4 Has anyone here actually closed an ESA with Schwab specifically? I'm wondering if there's a special form or process beyond just requesting the distribution?

15 Great thread! I went through this exact situation last year with my ESA at Schwab. One thing I'd add - make sure to consider the timing of your withdrawal if you're planning to use any of the funds for qualified education expenses. I initially planned to just take the full distribution and pay penalties, but then realized my daughter was starting college in the fall. By timing the withdrawal to coincide with her tuition payment, I was able to avoid the 10% penalty on a significant portion of the distribution. The key is that the educational expenses need to happen in the same tax year as the distribution. Also, qualified expenses are broader than just tuition - they include room and board, books, supplies, and even some technology purchases. Worth looking into before you assume you'll have to pay the full penalty!

As a newcomer to this community, I have to say this thread has been incredibly enlightening! I'm currently dealing with my own unfiled 2022 return situation and was completely confused by the conflicting information online about these deadlines. The way everyone has broken down the difference between unfiled returns (3 years from due date) versus amended returns (3yr/2yr rule) finally makes it click for me. I had been reading IRS publications for weeks trying to figure out which rule applied to my situation. What really stands out is how many different tools and resources people have mentioned - from taxr.ai for understanding complex rules, to Claimyr for actually getting through to the IRS when you need human help, to the simple but crucial advice about using certified mail for proof of filing. @Glen Riddle - your multi-year strategy of applying refunds as credits is fascinating and shows just how complex these situations can get. Thanks for sharing such a detailed walkthrough of your experience. For anyone else reading this thread who might be in similar situations - it sounds like the key takeaway is don't let confusion about the rules prevent you from claiming refunds you're owed. The 3-year window for unfiled returns gives you time, but don't wait until the last minute like some of the examples here! I'm definitely filing my 2022 return via certified mail well before the April deadline after reading all these experiences.

This thread has been incredibly helpful! I'm a newcomer here and stumbled across this discussion while researching my own situation with unfiled 2020 taxes. What really struck me is how the IRS creates so much confusion by not clearly separating these different scenarios on their website. The distinction between unfiled returns (3 years from original due date) versus amended returns (the 3yr/2yr rule) should be front and center in their documentation, but instead you have to piece it together from multiple sources. @Javier Cruz - you did exactly the right thing filing before the May 17, 2024 deadline via certified mail. That receipt is your proof that you met the deadline for claiming your 2020 refund. @Glen Riddle - your multi-year strategy of applying refunds as credits to future tax years is brilliant and shows how these rules can work in your favor when you understand them properly. The fact that you got direct help from an IRS agent to ensure everything was applied correctly gives me confidence that they do want to help taxpayers sort these situations out. What I'm taking away from all these experiences is that the IRS deadlines are firm but fair - if you're owed money, they give you a reasonable window to claim it. The key is understanding which window applies to your specific situation and not letting confusion prevent you from claiming what's rightfully yours. Thanks to everyone who shared their experiences here. This kind of real-world guidance is so much more valuable than trying to decode IRS publications alone!

Jessica, I can really feel your stress through your post! As someone who recently went through a very similar situation, I want to reassure you that this confusion is more common than you'd think, and it's absolutely not your fault. Everyone here has given you excellent advice, and I want to emphasize the key points: This classification should NOT be your decision to make. Your employer is legally required to determine whether you're exempt or non-exempt based on specific Department of Labor criteria - your job duties, how you're paid, and your salary level. Here's what I'd do in your shoes with that tomorrow deadline: **Tonight:** Send a polite but direct email to your supervisor and HR (if you have one) saying: "Hi, I'm completing my payroll setup and want to ensure I select the correct exempt/non-exempt classification. Since this affects my pay structure and overtime eligibility, could you please confirm which classification applies to my specific role? I want to make sure everything is set up correctly from the start." **If you get no response:** Choose "non-exempt" as your default. This is the safer option because most employees are non-exempt, and it's better to potentially receive overtime pay you weren't supposed to get (which can be easily corrected) than to miss overtime pay you were legally entitled to. **Document everything:** Keep copies of your emails requesting clarification. If there are any issues later, this shows you tried to get proper guidance. Remember, asking for clarification actually makes you look MORE professional, not less. It shows you understand the importance of employment law compliance. Any reasonable employer will appreciate that you're being thorough rather than just guessing on something that affects your legal rights and pay structure. This can absolutely be corrected later if needed, so try not to let it stress you out too much. You're going to do great at your new job!

Jessica, I completely understand your panic - being asked to make this choice without proper guidance on your first week is really stressful! As someone who's been through similar confusion with employment classifications, I want to echo what everyone else has said: this really shouldn't be your decision to make. Your employer is legally required to determine your exempt/non-exempt status based on specific criteria under the Fair Labor Standards Act - your job duties, salary structure, and level of independent decision-making authority. The fact that they're leaving this up to you suggests either a poorly designed onboarding system or a gap in their HR knowledge. Since you have that deadline tomorrow, here's my practical advice: 1. **Check your hiring documents first** - Your offer letter or job description might already specify whether you're hourly/salaried or even state your classification directly. 2. **Send an email tonight** - Reach out to your supervisor and HR saying something like: "I'm completing my payroll forms and want to ensure I select the correct exempt/non-exempt classification. Could you please confirm which applies to my position as [job title]? I want to make sure everything is compliant and accurate from day one." 3. **If you must choose without guidance** - Go with "non-exempt" as the safer default. Most employees fall into this category, and it's better to potentially get overtime pay you weren't supposed to receive (easily correctable) than to miss overtime pay you're legally entitled to. 4. **Document your efforts** - Save any emails showing you tried to get clarification but were required to choose without proper guidance. Don't worry about seeming inexperienced by asking - this actually shows you're detail-oriented about compliance issues, which any good employer will appreciate. This can be corrected later if needed, so try not to let it keep you up at night. Focus on doing great work in your new role - that's what really matters!

Has anyone used TurboTax to handle reporting a vacation home sale? I'm dealing with this exact situation now and wondering if I need to pay for a CPA or if the software can handle it properly.

Great question! Yes, you'll definitely owe capital gains tax on that $175,000 profit since it's a vacation home, not your primary residence. The good news is that since you've owned it for over a year, you'll pay the lower long-term capital gains rate (likely 15% or 20% depending on your income level). A few things that could help reduce your tax bill: - Document ALL improvements you've made over the 8 years (new appliances, flooring, roof repairs, deck additions, etc.) - these get added to your original $195k purchase price - Don't forget closing costs from when you bought it originally - You can deduct selling expenses like realtor commissions and closing costs from the sale Since you're planning to retire to Florida soon, the timing might actually work in your favor if your retirement income will be lower - that could potentially put you in the 15% capital gains bracket instead of 20%. Definitely worth running the numbers or consulting with a tax professional given the size of the gain!

I've been following this thread religiously since I'm in the exact same boat - filed in February and still stuck with that maddening "still processing" message! After reading everyone's success stories, I'm feeling much more hopeful about actually getting through to someone. The consensus seems really clear: try the payment line approach at 7am Eastern on a weekday (preferably Wednesday or Thursday), have your SSN, last year's AGI, and expected refund amount ready, and be polite but direct about needing help with refund status even though you called the payment line. What really gives me confidence is seeing so many people confirm that this actually works - not just one person getting lucky, but multiple success stories with similar approaches. The 15-25 minute wait times through the payment line versus hours on the refund line is just night and day. I'm planning to try first thing Monday morning at 7am sharp. My refund is about $2,800 that I desperately need for car repairs, so I'm willing to set that early alarm if it means finally getting some real answers instead of automated runaround. Thanks to everyone who took the time to share what worked for them - this thread has been more helpful than anything I've found on the official IRS website! I'll report back if I have success with the strategies discussed here.

I've been lurking on this thread for a while and finally decided to create an account just to say thank you to everyone who shared their experiences! I was in the exact same situation - filed in February, stuck with "still processing" for months, and getting absolutely nowhere with the phone system. After reading through all the advice here, I tried the payment line approach yesterday morning at 7:10am Eastern. I was honestly skeptical it would work, but I got through to a real person in just 18 minutes! The representative was incredibly helpful and discovered that my return was held up because I had claimed the Child Tax Credit and they needed to verify some information. She was able to see that all my documentation was actually correct and released the hold immediately. She said I should see my refund ($4,100) within 2-3 weeks, and she put detailed notes on my account about our conversation. What really struck me was how straightforward it was once I actually got to talk to a human being. All those weeks of stress and wondering what was wrong, and it turned out to be a simple verification issue that took 5 minutes to resolve once someone could actually look at my account. For anyone still struggling - the strategies shared in this thread absolutely work. Have your last year's AGI ready (that was the main thing she asked for to verify my identity), call early in the morning, and don't be afraid to use the payment line approach. These people genuinely want to help once you can reach them!