Does anyone know if selling the property would let me use those accumulated losses? I've been carrying forward losses for like 3 years now and wondering if I should just sell.

Great thread! Just wanted to add that if you're a real estate professional (which has very specific IRS requirements), your rental activities might not be considered passive at all. You need to spend more than 750 hours annually in real estate trades or businesses AND more than half your personal services must be in real estate activities. If you qualify as a real estate professional, your rental losses can offset other types of income without the passive activity limitations. It's a high bar to meet, but worth investigating if you're heavily involved in real estate. Most casual landlords won't qualify, but thought it was worth mentioning since it's another exception to the passive loss rules.

Just my two cents - I'm 21 and I've been doing my own taxes since I was 18 using free tax software. Start doing your own taxes now while they're simple! You'll learn so much and it'll help you understand your finances better. You can always switch to a professional later if your situation gets more complicated (like buying a house, starting a business, etc). The confidence and knowledge you gain from handling your own taxes is super valuable.

For someone your age with a straightforward tax situation, I'd definitely recommend starting with free tax software like FreeTaxUSA or the IRS Free File options. You'll save money and learn valuable skills about your own finances. Your professor's advice about CPAs is good for complex situations, but honestly overkill for a 19-year-old with W-2 income. The tax software today is really user-friendly and walks you through everything step-by-step. It'll ask you simple questions like "Did you go to school?" and automatically apply education credits you qualify for. The biggest advantage of doing it yourself when you're young is that you'll understand what's happening with your taxes. This knowledge becomes super valuable as your financial situation gets more complex over the years. Plus, if you ever do need professional help later, you'll be able to have more informed conversations with them. Start simple now - you can always upgrade to professional help if your situation becomes more complicated with things like business income, investments, or major life changes.

Wait, I think I've been doing this wrong for years then... I've been skipping some business deductions because I thought I couldn't claim them unless I itemized! So you're saying even with standard deduction I can still write off all my business expenses on Sch C?

This thread has been incredibly helpful! I had the exact same confusion when I started my consulting business last year. The key insight that finally clicked for me is thinking of it as two completely separate "buckets": **Business Bucket (Schedule C):** All your legitimate business expenses go here - office supplies, equipment, travel, professional services, etc. This reduces your business profit before it even touches your personal tax situation. **Personal Bucket (Schedule A vs Standard):** This is where you decide between listing personal deductions like mortgage interest and charitable donations OR just taking the standard deduction. The magic is that these buckets don't interfere with each other at all! Your business expenses reduce your business income on Schedule C, and then that reduced net profit flows to your personal return where you make a completely separate choice about standard vs itemized deduction. I wish someone had explained it this simply when I was first starting out - would have saved me so much stress and confusion!

Have you considered section 280A limitations? This limits your deductions to the gross income from the rental activity when you're renting part of your personal residence. This might affect your ability to claim a loss.

Great question about Schedule C vs Schedule E treatment! You're absolutely right that the classification matters here. Since you're running this as a short-term rental business (less than 7 days average stay), it should be reported on Schedule C as business income, not Schedule E as rental property income. This is actually good news for you because Schedule C businesses aren't subject to the Section 280A limitations that restrict home office deductions to the income generated. However, you do need to be careful about the business use vs personal use allocation. One thing to double-check: make sure you're consistently treating this as a business. Keep detailed records of your advertising efforts, guest communications, cleaning schedules, and any business improvement activities. The IRS likes to see that you're operating with a profit motive, especially in the first few years when losses are more common. Also consider whether you qualify for the Section 199A QBI deduction on any future profits from this business - it could provide additional tax benefits down the road.

Im confused about pretax vs posttax deductions... which ones should be taken out before taxes are calculated? my paystub has these codes: 401k, DEN, MED, VIS, FSA, HSA, STD, LTD, LIFE

Check if your company switched payroll providers or updated their system recently - that often causes sudden changes in deduction codes and amounts. I had a similar situation where a system upgrade changed how my benefits were being calculated mid-year. Also look for an "earnings statement" or "pay stub legend" section on your company's HR portal or intranet. Most employers are required to make this information accessible to employees. If you can't find it online, ask a coworker who's been there longer - they might know where to find the documentation. The $95 jump could also be due to benefit elections kicking in if you recently went through open enrollment, or if you hit a salary threshold that triggered additional deductions. Sometimes companies also add new voluntary programs (like legal insurance or identity theft protection) that you might have accidentally enrolled in during benefits signup.