Just wanted to add something important that I learned the hard way - even though Square reports to the IRS via 1099-K, you still need to keep your own detailed records. The 1099-K only shows your gross payment volume, not your net income after refunds, chargebacks, or fees. I had a situation where a client disputed a charge and Square processed a chargeback, but my 1099-K still showed the original payment amount. When I filed my taxes, I only reported my actual net income (which was correct), but the IRS initially flagged it as underreporting because they were comparing my tax return to the gross amount on the 1099-K. I had to provide documentation showing the chargeback and Square's fees to reconcile the difference. So definitely keep records of any refunds, disputes, or processing fees - you'll need them to explain any discrepancies between your 1099-K and your reported income. The Square card for business expenses is still a great idea, just make sure you're tracking everything comprehensively.

One additional consideration I haven't seen mentioned yet: if you're using Square for business payments, make sure you understand the difference between business transactions and personal payments. Square can be used for both, and mixing the two can create headaches. For example, if you occasionally use Square to split dinner bills with friends or receive personal payments, those transactions will also appear on your 1099-K even though they're not business income. The IRS doesn't automatically know which Square transactions are legitimate business income versus personal transfers. I'd recommend either using Square exclusively for business or keeping meticulous records to separate business income from personal payments. If you do receive personal payments through Square, document them clearly so you can explain the difference to the IRS if needed. This becomes especially important once you hit that $600 reporting threshold, since all Square activity gets reported together on the same 1099-K form.

Has anyone here used TurboTax for handling income from an LLC for coaching? I just started a small LLC for my part-time coaching work and I'm trying to figure out if I need to pay for an accountant or if I can handle it myself.

Just wanted to add that if your brother-in-law is at the D2 level, he should be extra careful about the LLC structure. The income amounts at that level usually don't justify the complexity and additional costs (LLC filing fees, separate tax returns, potential state franchise taxes). I've seen a lot of smaller college coaches get talked into LLCs by agents when they'd actually save more money just maximizing their employee benefits and retirement contributions through the school. The QBI deduction mentioned earlier phases out pretty quickly for high earners, and self-employment taxes on the LLC income can eat up a lot of the supposed savings. Before setting anything up, I'd recommend having a CPA run the numbers on his specific situation - comparing LLC vs. just negotiating for more employer-paid benefits like additional retirement contributions, health savings account maxouts, or professional development stipends that come out pre-tax.

I've been through this exact situation! Made direct HSA contributions for three years now because my employer's payroll system is notoriously slow with changes. The process is straightforward - just make sure you have your HSA account number and routing info, then you can do an ACH transfer from your bank or even write a check. Most HSA administrators have online portals that make this really easy. One tip that saved me some headache: when you make the contribution online or by check, there's usually a field asking what tax year the contribution is for. Make sure you specify the correct year, especially if you're contributing between January 1st and the tax deadline for the previous year. Since your wife doesn't pay Social Security taxes anyway, you're not missing out on any FICA savings by going direct instead of payroll. The $1,600 tax savings your preparer calculated should be exactly what you'll get with direct contributions. Just remember to save the confirmation/receipt from your HSA provider - you'll want that documentation when you file your taxes.

This is exactly the kind of situation where direct HSA contributions make perfect sense! I've been making direct contributions for years because it's actually more flexible than payroll deductions. Since your wife doesn't pay into Social Security anyway, you won't lose any FICA tax benefits by going direct. The $1,600 savings your tax preparer calculated should be spot-on with direct contributions. Here's what I'd recommend: Most HSA providers have online portals where you can transfer funds directly from your checking account. The process usually takes 2-3 business days, and you'll get immediate confirmation. Just make sure to specify it's for the current tax year when you make the contribution. One advantage of direct contributions is that you actually have until April 15th (the tax filing deadline) to make contributions for the previous tax year, giving you even more time if needed. When tax season comes around, you'll report the contribution on Form 8889 - your HSA administrator will send you Form 5498-SA showing your total contributions. Pro tip: Keep a screenshot or email confirmation of your contribution for your records. Some people find it easier to just switch to direct contributions permanently rather than dealing with slow payroll systems!

I went through this same nightmare last year! Put in the wrong routing number and spent weeks worrying about where my refund went. Here's what I learned from the experience: The IRS system is actually pretty good at handling this - when the bank rejects the deposit (which happens within 3-5 business days), it triggers an automatic process to mail you a paper check. The whole thing took about 3 weeks from my original deposit date. One thing that really helped my anxiety was calling my bank to confirm they would reject any deposits to incorrect routing numbers. They explained that even if someone had the same routing number I accidentally used, the account number wouldn't match their records, so the deposit would bounce back to the IRS anyway. Also, if you're really stressed about timing, you might want to consider setting up informed delivery with USPS (it's free). That way you'll get an email preview of what mail is coming each day, so you'll know when your refund check is about to arrive. It definitely helped me stop checking my mailbox obsessively! The waiting is brutal, but this is honestly one of the most common tax filing mistakes and the IRS has it down to a science. Your money isn't lost - it's just taking the scenic route to get to you!

I'm going through this exact same situation right now! Filed my taxes about 3 weeks ago and just realized I used my wire transfer routing number instead of the ACH routing number. My bank has different numbers for different transaction types, and I grabbed the wrong one from my online banking. I've been checking the "Where's My Refund" tool daily and it still shows "refund sent" from last Friday, so I'm assuming the rejection hasn't processed through the system yet. Reading all these comments is honestly such a relief - I was worried my refund was going to disappear into some banking black hole! I'm definitely going to sign up for that informed delivery service someone mentioned and stop panicking every time I check my mailbox. It sounds like the 3-week timeline is pretty standard, so I just need to be patient and let the IRS do their thing. Thanks everyone for sharing your experiences - this thread has been way more helpful than anything I could find on the IRS website!

I feel your pain! I'm also going through my first tax season after a major life change (moved states for work), and everything feels so much more uncertain when your usual routine gets disrupted. I've been with SoFi for two years, and they definitely used to be more reliable with early deposits. This year I had a 2/19 deposit date and it didn't show up until exactly 2/19 at around 5:30am - no early deposit at all. What helped me was setting up account alerts so I'd get notified the moment anything posted, rather than obsessively checking throughout the day. Also, I learned that SoFi processes ACH deposits in batches, usually between 3-6am EST. Since your WMR shows approved with 2/26, I'd expect to see it hit your account tomorrow morning in that window. The waiting is the worst part, but you're so close! Hope it shows up bright and early for you! ✨

I'm experiencing the exact same thing with SoFi! My refund has a 2/26 deposit date and I've been checking my account obsessively since yesterday. Reading through all these comments has been such a relief - it sounds like SoFi really did change their early deposit policy this year, which explains why we're not seeing the usual 1-2 day early deposits. For anyone still waiting, it seems like the consensus is that deposits typically hit between 3-6am on the official date. I'm going to take the advice about setting up account alerts and try to get some sleep instead of refreshing my app every 20 minutes! Thanks everyone for sharing your experiences - this community is so helpful for navigating these stressful tax season moments. Fingers crossed we all wake up to good news tomorrow morning! 🤞