Another thing to consider is that there's an annual gift tax exclusion ($17,000 for 2024). Since your I-Bond is only $3,000, it's well under that limit anyway, so you wouldn't have to file a gift tax return even if you had completed the gift. But the other commenters are right that it's not even considered a completed gift yet while it sits in the gift box.

I think everyone is overlooking that I-Bond interest is exempt from state income tax! That's a huge benefit in California with our high state tax rates. Make sure you're accounting for that when deciding if/when to transfer the bond to your child.

Quick question - I'm dealing with similar issue but my employer is claiming I'm "partially an employee and partially a contractor" for different duties. Is that even legal?

I went through almost the exact same situation two years ago! My employer had me as 1099 for 8 months then switched to W-2. I was also worried about creating workplace drama since I liked my job. Here's what I learned: approach it as helping them fix an administrative error rather than accusing them of wrongdoing. I scheduled a meeting with HR and said something like "I noticed I received both a 1099 and W-2 for 2024, and I want to make sure we handle this correctly for both the company and my tax filing." Most employers actually appreciate when you bring this to their attention because misclassification can create bigger problems for them down the road with the Department of Labor or state agencies. My HR department was grateful I flagged it and immediately worked with payroll to issue a corrected W-2 covering my full year's income and voided the 1099. The key is framing it as "let's fix this together" rather than "you messed up." In my experience, reasonable employers want to do the right thing - they just need to understand what that is.

When u finally get in make sure to save PDFs of everything. Don't wanna go thru this whole process again trust me

Just went through this myself last month! Here's the step-by-step: 1) Look for "Get Transcript Online" button (should be blue and prominent on the main transcript page), 2) You'll be redirected to ID.me for identity verification - this is the tricky part that trips everyone up, 3) Have your SSN, phone, and a government ID ready for the verification process, 4) Once verified, you can download your transcripts immediately as PDFs. The ID.me verification can take 10-15 minutes if you do the selfie route, or longer if you need to upload documents. Don't get discouraged if it seems complicated - it's worth it for instant access. And definitely avoid that maintenance window on Feb 9th!

Here's a trick: call them every single day and be persistent. Ask for a supervisor if the first person can't help. I did this last year and suddenly my money appeared the next day. They can expedite if they want to, they just don't unless you make noise.

This is unfortunately super common with SBTPG. I've been through this exact scenario twice now. The "funded" status basically means they've received your refund from the IRS but haven't processed it to your bank yet. A few things that might help: 1. Call them every day and document each call - ask for reference numbers 2. Request to speak with a supervisor if you're not getting clear answers 3. Ask specifically if there are any holds or verification issues on your account 4. Double-check that all your banking info is correct in their system The 14-day timeframe everyone mentions is real - they legally have that long to process it. But in my experience, being persistent with daily calls can sometimes speed things up. The most frustrating part is their system rarely updates properly, so your money might hit your account before their website even shows a trace number. Hang in there - you're getting close to the point where you can really start pushing them for answers!

random thought but i just realized if ur getting the ERTC now for 2020, the statute of limitations for the IRS to claim it back might not have even STARTED yet lol. usually its 3 yrs from filing but for refunds/credits it can be different. my tax guy told me that for some credits the clock starts ticking from when u receive the $$ not from when u filed originally... just something to consider

This is such a timely discussion - I'm dealing with almost the exact same situation! Got my ERTC for 2020 just last month after what felt like an eternity of waiting. One thing I learned from my CPA is that even though we're past the normal 3-year audit window, the IRS still expects proper reporting of all income and credits. The key insight here is that the ERTC creates a "subsequent event" that requires amendment regardless of timing. For S-Corps specifically, the flow-through implications are crucial. You'll need to amend the 1120-S first to reflect the reduced wage expenses (since ERTC reduces your wage deduction), which will generate a corrected K-1. Then use that corrected K-1 to amend your personal 1040. What really helped me was understanding that this isn't about whether you're "safe" from audits due to timing - it's about compliance. The IRS has been pretty clear that ERTC recipients need to properly report these transactions when received, even if it's years later. Also worth noting: some states have different rules about how they treat ERTC, so definitely check your state requirements too. In my state, the reduced federal wage deduction flowed through and required a state amendment as well.