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I had this same dilemma when I started working during college! The general rule is to use your current residential address - the place where you actually live and sleep most nights. Since you're renting near campus and working in that town, your college address is definitely the right choice. One thing I learned the hard way is that consistency matters. Since you already used your college address when applying for the job, stick with that for all your employment paperwork. It'll make things cleaner if any issues come up later. Don't stress about this affecting your dependent status with your parents - that's determined by completely different factors like who provides your financial support, not what address you put on work forms. Your parents can still claim you as a dependent as long as you meet those other requirements. Pro tip: When you fill out your W4, make sure to indicate that you can be claimed as a dependent in Step 3. This will help ensure the right amount of taxes are withheld from your paychecks. You've got this - navigating taxes as a student is tricky but you're asking all the right questions!
This is such solid advice! I'm actually going through this exact same situation right now and was second-guessing myself about using my college address. It's reassuring to hear from someone who's been through it that consistency with the address you used when applying is important. Quick follow-up question - when you mention indicating you can be claimed as a dependent in Step 3 of the W4, is that just checking the box that says something like "I'm a dependent" or is there more to fill out there? I want to make sure I'm doing this right so I don't end up with a huge tax bill or refund next year. Also, did you run into any issues when you eventually graduated and had to change your address with your employer? Trying to think ahead to avoid any complications down the road!
I've been handling payroll for college students at my company for about 5 years now, and this is one of the most common questions we get! You're absolutely on the right track using your college rental address. From an employer perspective, we need your current residential address for several reasons beyond just mailing your W-2. It affects things like workers' comp coverage, emergency contact procedures, and sometimes even which state unemployment insurance we need to pay into. Since you're physically living and working in the college town, that address makes the most sense. The good news is that your dependent status with your parents is completely separate from your employment address. That's determined by IRS dependency tests (support, age, residency throughout the year, etc.) rather than what's on your W-4. One thing I always tell our student employees: if you're planning to move back home after graduation, give us a heads up a few weeks before you leave so we can update your address in our system. It's much easier to handle proactively than trying to track you down to deliver your final W-2! You're asking all the right questions - shows you're taking this seriously. Most students just fill out forms without thinking about the implications.
This is incredibly helpful perspective from someone who actually handles the payroll side! I never thought about things like workers' comp and unemployment insurance being affected by the address choice. That definitely reinforces that using my current college address is the right call. The tip about giving a heads up before moving after graduation is really practical advice too. I can see how it would be a nightmare trying to track down former employees who moved without updating their info. I'll definitely make sure to be proactive about that when the time comes. One quick question since you work with student employees regularly - do you see any common mistakes that students make on their W-4s that I should watch out for? I want to make sure I'm not missing anything important that could cause issues later.
Oh absolutely! The most common mistakes I see from student employees are: 1) Not checking the dependent box in Step 3 when their parents can claim them - this leads to way too much tax being withheld, 2) Filling out Step 4 incorrectly by adding extra withholding when they don't need it (students often think more withholding = safer, but it just gives the government an interest-free loan of your money), and 3) Not updating their W-4 if their situation changes mid-year, like if they stop being a dependent. Also, many students don't realize that if you expect to owe less than $1,000 in taxes and had no tax liability last year, you might be able to claim exemption from withholding altogether. Though honestly, most students are better off having some taxes withheld just to be safe. The biggest thing is just being honest about your situation and not overthinking it. The W-4 has gotten much simpler in recent years - just follow the instructions step by step and you'll be fine!
I'm in a very similar situation - caring for my disabled adult daughter and receiving Medicaid waiver payments that I've been incorrectly reporting on Schedule C for the past 4 years. Reading through all these responses has been eye-opening! One question I haven't seen addressed: if I switch to excluding these payments under Notice 2014-7, will this affect my ability to contribute to a SEP-IRA? I've been making retirement contributions based on this "self-employment income" for years. If I exclude the Medicaid payments, I'm wondering if I'll lose that retirement savings opportunity or if there are other ways to maintain tax-advantaged retirement savings as a caregiver. Also, for those who successfully amended multiple years - did you notice any impact on state taxes? I'm in California and wondering if the state will automatically adjust based on the federal changes or if I need to file separate state amended returns. Thank you all for sharing your experiences. This community discussion has provided more clarity than hours of searching through IRS publications!
Great question about the SEP-IRA impact! Unfortunately, if you exclude the Medicaid waiver payments under Notice 2014-7, you won't be able to use those payments as the basis for SEP-IRA contributions since they're no longer considered self-employment income. However, if you have any other legitimate self-employment income, you can still contribute based on that. Some caregivers I know have looked into opening a Roth IRA instead (if income limits allow) since those don't require earned income from self-employment specifically. You might also want to explore whether your state has any retirement savings programs for caregivers - some states have been developing these recently. Regarding California state taxes, you'll likely need to file separate state amended returns. California generally doesn't automatically conform to federal changes, especially for something as specific as Notice 2014-7. I'd definitely recommend checking with a California tax professional since state treatment of Medicaid waiver payments can vary significantly from federal rules.
This thread has been incredibly informative! I'm in a similar situation caring for my disabled spouse and receiving HCBS waiver payments that I've been reporting as self-employment income for three years now. One aspect I haven't seen discussed much is the interaction between Notice 2014-7 and Social Security benefits. Since I've been paying self-employment tax on these payments, they've been contributing to my Social Security earnings record. If I exclude them going forward and amend prior returns, will this affect my future Social Security benefits calculation? I'm particularly concerned because as a caregiver, I've had very limited other employment income over the past several years, so these payments have been my primary source of Social Security credits. Has anyone looked into this aspect or gotten guidance from Social Security Administration about how excluded Medicaid waiver payments impact benefit calculations? Also, I'm curious if anyone has experience with how this affects eligibility for other federal programs that use MAGI (Modified Adjusted Gross Income) calculations. Lower reported income from excluding these payments might actually help qualify for things like premium tax credits for health insurance. Would love to hear if anyone has navigated these broader implications beyond just the immediate tax benefits!
Don't forget to consider state taxes too! I learned the hard way that some states (looking at you, New Jersey) have different rules for capital gains offsets than the federal government. I had stock losses I used to offset real estate gains, but NJ limited how much I could offset.
Great discussion here! Just wanted to add a practical tip from my own experience - make sure you have good documentation for all your losses, especially if you're dealing with multiple asset types like stocks and real estate. I had a similar situation last year where I used stock losses to offset real estate gains, but during my tax prep I realized I was missing some key documents like the adjusted basis calculations for my rental property and detailed records of some stock transactions. The IRS can be pretty strict about substantiating your losses, so having everything organized upfront saves a lot of headaches. Also worth noting that if you're using a tax professional, bring all this documentation to them early in the tax season. The interaction between different types of capital gains and losses can get complex, especially when depreciation recapture is involved, and they'll need time to work through the calculations properly.
This is such good advice about documentation! I'm actually in a similar boat with stock losses and a property sale coming up. What specific documents should I be gathering for the rental property side? I have all my brokerage statements for the stock losses, but I'm not sure what records I need for calculating the adjusted basis on the rental property. Did you use any particular system for organizing everything?
I totally feel your frustration! I went through this exact same thing with my 2022 amended return earlier this year. That "completed" status is so misleading because it just means they finished processing it, but tells you absolutely nothing about the actual outcome. I was in the same boat for months - filed my amended return in March, it showed "completed" since July, but I had no idea if I was getting a refund or owed more money. That generic message about "resulting in a refund, balance due, or no tax change" is basically them saying "we know the answer but we're not telling you" š I finally called that 800-829-0582 ext 633 number after putting it off forever because I dreaded the hold time. Ended up waiting about 45 minutes, but the rep was super helpful and could see everything immediately on my account. Turns out I was getting a $923 refund and it was direct deposited about 2 weeks later! My advice: call first thing in the morning (7am sharp) for shorter wait times, and have your amended return, SSN, and original return ready. Don't stress about trying to decode those transcript codes - they're designed for tax professionals, not us regular folks. It's annoying that this is the only way to get answers, but at least once you call you'll finally know what's going on with your refund! Good luck! š¤
This is super encouraging to hear! I've been in limbo for what feels like forever and was starting to worry that something went wrong with my amended return. Your experience gives me hope that when I finally make that call, I'll get some actual answers instead of more confusing bureaucratic non-answers. $923 is a nice surprise too! I'm definitely going to follow your advice and call right at 7am tomorrow - might as well get it over with and finally know one way or the other. Thanks for sharing your story, it really helps to know this process eventually works out! š
I'm going through something really similar right now! Filed my amended 2022 return in June and it's been stuck on "completed" since September, but like you I have absolutely no clue if I'm actually getting money back or what. That whole "resulting in a refund, balance due, or no tax change" message is the most frustrating non-answer ever - like just tell us which one it is! Reading through everyone's experiences here, it sounds like calling that 800-829-0582 ext 633 number really is the only way to get actual answers. I've been avoiding it because the thought of sitting on hold for an hour makes me want to cry, but clearly there's no other option if I want to know what's happening with my own money. Those transcript codes are absolutely impossible to understand - I spent hours googling different codes and still felt completely lost. It's so ridiculous that they make this process so confusing when we're just trying to figure out basic information about our own tax returns! Going to follow everyone's advice and call first thing tomorrow morning at 7am. Fingers crossed we both finally get some good news after all this waiting! Thanks for posting this - it's weirdly comforting to know I'm not the only one dealing with this nightmare š
Ruby Knight
I've been through this exact situation with my amended return last year. From what I observed, the IRS systems do technically run on Saturdays but with very limited processing compared to weekdays. I tracked my updates for about 8 weeks and found that Saturday updates were rare - maybe 1 in 10 weekends showed any movement, and when they did, it was usually minor status changes rather than major processing milestones. The bulk of the action definitely happens Tuesday through Thursday. My advice? Check Monday mornings since any weekend processing would show up then, but don't stress about checking daily on weekends. The waiting is tough, but amended returns just take time to work through their system regardless of when you check!
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Annabel Kimball
ā¢This is really helpful advice! I'm also waiting on an amended return and have been checking obsessively every day. It's good to know that Monday mornings might be the best time to check for any weekend updates. The waiting really is the hardest part - I keep second-guessing whether I filled everything out correctly even though I double-checked everything multiple times. Thanks for sharing your experience, it helps to know this timeline is normal!
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Jenna Sloan
I can confirm what others have said about weekend updates being minimal. I've been tracking my amended return since January and kept a detailed log of when changes appeared. Out of 12 weekends I monitored, only 3 showed any updates on Saturday, and they were all minor code adjustments (like 971 notices or date changes), never the major processing codes like 846 for refund issued. Sunday updates were practically non-existent in my experience. The IRS definitely runs their main processing batches Monday-Friday, with Tuesday and Wednesday being the heaviest update days from what I observed. My amended return finally processed on a Wednesday morning after 16 weeks of waiting. My suggestion: check Monday mornings to catch any potential weekend processing, but save yourself the stress of checking Saturday and Sunday. The systems are working, just at a much slower pace on weekends.
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