processed = they looked at it. processing = they looking at it. paid = we still waiting 😤

As someone who's been through this process multiple times, I can confirm what Lauren said is spot on! The key thing to remember is that "processed" doesn't automatically mean approved - it just means they're done reviewing your return. I've had returns go to processed status and then get additional review codes added later. The real indicator is looking for specific codes like 846 (refund issued) or 971 (notice issued) on your transcript. Also check your "as of" date - if it's current, that's usually a good sign. Don't stress too much about the daily checking though, once it's processed the refund typically comes within 1-3 weeks if everything is approved!

Has anyone used Drake Tax software for complex trusts with timber sales? I'm trying to figure out if it will automatically handle the distribution of capital gains correctly between schedules or if I need to make manual adjustments. The software keeps giving me a diagnostic warning about capital gains distributions.

I've been dealing with similar timber sale issues in complex trusts for several clients, and I want to add a few practical points that might help. First, regarding your Schedule B Line 10 question - yes, absolutely include the $1,600 there. This is critical for ensuring the income gets the proper tax treatment at the beneficiary level rather than being taxed to the trust. One thing I'd recommend double-checking: make sure your trust document actually allows for discretionary distributions of capital gains. Some older trust documents only permit income distributions, not principal distributions (which capital gains are often considered). If your trust document is restrictive on this point, you might need different treatment. Also, since you're both trustee and sole beneficiary, document your distribution decision properly. Even though it seems straightforward, having a written trustee resolution authorizing the distribution of capital gains can help if the IRS ever questions the treatment. For the timber specifically, keep detailed records of the basis adjustments over time. With small periodic sales like yours, tracking the depletion properly becomes important for future sales. The IRS has specific rules for timber depletion that can affect your basis calculations in subsequent years.

As someone who's been through this exact situation, I can share what worked for me! I lived with my parents rent-free when I started travel nursing too, and here's what I did to establish a legitimate tax home: 1. Created a simple written rental agreement with my parents for $200/month (way below market rate but shows financial responsibility) 2. Set up automatic bank transfers with clear descriptions like "rent payment" 3. Took over paying one utility bill (I chose the internet bill - around $80/month) 4. Made sure ALL my official documents used their address (license, voter registration, bank accounts, etc.) 5. Kept detailed records of every payment and contribution The most important thing is consistency and documentation. The IRS doesn't require you to pay market-rate rent, but you DO need to show genuine financial ties to the location. Even small, regular contributions count as long as you can prove them. Also, make sure you understand the "temporary vs indefinite" rule - your assignments need to be expected to last less than one year to qualify for tax-free stipends. Since you mentioned 3-6 months, you should be fine there. Good luck with your first assignment! Maryland is a great place to work as a travel nurse.

Great question about the temporary vs indefinite rule! Each individual assignment needs to be expected to last less than one year - so your plan of doing back-to-back 3-6 month assignments is perfectly fine from a tax perspective. The IRS looks at each contract separately, not your total time away from home. However, there is one thing to watch out for: if you stay in the same general area for more than 12 months total (even with multiple contracts), the IRS might start to consider that your new tax home. So as long as you're moving between different cities/regions for your assignments, you should be good. Also wanted to add to the great advice already given - consider getting a small storage unit or keeping some personal belongings at your parents' house. This helps demonstrate that you truly consider it your permanent residence and plan to return there. The IRS likes to see that you haven't "abandoned" your tax home. One more tip: keep a simple calendar or log of days spent at your tax home vs. assignment locations. While there's no specific requirement, spending some time at your tax home between assignments (even just a few days) helps reinforce that it's truly your permanent base.

As a newcomer to this community, I've been following this discussion with great interest since I'm in almost the exact same situation! I have a single-member LLC with S Corp election and am dealing with MBA student loans from a few years back. The depth of practical knowledge shared here has been incredible. I'm particularly grateful for the real-world experiences from @McKenzie Shade, @Charlee Coleman, and others who have actually implemented Section 127 Education Assistance Programs. The documentation requirements initially seemed daunting, but seeing the step-by-step approaches and templates mentioned makes it feel much more manageable. A few questions as I prepare to move forward: **Loan servicer coordination**: Has anyone had experience with FedLoan Servicing specifically? I want to make sure there won't be any issues with them accepting business payments before I establish the program. **Implementation timeline**: Given that we're already partway through 2025, would it make more sense to establish the program now for partial-year benefits, or wait until 2026 to get the full $5,250 annual limit? I'm trying to balance the administrative setup time against the potential tax savings. **CPA coordination**: For those whose accountants weren't initially familiar with Section 127, did you find any specific resources or publications that helped bring them up to speed quickly? The business connection aspect resonates strongly with me - my MBA in strategic management directly applies to my consulting work, and I love the idea of maintaining a project log showing specific applications of coursework concepts. Thank you all for creating such a valuable discussion! This has given me the confidence to pursue this approach with proper documentation and professional guidance.

As someone new to this community, this discussion has been absolutely invaluable! I'm in a remarkably similar situation - single-member LLC with S Corp election and MBA student loans that I've been wondering about for months. The real-world experiences shared here, especially the detailed implementation steps from folks like @McKenzie Shade and @Charlee Coleman, have transformed what seemed like an intimidating tax strategy into something very manageable. The emphasis on proper documentation and legitimate business purpose really resonates with me. I'm particularly interested in the point about maintaining detailed records of how MBA coursework applies to actual business operations. My MBA focused on organizational leadership and change management, which directly supports my HR consulting practice. Creating that project log connecting specific coursework to client engagements seems like a smart way to strengthen the business nexus. One aspect I'm curious about - has anyone dealt with multiple loan servicers through a Section 127 program? I have loans split between two different servicers from consolidating at different times. I assume I'd need to coordinate with both, but wondering if there are any complications with splitting the annual $5,250 benefit across multiple servicers. The timing discussion has been really helpful too. Given that this is now a permanent provision, the long-term value becomes much more compelling even if the annual amount seems modest compared to total loan balances. Thanks to everyone for sharing such detailed experiences. This thread should definitely be bookmarked as a resource for other small business owners facing this situation!

That salary range sounds about right for a mid-sized firm, though those hours are definitely brutal. I've been doing tax work for about 6 years and can tell you that while the long busy season hours are unfortunately standard, there's a lot of variation in how firms handle compensation and work-life balance. A few red flags to watch for: If they're being vague about bonuses or comp time, that usually means there isn't much. Good firms are transparent about their busy season compensation structure upfront. Also, pay attention to their turnover rate - if they're constantly hiring, it might mean people burn out quickly. One thing that's helped me survive busy seasons is being really strategic about efficiency. The firms that invest in good technology and processes make those long hours much more bearable than places where you're fighting outdated software all day. Before you decide, I'd definitely ask to speak with someone who went through last tax season there. Not a manager - an actual staff member who can tell you what February and March really looked like day-to-day. Their response (and whether the firm is willing to connect you) will tell you a lot about what you're signing up for. The experience can be valuable for your career, but make sure you're getting fair compensation for those sacrifice months!

I went through almost the exact same situation about 2 years ago when transitioning from industry accounting to tax! That $62,500 offer is pretty standard for mid-sized firms, and unfortunately the 50-60 hour weeks during busy season are just the reality of tax work. What really helped me evaluate my offer was breaking down the effective hourly rate. During those 4 busy months, you're looking at roughly 240-260 extra hours beyond a normal 40-hour week. That means your "busy season premium" needs to make those hours worthwhile. Here's what I'd definitely ask before accepting: **Compensation clarity:** Get specific numbers on busy season bonuses - not just "performance-based" but actual percentages or dollar amounts from previous years. **Summer schedule:** "Flexible hours" can mean anything from half-day Fridays to actual 32-hour weeks. Get the details in writing. **Career timeline:** Tax firms often promote faster than corporate, so understand when you'd be eligible for senior roles and the salary jumps that come with them. **Exit strategy:** Even if you plan to stay, knowing they support people transitioning back to industry shows they're not trying to trap you. The experience can be incredibly valuable - I learned more in my first tax season than in 2 years of corporate accounting. Just make sure the total compensation package (salary + bonus + perks + career growth) makes those brutal months worth it. And definitely talk to current staff if possible - they'll give you the real picture of what those hours actually look like day-to-day.