Does anyone know if the gift tax exclusion amount changes every year? I remember it being much lower like $14k or $15k in the past. Want to make sure I'm using the right number for 2024.

Just wanted to add another perspective on the timing aspect of stock gifts. If you're gifting stocks that have appreciated significantly, consider the potential impact of the wash sale rule if your daughter might sell them soon after receiving them. Also, make sure to coordinate with your brokerage about the actual transfer process. Most brokerages have specific forms and procedures for gifting securities between accounts. Some require both parties to have accounts at the same institution, while others can facilitate transfers to external brokerages. One more tip - if you're planning to make this an annual gift to help build her portfolio over time, consider setting up a systematic approach. You could gift a portion of your holdings each year to stay within the exclusion limits and spread out the tax implications for her over multiple years. This strategy works particularly well with growth stocks that you expect to continue appreciating.

Don't forget to check if she needs to pay state income tax in the state where she's working! Federal exempt status doesn't automatically mean state exempt. Some states have much lower thresholds for taxation.

Great question! I went through this exact situation with my college-age son last year. The key thing to remember is that being claimed as a dependent doesn't automatically disqualify your daughter from claiming exempt status on her W-4 - it just changes how her standard deduction is calculated. As others have mentioned, for dependents in 2025, the standard deduction is the greater of $1,250 or earned income plus $400 (but capped at the regular standard deduction of $14,600). With her expected $6,700 in earnings, her standard deduction would be $7,100. One additional tip: make sure she keeps good records of her actual earnings throughout the summer. If she ends up making significantly more than expected and goes over that $7,100 threshold, she might owe some tax even though she claimed exempt. In that case, she'd need to make quarterly estimated payments or face potential penalties. Also, don't forget about FICA taxes (Social Security and Medicare) - those will still be withheld from her paychecks regardless of her exempt status, since exempt only applies to federal income tax withholding.

Warning - my husband and I did this (both claimed 1) while filing separately and we ended up owing $1,200 at tax time! Make sure you're accounting for the fact that married filing separately means you lose some tax benefits. We had to scramble to pay our tax bill.

As someone who's been through the exact same situation (married filing separately due to student loans with a young child), I'd strongly recommend being conservative with your withholding changes. The student loan repayment strategy that requires separate filing often means you're already in a more complex tax situation. Here's what worked for me: I kept claiming 0 on my W-4 but had my spouse claim 2 allowances on theirs (or use the equivalent on the new W-4 form). This way we weren't both over-withholding, but we also weren't risking a big tax bill. The person with the higher income (sounds like your husband) can usually handle claiming more allowances safely. Also, make sure you've agreed on who will claim your child each year - this needs to be consistent and strategic since that parent gets the child tax credit. We alternated years based on who had higher income that year to maximize the benefit. I'd suggest running the numbers through the IRS withholding calculator first before making any changes, especially with your income levels. Better to get a small refund than scramble to pay a tax bill!

I've been through this exact situation multiple times for various financial applications, and the online transcript system really is a game-changer when it works properly. A few additional tips that might help: If you're getting verification errors, try clearing your browser cache and cookies before attempting again. Sometimes the IRS system gets confused with stored login data from previous attempts. Also, make sure your browser allows pop-ups from IRS.gov - the transcript download often opens in a new window, and if pop-ups are blocked, it might look like the system failed when it actually worked. One thing I learned the hard way: if you've recently filed an amended return, wait at least 2-3 weeks before requesting a transcript online. The system might not reflect the most current information immediately, which could cause issues with your financial aid verification. And yes, definitely get the official transcript rather than relying on your 1040. Financial aid offices are very particular about this - they need the IRS verification that your return was actually processed, not just a copy of what you filed. Better to get it now than have your aid delayed later!

Adding to all the great advice here - one thing that really helped me when I was in a similar rush for financial aid documents was setting up the IRS account during off-peak hours. I tried during lunch break on a weekday and kept getting timeout errors, but when I did it at 6 AM on a Saturday, everything went smoothly and I had my transcript downloaded within 10 minutes. Also, if you're still a student, check if your school has a financial aid office that can help walk you through the process. Some universities have staff who are really familiar with the IRS transcript system and can troubleshoot issues in real-time. When I was struggling with the verification steps, the financial aid advisor at my school actually screen-shared with me and helped me get through it successfully. One last thing - save multiple copies of your transcript PDF in different locations (email it to yourself, save to cloud storage, etc.). You might need to reference it again later in the financial aid process, and it's much easier than having to go through the whole IRS system again if you lose the file!

Does anyone know if you can still get the refund advance if you have tax payments due from previous years? I owe about $800 from 2023 that I'm on a payment plan for, but I should be getting about $3000 back this year.

Just to add some helpful context for everyone asking about eligibility and amounts - the TurboTax refund advance program typically has a few key requirements beyond just the minimum refund amount: 1. Your expected federal refund needs to be at least $500 (as mentioned earlier) 2. You can't have any federal tax liens or levies 3. Your Social Security benefits can't be garnished 4. You need to pass their identity verification process The advance amounts are usually tiered: $250, $500, $750, $1,000, $1,250, $2,000, $3,500, or $4,000 depending on your expected refund size and their risk assessment. One thing I learned from experience - if you're planning to use the advance, make sure you have all your tax documents ready to go on January 2nd. The sooner you file after the program launches, the better your chances of getting approved, especially if you're borderline on any of their criteria. Also, keep in mind that while there are no fees for the advance itself, you do need to use TurboTax's paid service (usually around $60-120 depending on your return complexity) unless you qualify for their free version.