That's a really good point I hadn't considered! The job is offering a high-deductible plan ($2,750) while my partner's plan has a $1,000 deductible. And you're right about the gap - I'm not sure if there would be a waiting period to get back on his insurance after my job ends. Do you know if special enrollment periods apply when you lose job-based coverage?

Yes, losing job-based coverage does qualify as a special enrollment event that would allow you to join your partner's plan outside the normal enrollment period. You typically have 30 days from the loss of coverage to request enrollment in the new plan. As for the deductible difference, that's definitely something to consider carefully. Also look at the premium costs - what would your employer charge versus what your partner's paycheck deduction would be for adding you? Sometimes the premium difference can outweigh the deductible savings. And don't forget to compare the networks - make sure your doctors are covered in both plans before making a decision.

This is super important! I got a high-paying temp job last year and didn't realize it was 1099 until I got my first check with NO taxes taken out. Was a huge shock when tax time came around. OP should definitely clarify if it's W-2 or 1099 before making any decisions.

Would love to see that spreadsheet! Does it handle different recovery periods (27.5 vs 39 year) and mid-quarter convention too?

Yes, it handles both 27.5 and 39-year recovery periods for real property. It also has a section for mid-quarter convention that I use for equipment and other business assets. I designed it to be pretty flexible where you just input the property type, cost basis, placed in service date, and disposal date. It automatically determines the right convention and calculates both the regular annual depreciation and any partial year amounts. I've found it matches up with what my accountant calculates manually.

Pub 946 is technically correct but extremely difficult to follow. I tried using those worksheets last year and still ended up making errors. The exampels they give never quite match my situation exactly.

Thanks for this! Would I just list "temp worker" as my business on the Schedule C? And for the home office, do I need to have a dedicated room or can it be like a desk in my bedroom? I'm worried about getting audited if I claim too much.

You can list "Telecommunications Contractor" or something similar as your business. For home office, the IRS prefers a dedicated space, but it doesn't have to be an entire room - a dedicated desk area that's used regularly and exclusively for work can qualify. Just measure that specific area for your deduction calculation. Don't worry too much about an audit if you're claiming legitimate expenses. Just keep good records of your expenses and be reasonable with your deductions. For example, don't claim 100% of your internet if you also use it for personal stuff - 30-50% is more reasonable depending on how much you use it for work.

This is such important advice! I learned this the hard way too. The IRS expects you to pay as you earn throughout the year. I got hit with penalties my first year as a contractor because I didn't know about quarterly payments.

Do you know if Vanguard's Solo 401k has similar fee structure to Fidelity? I've heard Vanguard has good low-cost index funds but wasn't sure about their 401k admin fees for small businesses.

Vanguard does have a similar fee structure with no setup or annual maintenance fees, and they definitely have excellent low-cost index funds. The main difference I found was that Fidelity allowed me to invest in a wider range of options including individual stocks within the Solo 401k, while Vanguard limited me to their funds. Both are solid choices though. The key is to avoid the providers that charge $200+ annual administration fees or have costly setup fees. Those can really eat into your returns over time, especially when you're just starting out with your retirement savings.

That's a really good point I hadn't considered. I don't have immediate plans to hire employees, but it's definitely possible in the next 2-3 years. So if I understand correctly, once I hire employees, I'd need to either: 1. Convert my Solo 401k to a regular 401k with all the additional compliance requirements 2. Or with a SEP IRA, I'd need to contribute the same percentage for employees as I take for myself Is there a clear better option between those two scenarios?

That's a good point - I did file a mail forwarding request with USPS but maybe the IRS notice didn't get forwarded correctly. I'm friendly with the new tenants so I could ask them to check if anything came for me. Any idea what these verification notices usually look like so I can tell them what to look for? And if they don't find anything, is there a way to request a copy of whatever notice was sent?

The identity verification letters are usually pretty obvious - they come in IRS envelopes and typically have "Action Required" or something similar printed on them. They're letter 5071C, 5747C, or 5447C usually. If your new tenants can't find it, you can request a copy of the notice by calling the IRS or checking your online account. If it's an identity verification issue, you might be able to complete the verification online through the Identity Verification Service without the original letter. Just go to the IRS website and search for ID verify. You'll need info from previous tax returns, so have that handy!

This actually works! My brother had a similar issue and after contacting his congressman's office, his refund was processed within 3 weeks. They have special liaisons that work directly with the IRS.