put in). Also ensure all closure-related expenses are included - lease termination fees, professional dissolution costs, inventory markdowns, etc. These can all increase your allowable loss deduction. Since you both worked full-time in the business, material participation requirements should be satisfied. The negative AGI might feel concerning now, but it's actually going to provide valuable tax benefits as you move forward. Sometimes the tax code does work in favor of small business owners who've taken significant losses through no fault of their own.

The explanations about Code 150 and Cycle 0605 here are spot on! I went through this exact same confusion last year with my 2022 return. What really helped me understand the timeline was realizing that the IRS processes returns in batches throughout the week, which is why the cycle codes include that day-of-week indicator. One thing I'd add is that once you see Code 150, you're typically 1-3 weeks away from seeing Code 846 (refund approved) appear on your transcript, assuming no issues arise. The key is to check your transcript every Friday morning since the IRS typically updates transcripts overnight on Thursday/Friday. Also worth noting - if you claimed Earned Income Tax Credit or Additional Child Tax Credit, there's a PATH Act hold that can delay refunds until mid-February regardless of when Code 150 appears. Keep monitoring for any 570/971 codes which would indicate additional review is needed.

Your analysis of Code 150 and Cycle 0605 is correct! I've been working as a tax preparer for over 8 years and see these codes daily during filing season. Code 150 with your 2/24 date confirms your return was successfully processed and entered into the IRS Master File system on February 24th - this is NOT your filing date or due date, but rather when the IRS officially recorded your return data. The Cycle 0605 indicates your return was processed during the 6th week of 2024 on a Thursday (February 8th). This is actually good timing for a return filed during peak season! What you'll want to watch for next is Code 846, which will show your refund has been approved and will include the actual deposit date. Based on your current codes, you should see Code 846 appear within 1-2 weeks if there are no complications. One red flag to monitor: if you see codes 570 or 971 appear, that indicates additional review is needed which could delay your refund significantly. Overall, your transcript shows normal processing progress.

Harold, you've gotten some excellent advice here! I wanted to add a few practical tips from someone who's been through this process with ROBLOX earnings. First, regarding your 1099-NEC - ROBLOX typically sends these out in late January for the previous tax year. Since you earned $26,300, you'll definitely receive one. However, don't wait for it to arrive before starting your tax prep - you can access your earnings history through the Developer Exchange portal on ROBLOX to get exact figures. For your partnership situation, even though it's informal, I'd recommend drafting a simple partnership agreement document (even just a one-page written agreement) that outlines your 65/35 split and how you'll handle business expenses. This doesn't need to be fancy legal language - just something in writing that shows the IRS your arrangement is legitimate and thought-out. One thing I haven't seen mentioned yet is Developer Exchange timing. Since there's often a delay between when players spend Robux and when you can actually cash out through DevEx, make sure you're reporting income based on when you received the cash payments, not when the Robux was earned in-game. Keep screenshots of your DevEx transactions as backup documentation. Also, consider opening a business credit card for any game development expenses. It makes tracking deductible purchases much easier and further legitimizes your business in the eyes of the IRS. Plus, you'll build business credit history which could be useful if you want to expand your game development business in the future. Good luck with your taxes, and congratulations on your game's success!

Harold, I've been developing on ROBLOX for about 3 years now and went through this exact same confusion when I first started earning substantial income. Here's what I wish someone had told me from the beginning: **Get organized NOW, not at tax time.** Create a simple spreadsheet tracking every DevEx payment with the date you received it and the amount. Since you're splitting with your partner, add columns for each person's share. This will save you hours of stress later. **You're definitely self-employed** and will need to file Schedule C. With $26k in earnings, you're well above the $400 threshold that requires paying self-employment tax (about 15.3% on top of regular income tax). **Start making quarterly estimated payments immediately** for 2025. A good rule of thumb is to set aside 30% of each payment you receive. Your first quarter payment is due April 15th - don't miss it or you'll face penalties. **Document your partnership split.** Even a simple email between you and your friend confirming the 65/35 split will help if the IRS ever asks questions. You don't need a formal LLC yet, but having written proof of your arrangement is crucial. **Track deductible expenses** - ROBLOX Developer Exchange fees, any marketplace assets you buy for development, software subscriptions, portion of internet/phone used for business. These add up and can significantly reduce your taxable income. One last tip: consider consulting with a CPA for at least your first year of significant earnings. The cost is usually worth it to make sure you're set up correctly from the start. Congratulations on your game's success - sounds like you're off to a great start!