I'm an accounting assistant at a small firm, and we see this confusion all the time. Here's a simple way to think about it: - SIMPLE IRA: Employer plan, contributions come from your paycheck pre-tax, and are reported on W-2 Box 12 with code S. Employer may match. Don't report Form 5498. - Traditional/Roth IRA: Personal plans you set up yourself, separate from employer. You fund these with your own money after getting your paycheck. These are what tax software is asking about when it mentions "IRA contributions." The Form 5498 is just informational - the IRS already knows about your SIMPLE IRA contributions from your W-2. Hope this helps!

I had similar confusion with my SIMPLE IRA when filing with TurboTax. Has anyone tried using a different tax software for this? I'm wondering if some handle these retirement questions more clearly than others.

Just to add another data point - I had a "Completed" status on my amended return about 3 weeks ago, and my check arrived exactly 16 days later. The date on the check was actually 10 days after the "Completed" status appeared, so there's definitely processing time between status update and them actually cutting the check. If you provided a current mailing address on your amended return, you should be fine. If you've moved since filing, you might want to set up mail forwarding with USPS just to be safe.

Hey @bf3d16545fc5, congratulations on getting to the "Completed" status! That's definitely the hardest part. Based on your description, it sounds like everything is moving in the right direction. Just to set expectations - the "Completed" status appearing doesn't mean your check was mailed that same day. There's typically a 7-14 day processing window after "Completed" before they actually cut and mail the paper check. Since it's only been about a week for you, you're still well within the normal timeframe. One thing to double-check: make sure the mailing address on your amended return is current. If you've moved since filing, that could delay things. The IRS will mail the check to whatever address was on the 1040X form, not necessarily your current address. Also, keep an eye on your mailbox over the next week or two. Amended return refund checks sometimes come in plain white envelopes that don't look super official, so they're easy to miss among regular mail. You should definitely receive a paper check rather than direct deposit, even though you filed electronically. That's just how the IRS handles amended returns - it's a completely separate system from regular return processing.

When I won on a Canadian game show (different one, smaller prize), they actually withheld Canadian taxes first, then I had to report it in the US. But I got a foreign tax credit for the Canadian taxes paid, so I didn't end up paying double. Make sure your cousin keeps ALL documentation they gave her. Also, if this aired on TV, keep a copy of the episode if possible as proof if ever questioned.

Your cousin should also be prepared for this to potentially affect her state taxes in Massachusetts. Game show winnings are typically subject to state income tax as well, so she'll need to report the $25,000 on her Massachusetts return too. One more thing - if the show hasn't aired yet, she might want to consider making quarterly estimated tax payments now rather than waiting until next year's filing deadline. Owing $25k worth of additional taxable income could result in a significant tax bill, and the IRS charges underpayment penalties if you don't pay enough throughout the year. She can calculate roughly what she'll owe using her current tax bracket and make payments using Form 1040ES. The safe harbor rule is to pay at least 90% of this year's tax liability or 100% of last year's (110% if her previous year's AGI was over $150k). Since this is unexpected income, making an estimated payment could save her from penalties later.

dont forget about retirement contritbutions too!! when i was doing pslf i figured out i could lower my AGI by putting more in my 401k which lowered my student loan payments. its like getting a discount on retirement saving!!! for us we did married/seperate and the lower income spouse claimed our kid. saved us like $4k a year in studen loan payments and only lost like $1500 in tax benefits

Yes, HSA contributions absolutely work the same way! HSA contributions reduce your AGI just like 401k contributions do, which means they'll lower your income-driven repayment calculations for PSLF. If you're eligible for an HSA (high-deductible health plan), you can contribute up to $4,300 for individual coverage or $8,550 for family coverage in 2024. It's actually a triple tax advantage - deductible going in, tax-free growth, and tax-free withdrawals for qualified medical expenses. With a new baby, you're probably going to have medical expenses anyway, so maximizing HSA contributions could be a really smart move for your situation. You'd lower your student loan payments AND build up a tax-advantaged fund for healthcare costs. The combination of maxing 401k, HSA, and filing separately with the right spouse claiming your child could really optimize your finances during these final PSLF years!

i think everyone is overcomplicating this. I've got W-2Gs for years and just give em to my tax guy with all my other forms. he puts them in the right spot. if u dont have a tax person just use turbotax or something, it literally asks you if you have gambling winnings and where to put the numbers from the form. its not rocket science lol

Just to add to what others have said - make sure you check Box 4 on your W-2G form to see exactly how much federal tax was withheld. This is crucial because it gets reported on Line 25b of your Form 1040 along with your other tax withholdings. Also, keep in mind that gambling winnings can push you into a higher tax bracket, so you might end up owing more than what was withheld. The casino typically withholds at 24%, but if your total income puts you in the 32% or higher bracket, you'll owe the difference. One last tip - if you're thinking about claiming gambling losses, you need to have them documented BEFORE you file. You can't go back and recreate a gambling log after the fact if you get audited. The IRS has seen every trick in the book, so proper documentation from the start is essential.