Quick question for anyone who knows - I'm in a similar situation but with a much smaller inherited IRA (about $43k). Is there a minimum amount where the IRS doesn't care about missed RMDs? Like if the penalty would be really small, do they sometimes just ignore it? Just wondering if there's a threshold where it's not worth their time to pursue.

I went through this exact situation with my father's inherited IRA back in 2021. Missed three years of RMDs and was absolutely terrified about the penalties. Here's what worked for me: First, don't panic - the IRS really is reasonable about penalty waivers when you're proactively fixing the mistake. I calculated all my missed RMDs using the Single Life Expectancy Table (you can find it in IRS Publication 590-B), took all the distributions immediately, then filed separate Form 5329s for each missed year. The key is the reasonable cause letter. I explained that I wasn't aware of the RMD requirement due to inexperience with inherited accounts, that I discovered the error through my own research, and that I had now taken all required distributions and would comply going forward. I attached documentation showing I had taken the catch-up distributions. The IRS waived all penalties - saved me about $4,200. The whole process took about 6 months from filing to receiving the waiver approval. The hardest part was actually getting all the year-end account statements I needed for the calculations, so make sure you contact your IRA custodian for those historical balances. One tip: when you take the catch-up distributions, ask your custodian to code them properly for each tax year they relate to, not just dump them all as 2025 income. This can help with the tax impact.

Based on the current tax season patterns, it seems like most post-verification refunds are probably arriving within about 7-14 days, though some might take a bit longer depending on various factors. The IRS systems appear to be processing somewhat faster than last year, at least for relatively straightforward returns. You might want to check your transcript daily if possible, as that's usually where you'll likely see updates before they show in WMR.

I went through identity verification last year and wanted to share my timeline to help set expectations. I verified on a Tuesday evening, and my transcript updated the following Friday with processing codes. My direct deposit hit exactly 12 days after verification. A few things that helped me stay sane during the wait: First, check your transcript weekly rather than daily - it typically only updates overnight on Thursdays/Fridays. Second, don't panic if WMR shows "still processing" for a while after verification - that's normal. Third, the 846 code with a DDD (direct deposit date) is what you're looking for on your transcript. Since you verified on Sunday and it's already been processed according to the IRS rep, I'd expect to see movement in your transcript by this Friday, with your refund likely arriving within the next 1-2 weeks. The fact that your verification notification disappeared immediately is actually a good sign - it means the system accepted it right away.

Has anyone used any of those equity financing companies like SecFi or ESO? I'm considering one to cover my exercise costs but worried about what I'm giving up in the long run.

I went through something similar with my startup equity in 2022. One thing to consider that hasn't been mentioned yet is the potential wash sale rules if you're also trading in your company's stock through secondary markets or employee stock purchase plans. Also, given your company's current situation (70% drop in valuation), you might want to look at Section 1202 qualified small business stock (QSBS) benefits. If your company qualifies, you could potentially exclude up to $10 million in gains from federal taxes when you eventually sell. This is another reason why exercising now at the lower FMV could be beneficial - it starts your 5-year holding period clock for QSBS. The key is making sure you have enough liquidity to cover both the exercise costs ($36,400 for 28,000 shares) and the tax bill (roughly $1.36M in ordinary income assuming you're in a high tax bracket). Don't forget about state taxes too - they can add significantly to your bill depending on where you live. Have you considered doing a partial exercise strategy? Maybe exercise 25% of your vested shares now to start the capital gains clock, then reassess in 6-12 months based on how the company is performing?

Don't forget to also check if your change in marital status affects your eligibility for certain tax credits and deductions! Many have income phase-out limits that differ for single vs. married filing jointly. For example: - Student loan interest deduction - IRA contribution deductions - Child tax credits - Earned Income Credit - Education credits A good tax pro or tax software can help you run the numbers both ways (filing separate vs joint) to see which is more advantageous in your specific situation.

Just wanted to add that you should also consider doing a "paycheck checkup" using the IRS withholding calculator on their website (irs.gov/W4App) once you update your status with HR. It's free and will help you determine if you need to make any additional adjustments to your withholding for the rest of the year. Since you got married in October 2023, you'll likely want to file as married for your 2023 taxes (you can choose married filing jointly or married filing separately - joint is usually better but not always). The calculator will help you figure out if you're on track for 2024 withholding too. Also, don't forget that marriage can affect other things like your FSA/HSA contribution limits if you both have accounts, and whether you're eligible for certain employer benefits. It's worth reviewing all of that while you're updating your HR records!

Has anyone had issues with FreeTaxUSA calculating the education credit incorrectly? I entered my 1098-T information exactly as it appears on the form, but the credit amount seems way off compared to what I got last year with TurboTax.

For anyone still struggling to find the education section in FreeTaxUSA, here's another approach that worked for me: Go to the main navigation and look for "Deductions & Credits" then scroll down to find "Education" or "Credits for Learning." Also, don't worry about the small amount on your 1098-T! Even a $95 tuition payment can qualify you for education credits. The Lifetime Learning Credit allows up to $2,000 in qualified expenses and gives you 20% back, so you could potentially get around $19 back from that $95. It's definitely worth including. One more tip - make sure you have your AGI (Adjusted Gross Income) handy because education credits have income limits, but for most people with small tuition amounts like this, you'll likely qualify.