I went through something very similar with Venmo earlier this year! The SSN request is standard when you hit certain transaction thresholds - it's required for tax reporting purposes, not because they think you're earning income. A few key points from my experience: - Personal reimbursements are NOT taxable income, even if you get a 1099-K - Keep records of your original expenses (hotel, flights, meals, etc.) to show these were legitimate trip costs - If you do get a 1099-K, you'll need to address it on your tax return but can offset it completely by showing these were reimbursements The documentation doesn't have to be perfect - even credit card statements showing you paid for group expenses initially will help establish that friends were just paying you back. I kept screenshots of the payment app transactions with their notes/descriptions too. Don't stress about providing your SSN to Facebook Pay - it's just a compliance requirement. The real key is proper documentation in case you need to explain things to the IRS later.

I've been through this exact situation with multiple payment apps! The SSN request is totally normal - Facebook Pay (now Meta Pay) is legally required to collect this information when you reach certain transaction thresholds for potential tax reporting. Here's what you need to know: - Personal reimbursements are NOT taxable income, period - Even if you receive a 1099-K form, you won't owe taxes on money friends paid you back - The key is proper documentation showing these were legitimate expense reimbursements For your records, keep: - Receipts/statements showing you originally paid for trip expenses - Screenshots of the Facebook Pay transactions with any notes about what they were for - A simple list matching each payment to the original expense it covered If you do get a 1099-K, you'll report it on your tax return but then subtract the same amount as "nontaxable personal reimbursements" - so zero net tax impact. Don't stress about providing your SSN, it's just a compliance requirement. The important thing is having documentation that shows these payments were just friends settling up trip expenses, not income you earned.

Just want to add my 2 cents as someone who works at a credit union. The W-9 process for most banks is super simple now - usually just entering your SSN and checking a box during the online application. If it makes you feel better, the bank already has your SSN and tax info if you have other accounts with them. The W-9 requirement is just a formality to make sure they have proper documentation for IRS compliance. Don't overthink it! High yield savings accounts are great for building money, and the tax stuff is actually pretty straightforward. You'll get a 1099-INT in January showing your interest earned, and you just enter that amount on your tax return. It literally takes 2 minutes.

Thanks everyone for all the helpful responses! This has cleared up so much confusion for me. I was definitely overthinking the whole W-9 situation. @Malik Johnson - your explanation about the difference between W-9 and 1099 forms was super clear. I get it now - W-9 is what I fill out when opening the account, and 1099-INT is what I'll receive later showing my interest income. That makes perfect sense! @Anastasia Sokolov - I had no idea about the backup withholding thing! That's definitely motivation to make sure I fill out the W-9 correctly. 24% is a lot to have withheld, even if I'd get it back eventually. @Sean O'Connor - it's reassuring to hear from someone who works at a financial institution that this is all routine. You're right that I'm probably overthinking it. I think I'm ready to move forward with opening the Capital One HYSA now. I'll make sure to use my full name exactly as it appears on my Social Security card when filling out the W-9. Thanks again for all the guidance - this community is awesome!

I've been dealing with SBTPG for the past few years and can confirm what others are saying - "funded" definitely doesn't mean the money is in your account yet! From my experience, it means they've got your refund from the IRS and are now processing it on their end. I usually see the deposit 1-2 days after that status appears, but I've learned to always check early in the morning since most banks process ACH transfers overnight. One tip I picked up from this community: if you're worried about timing for bills, you can usually call your bank and ask if they see any pending deposits - sometimes they can see the incoming transfer before it actually posts to your account. Hope this helps ease some anxiety while you wait!

I can share some insight from working in banking operations. When SBTPG shows 'funded' status, it typically means they've completed their internal processing and submitted your refund for ACH transfer to your bank. However, the actual timeline can vary based on a few factors: 1) Your bank's ACH processing schedule (larger banks often process multiple times daily, credit unions may only process once), 2) Whether it's submitted before your bank's daily cutoff time, and 3) If there are any weekend/holiday delays. I'd recommend checking your account early morning for the next 2-3 business days, as most ACH deposits post overnight. If you're concerned about timing for bills, many banks can confirm pending deposits over the phone even before they show in your online account.

I was in the same boat last year! One thing nobody mentioned yet - you can actually use the free filing options through the IRS website if your income is under certain limits. I used FreeTaxUSA and it walked me through the Schedule C stuff for my etsy shop. Took like 20 minutes.

I used FreeTaxUSA which is completely free for federal returns (you only pay like $15 for state if needed). Unlike TurboTax which tries to upsell you the moment you mention any business income, FreeTaxUSA includes Schedule C and Schedule SE in their free version. The interface isn't as fancy as TurboTax but it gets the job done. It walked me through all the self-employment stuff and helped me identify deductions I could take for my art supplies and equipment. Definitely saved me from paying those ridiculous fees that other tax software charges for "premium" features that should be standard. Just make sure you have all your income and expense records organized before you start - the software is only as good as the information you put into it!

Don't forget to look into whether you qualify for the self-employed health insurance deduction! Even though your wife's employer provides the insurance, if you're paying any portion of the premiums (either directly or indirectly by reimbursing your wife), you may be able to deduct that amount on your Schedule C. I'm in a similar situation and was able to deduct about 40% of our family premium last year because that was determined to be "my portion" of the coverage. Talk to a tax professional about how to calculate and document this properly.

I've been following this thread closely since I'm in an almost identical situation - sole proprietor with coverage through my spouse's employer plan. Just wanted to add a few things that might help: First, definitely pursue the FSA option that Leo mentioned. We've been using one for three years now and it's been great for predictable expenses like glasses, dental work, and prescriptions. The key is to be conservative with your contribution since you can't roll over much to the next year. Second, on the self-employed health insurance deduction - this is real but requires careful documentation. You'll need a letter from your wife's HR department breaking down the premium allocation. In our case, the employer contributes $200/month toward employee-only coverage, but we pay an additional $450/month to add me and our kids. I can deduct a portion of that $450 as a self-employed person. One thing I haven't seen mentioned is that you can also deduct qualified medical expenses as business expenses if they're directly related to your work. For example, if you need ergonomic equipment for your home office due to a medical condition, that could be deductible. Obviously consult a tax pro for specifics. The bottom line is that while you can't get an HSA in your situation, there are still several ways to get tax advantages for healthcare costs as a self-employed person. It's worth spending some time (or money on professional advice) to make sure you're maximizing all available options.