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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
Most of those should be pre-tax! Your 401k, health insurance (MED), dental (DEN), vision (VIS), flexible spending account (FSA), and health savings account (HSA) are almost always pre-tax. STD/LTD (disability) and LIFE can be either pre or post-tax depending on your company's plan. If your disability or life insurance is pre-tax, just remember any benefits you receive later would be taxable. If they're post-tax now, benefits later are tax-free. You can usually tell which is which on your paystub because they'll show your gross income, then pre-tax deductions, then your taxable income, then post-tax deductions.
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.
I filed on February 2nd and my transcripts were blank until March 29th. Called the IRS on March 15th and they couldn't tell me anything useful. Just the standard "allow 21 days" response. Then suddenly on March 29th everything updated at once and I had my refund on April 3rd. The system is frustratingly opaque this year - worse than 2023 for sure. My advice is to just keep checking Friday mornings, as that's when most updates happen.
Hey there! I totally get your frustration - the waiting game with blank transcripts is the worst, especially when you really need that refund. I went through something similar last year as a newer filer too. Since you filed in February and it's now March, you're likely still in the normal processing window, even though it feels like forever. The blank transcripts just mean your return hasn't been assigned to a processing cycle yet - think of it like being in line at the DMV but not knowing what number you are. A few things that might help while you wait: ⢠Keep checking WMR (Where's My Refund) - if it shows "received" that's at least confirmation they have your return ⢠Try checking Friday mornings since that's when most transcript/WMR updates happen ⢠Make sure your return was actually accepted by your tax software (not just submitted) ⢠If you claimed EITC, CTC, or ACTC, those automatically take longer due to PATH Act holds The good news is once things start moving, they usually move pretty quickly. Hang in there - you should see some movement soon! š¤
Anyone know if there's a fee for filing an extension through TurboTax? I remember a few years ago they tried to charge me extra for this but I'm not sure if that's still the case.
Filing a federal extension (Form 4868) is actually free through TurboTax or directly through the IRS. What TurboTax might charge for is filing a state extension, depending on which state you're in. Some states automatically grant extensions if you get a federal one, but others require separate filings.
Just want to add from my experience - when you file an extension through TurboTax, it's super important to be as accurate as possible with your estimate even if you don't have all your documents yet. I learned this the hard way a couple years ago when I way underestimated what I owed and got hit with penalties even though I had filed the extension properly. What helped me was looking at my previous year's tax return and adjusting based on any major changes in income. If your freelance work was similar to last year, you can use that as a baseline and add a buffer. The IRS is generally more forgiving if you overpay and need a refund than if you underpay and owe more later. Also, don't forget that if you made quarterly estimated payments during the year, those count toward what you owe! I almost double-paid one year because I forgot to factor those in when calculating my extension payment.
Has anyone dealt with the situation where BOTH you and your parents file conflicting returns? I accidentally claimed myself as independent last year when my parents had already claimed me as dependent. It was a NIGHTMARE. We got letters from the IRS and had to file amended returns.
Yeah, the IRS flagging system catches that automatically. If you're trying to figure out the right answer, err on the side of caution. If your parents claim you and you're not 100% sure you should be independent, let them take the deduction. You can always file an amended return later if you confirm you should have been independent.
This is such a common situation! I went through something similar when I was 24 and had just started working full-time while living at home. The support test calculation can be tricky, but it's really important to get it right. One thing that helped me was creating a spreadsheet to track all the support items. I included fair market rent for my room (looked up similar rentals in the area), my portion of utilities, groceries, health insurance premiums, car expenses, phone bill, clothing, entertainment, etc. Then I calculated what percentage I paid vs. what my parents covered. Don't forget to include things like the value of meals your parents provide, any medical expenses they pay for you, and educational expenses if applicable. These can add up to more than you might think. The key insight for me was realizing that even though I was earning decent money, the fair market value of housing in my area was really high, so my parents were actually providing more than half my total support even with my income. Make sure you're using realistic market values for housing costs - don't lowball it just because your parents own their home outright.
Drew Hathaway
I had this exact situation last April! According to the IRS website (https://www.irs.gov/individuals/understanding-your-cp05-notice), these reviews are part of their fraud prevention program. Mine was triggered because I claimed a home office deduction for the first time. The timeline on the IRS site says 60 days, but mine was resolved in 47 days with no additional information requested. The refund just showed up in my account with interest! The IRS Operational Status page (https://www.irs.gov/newsroom/irs-operations) sometimes has updates on processing times for these reviews as well.
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Edwards Hugo
I went through something similar when I changed my filing status to Head of Household after my divorce. The CP05 notice can definitely be stressful when you're counting on that refund! In my case, it took about 8 weeks to resolve, but the IRS was specifically verifying my eligibility for Head of Household status and making sure I met the requirements (like paying more than half the household costs and having a qualifying dependent). Since you mentioned this involves your ex-spouse and child tax credits, I'd recommend gathering all your divorce documentation that shows the custody arrangement and who's entitled to claim which children. The IRS sometimes sees duplicate claims and needs to sort out who has the legal right to claim each credit. One thing that helped me was calling the Taxpayer Advocate Service at 1-877-777-4778. They were more helpful than the general IRS line when I needed to understand what was happening with my review. They can't speed up the process, but they can sometimes provide more specific information about what the IRS is looking for. The good news is that in most cases, these reviews end favorably for the taxpayer when everything is legitimate. Hang in there!
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Ella Russell
ā¢This is really helpful advice! I'm going through my first year filing as single after being married for 8 years, so I can relate to the stress of status changes triggering reviews. Quick question - when you called the Taxpayer Advocate Service, did they ask for specific information upfront, or were they able to look up your case just with your SSN? I'm wondering if I should wait a bit longer or reach out proactively. The divorce decree clearly states who claims which child, so I'm hoping that documentation will be sufficient once they review it.
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