Make sure to save the PIN when u get it! They send new ones every year and if u lose it ur basically screwed until you can get through to someone

Pro tip: if you can't access ID.me or don't have the letter, you can also visit a Taxpayer Assistance Center in person with proper ID. They can help you get your IP PIN on the spot. Use the IRS office locator on their website to find one near you - just make sure to bring two forms of ID!

im in kinda same boat with my sneaker reselling but sometimes i make profit sometimes loss. my accountant told me since its not just a hobby but im trying to make profit overall, i need to file schedule C even for the years i lose money. if u report losses too many years in a row irs might say its just a hobby not a business and disallow the losses. thats what happened to my cousin with his baseball card collection

Great thread! I'm dealing with a similar situation with my Pokemon card collection. One thing I learned from my CPA is that you can use the "fair market value" method for establishing your cost basis on items you bought years ago without receipts. For example, if you sold a card in 2024 that you bought at a convention in 2019, you can research what that card was selling for in 2019 using sites like eBay sold listings, price guides, or auction records from that time period. The IRS accepts this as reasonable documentation as long as you're consistent and not inflating values. I've been going back through old forum posts and Facebook groups where people discussed prices they paid for items - sometimes that's the best evidence you can find. It's tedious work but worth it when you're looking at a big 1099-K amount that doesn't reflect your actual profit. Also remember that if you're consistently losing money over multiple years, you might want to treat it as a hobby rather than a business to avoid the Schedule C complications that Noah mentioned. Just depends on your specific situation and intent.

Has anyone used E-Trade's withdrawal process recently? How long did it take to get your money? I'm considering taking funds from my Roth IRA too but need the money pretty urgently.

I went through this exact situation with my E-Trade Roth IRA about 6 months ago. Here's what I learned that might help you: First, the good news - since your account has been sitting there without investments, you likely have little to no earnings. As others mentioned, you can withdraw your original contributions penalty-free and tax-free at any time from a Roth IRA. To find out exactly what's contributions vs. earnings, log into your E-Trade account and look for "Account History" or "Tax Documents." You can also call them and ask specifically for your "Form 5498" information, which shows your contribution history. One thing that surprised me - even small amounts of interest from uninvested cash can count as "earnings." My $1,800 sitting in the settlement fund for years had earned about $15 in interest, which would have been subject to penalties if I withdrew it. The withdrawal process itself was straightforward once I knew my numbers. I was able to withdraw just my contribution amount online, and the money hit my bank account in 2 business days. E-Trade automatically generates the tax forms you'll need (Form 1099-R) at year-end. Since you're in Texas, you won't have state tax complications to worry about. Just make sure you only withdraw the contribution amount to avoid any federal penalties on earnings.

I'm really sorry this happened to you - losing $14,100 in your Roth IRA is incredibly painful, especially when you were trying to do the right thing by saving for retirement. Unfortunately, as others have confirmed, Roth IRA losses cannot be deducted on your taxes under current law. What you experienced is actually more common than you might think. Many people who started investing during the 2021 market highs faced similar losses when everything crashed in 2022. The timing was just brutal for new investors. Since you mentioned you're planning to start over with a more conservative approach, here are a few things that might help: First, consider using a "core-satellite" strategy where you put most of your money in boring, stable index funds (the "core") and only allocate a small percentage to riskier investments (the "satellites"). This can help you participate in market growth while limiting downside risk. Second, when you do restart your Roth IRA, you might want to implement a "circuit breaker" rule for yourself - like promising never to check your balance more than once per quarter, or setting up automatic investments so you're not tempted to time the market. The silver lining is that you learned this lesson relatively early in your investing journey. Many people don't discover their true risk tolerance until they're much closer to retirement, when they have less time to recover. You still have decades to build wealth, and the discipline you develop from this experience will serve you well. Hang in there - this setback doesn't define your financial future.

I feel for you - losing over $14,000 in your Roth IRA is incredibly frustrating, especially when you were trying to do the right thing by catching up on retirement savings. Everyone here is correct that Roth IRA losses aren't tax-deductible under current law. One thing I'd add that hasn't been mentioned much is the psychological aspect of what you went through. Investment losses in retirement accounts can feel different from regular investment losses because you know you can't touch that money for decades anyway. This can create a sense of helplessness that makes emotional decisions more likely. When you do decide to start again, consider setting up your new Roth IRA with a different brokerage than before - sometimes a fresh start with new login credentials and a clean slate can help psychologically. Also, many brokerages now offer "paper trading" or simulation accounts where you can practice your investment strategy with fake money before committing real funds. The education you're doing now is invaluable. Consider reading "The Bogleheads' Guide to Investing" or similar books that focus on simple, long-term strategies rather than trying to beat the market. Your future self will thank you for taking time to build a solid foundation of knowledge before jumping back in. You're still young and have plenty of time to recover. This expensive lesson in risk tolerance and market psychology will likely make you a much better investor in the long run.

One thing nobody's mentioned yet - if you're buying the X5 45e plug-in hybrid, the $7,500 credit might be reduced soon depending on how many units BMW has sold. These EV credits start phasing out after a manufacturer sells 200,000 qualifying vehicles. Last I checked BMW hadn't hit that threshold yet, but they're getting close. Might want to check the latest numbers before making your decision.

Just wanted to add another perspective as someone who went through this exact decision last year. I'm also a realtor and was torn between similar vehicles. One thing that really helped me was tracking my actual business mileage for a few months before making the purchase. I thought I was driving about 75% for business, but when I actually logged everything, it was closer to 65%. That changed the math significantly on the Section 179 benefits. Also consider the practical side - the X5 is noticeably larger and can be harder to park at some properties, especially older neighborhoods with tight driveways. But it's much better for client transport when showing multiple properties in a day, and the extra cargo space is great for open house materials and signs. The fuel savings with the 45e hybrid are real if you can charge regularly. I have a home charger and rarely use gas for local showings anymore. Just make sure to factor in the cost of installing a Level 2 charger at home if you don't have one already - that's about $1,200-2,000 depending on your electrical setup. From a client impression standpoint, the X5 definitely projects more success, which can matter in higher-end markets. Not the most important factor, but worth considering if you work with luxury properties.