Do you know if there's any time limit on claiming these reimbursements? Like, if this has been available all year but I didn't know about it, can I still submit medical expenses from early 2024?

That depends entirely on your employer's specific plan documents. Most QSEHRA plans allow claims from the entire coverage period, but there's usually a submission deadline after the year ends - often 90 days after the plan year closes. So for 2024 expenses, you might be able to submit until March 31, 2025, but this varies by employer. Ask your HR department for a copy of the QSEHRA plan documents. These should specify exactly what expenses qualify, how to submit claims, and all submission deadlines. If they're confused about having this plan, that's concerning - someone at your company authorized this benefit and should understand how it works.

This is important! The QSEHRA benefit can affect your premium tax credit, but it doesn't necessarily disqualify you. You need to report the QSEHRA on your taxes when calculating your PTC.

Thanks for the insider perspective. I'm curious - what causes such a dramatic change in refund amount after a rejection? Is it usually errors in the original filing or something else? And what should I have asked for specifically to prevent the huge price jump?

Dramatic refund changes after rejection usually happen when the preparer has to correct information that was entered incorrectly the first time. Common examples include incorrect filing status, missing income that the IRS already has on record (like a forgotten W-2 or 1099), or incorrectly claiming credits you don't qualify for. When these corrections happen, tax liability can shift dramatically. To prevent price jumps, always ask for a detailed price list before starting. Request a written breakdown of exactly what forms and schedules are included in the quoted price and what will trigger additional charges. Some offices charge per form rather than a flat fee, so things like reporting cryptocurrency transactions, self-employment income, or education credits can each add $50+ to your bill without warning. Get the pricing structure in writing and ask them to notify you before preparing any forms that would increase your originally quoted price.

This is absolutely correct. I work at a different tax firm and we CANNOT submit without a signed 8879 for each filing. It's a huge compliance issue and could get them in real trouble with the IRS. The practitioner risks losing their filing privileges.

Oh that's good to know! I'm looking at my form now and it does have some numbers in both the "total ordinary dividends" box and the "qualified dividends" box. Does this mean I got both types?

Yes, that means you received both types. The qualified dividends (which get the preferential tax rate) are actually a subset of your total ordinary dividends. Your tax software or preparer will ask for both numbers. The qualified portion will be taxed at the lower rate (0%, 15%, or 20% depending on your income), while the non-qualified portion (total ordinary minus qualified) will be taxed at your regular income tax rate.

Is there any way to simplify this for future tax filing? My broker offers multiple cost basis methods (FIFO, average cost, etc) - would one be better for someone planning to hold for 10+ years?

OMG thank you for mentioning this! I just checked my pay stubs and they ARE withholding state taxes, but I hadn't even thought to check. That's at least one relief in this mess.

This is terrible advice for this situation. Offers in Compromise are extremely difficult to qualify for and usually only apply when someone has no hope of ever paying the full amount due to permanent financial hardship. With an $85k salary, OP almost certainly wouldn't qualify. An installment plan is much more appropriate.

Thanks for mentioning the QBI deduction! I hadn't even thought about that possibility. The project was definitely a one-time thing where I was basically a research subject/participant for about 3 months. I didn't have any real business expenses except maybe using my home internet a bit more than usual for uploading responses and attending a few zoom sessions. Based on everyone's advice, I'm leaning toward filing it as "Other Income" since I wasn't running a business. Does that seem right for my situation?

Based on what you've described, classifying it as "Other Income" on Schedule 1 rather than self-employment income on Schedule C seems appropriate. The key factors are: it was a one-time project, you were more of a participant/subject than a service provider, and you didn't have the intention of creating an ongoing business activity. For future reference, keep documentation about the nature of the project in case there are any questions. The university likely issued a 1099-NEC simply because that's the form they use for any non-employee payment, but that doesn't automatically make you self-employed for tax purposes. The substance of the relationship matters more than the form used to report it.

FreeTaxUSA actually handled my research stipend correctly. You need to go to the Income section, select "Miscellaneous Income" and then choose "Other Income not reported on W-2/1099" instead of selecting the 1099-NEC option. Then you can manually enter the payer info and amount from your 1099-NEC. This puts it on Schedule 1 as Other Income rather than Schedule C.