This situation is incredibly frustrating and unfortunately all too common. Based on everything you've described, this sounds like clear employee misclassification. The combination of filling out W-4 and I-9 forms (employee paperwork), being promised eventual "real" employee status with benefits, working set hours with overtime expectations, and having late paychecks are all major red flags. Here's what I'd recommend doing immediately: 1. **Document everything** - Save all emails, take screenshots of your payroll system, keep records of hours worked and late payments. This will be crucial evidence. 2. **Calculate what you're owed** - As a misclassified employee, you're currently paying both employee AND employer portions of Social Security/Medicare taxes (15.3% instead of 7.65%). Your employer should be covering their half. 3. **File quarterly estimated taxes** - To avoid penalties, make sure you're making quarterly payments on the income you're receiving now, even while you work to resolve the classification issue. 4. **Consider your timing** - Many people wait until they have another job lined up before filing formal complaints, since retaliation (while illegal) does happen. You have multiple avenues for resolution: Form SS-8 with the IRS for status determination, Form 8919 for uncollected employment taxes, state labor department for wage violations, and potentially your state's unemployment office since misclassified workers are often denied benefits they should receive. Don't let them take advantage of your recent graduate status - you have rights here and this practice costs you real money.

This is a textbook case of employee misclassification, and you're absolutely right to be concerned. The fact that you completed W-4 and I-9 forms is a huge red flag - these are exclusively for employees, not independent contractors. Independent contractors should complete a W-9 form instead. The IRS uses a three-factor test to determine worker classification: behavioral control (do they control how you do your work?), financial control (who provides tools, how are you paid?), and relationship type (benefits, permanency, etc.). Based on your description - being hired for a "full-time position," working set hours with overtime expectations, and the promise of eventual benefits - you clearly meet the employee criteria. Here's what's happening financially: as a misclassified worker, you're currently responsible for paying the full 15.3% self-employment tax (both employee and employer portions of Social Security/Medicare taxes) instead of just the 7.65% employee portion. Your employer is essentially saving money by shifting their tax burden onto you. My advice: Start documenting everything immediately - save all communications about your employment status, screenshot that payroll system showing the withholding options, and keep detailed records of your hours and any overtime worked without compensation. You may want to consult with an employment attorney or file Form SS-8 with the IRS to get an official determination of your worker status. Don't let them take advantage of your recent graduate status - this practice is costing you significant money and denying you important protections and benefits you're entitled to as an employee.

I'm dealing with this exact same issue right now! Navy Fed has been holding my refund check for 3 days so far and they told me up to 5 business days. It's so frustrating when you're counting on that money. I've been reading through all these comments and it sounds like most people get their funds released by day 3 or 4 even though they quote 5 days. Going to try calling tomorrow and asking about expediting the hold since I've been a member for several years. Thanks everyone for sharing your experiences - makes me feel better knowing this is normal and it should clear soon! 🤞

This is so relatable! I'm actually on day 4 of a Navy Fed hold right now and getting pretty anxious about it. I called them yesterday and the rep told me it's standard procedure for government checks over a certain amount. What's been driving me crazy is that I can see the deposit in my account but it just says "hold" next to it. From reading everyone's experiences here though, it sounds like most people get their funds released between days 3-4 even though they quote 5 days. I'm hoping mine clears tomorrow! Has anyone had success with going to a physical branch instead of just calling?

Quick question - does anyone know if TurboTax or H&R Block have Form 706 preparation capabilities? I'm trying to avoid paying an estate attorney thousands of dollars if possible.

I went through this exact situation with my grandmother's estate last year. The margin debt definitely goes on Schedule K as others have mentioned, but I wanted to add a few practical tips that helped me: 1. Request a "date of death valuation" letter from the brokerage - they'll provide exact balances for both the securities and the margin loan as of the death date, which is required for the 706. 2. Make sure to include ALL margin-related costs in your Schedule K entry - not just the principal balance, but also any accrued interest, margin fees, or other charges that were outstanding as of the date of death. 3. Cross-reference the margin debt on Schedule K with the securities on Schedule G by noting in the description that the debt is "secured by securities reported on Schedule G, Line X" - this helps the IRS understand the connection. The whole process was much more straightforward once I got the proper documentation from the brokerage. Don't try to calculate the exact balances yourself - let them do it officially.

Pro tip: keep track of ALL your royalty statements and match them against what actually gets deposited in your account. Record labels are notorious for applying withholding inconsistently, even after you've submitted a properly completed W-8BEN. I had a situation where despite having my W-8BEN on file claiming the 0% treaty rate for royalties from my Japanese distributor, they still withheld 10% for almost a year before I caught it. Had to file forms to reclaim all that withholding.

This is such great information everyone! As someone who's been dealing with international music contracts for a few years, I want to add one more important point that often gets overlooked. Make sure your record label updates their withholding systems after you submit your W-8BEN. I've seen cases where the accounting department receives the form but doesn't properly update their payment processing system, so they continue withholding at the default 30% rate. I always follow up with an email to both my A&R contact and their accounting department about 2 weeks after submitting the W-8BEN, just to confirm it's been processed correctly. Include your taxpayer identification number and the date you submitted the form in your follow-up. Also, keep in mind that W-8BEN forms expire after 3 years, so set a reminder to renew it before it lapses. If it expires, they'll automatically go back to withholding at the full 30% rate until you submit a new one. @Ellie Lopez - since this is your first international deal, I'd definitely recommend keeping detailed records of everything. Save copies of all forms, emails, and payment statements. It'll make your life much easier if you need to reference anything later or if you work with more international labels in the future!

I just want to clarify something that might help - the formula for calculating your RMD is pretty straightforward. You take your IRA balance as of December 31 of the previous year and divide it by the life expectancy factor from the IRS tables. For example, if your IRA was worth $500,000 at the end of last year and your life expectancy factor is 25.5, your RMD would be $19,607.84.

Just wanted to add something important that I learned the hard way - if you have multiple traditional IRAs, you can calculate the total RMD across all accounts but then take the entire distribution from just one account if you prefer. This can simplify things if you have IRAs at different brokerages. However, this only applies to traditional IRAs - if you also have 401(k)s or 403(b)s, you must take separate RMDs from each of those accounts. I wish someone had told me this when I first started dealing with RMDs - would have saved me a lot of paperwork juggling distributions across multiple accounts!