• Breaking News

    Friday, August 31, 2018

    Personal Finance Let's talk about the subreddit, our stance on advertising, and hear your feedback

    Personal Finance Let's talk about the subreddit, our stance on advertising, and hear your feedback


    Let's talk about the subreddit, our stance on advertising, and hear your feedback

    Posted: 31 Aug 2018 09:01 AM PDT

    Hello /r/personalfinance! The moderation team would like to update everyone on a few things, answer any questions, and listen to your feedback.

    We're looking for new moderators!

    If you're either a frequent participant on /r/personalfinance or an experienced moderator, please consider applying. You can submit an application here.

    The wiki

    Since our last meta post, we've added some new pages:

    We've also continue to maintain the entire wiki and updated pages including: Reading List, "How to handle $", Investing, and Roth or Traditional.

    Think something is missing and willing to write it? Let us know!

    Rules changes

    We haven't changed the rules significantly since our last major update when success stories and victory posts started being redirected to the weekend thread, but we have made a few clarifications to the rules including:

    • Rule 2: In addition to not allowing accounts that are named in a way to promote or advertise (e.g., "xyz_blog"), we now also disallow accounts with promotional user profile pages. Some promotional accounts trying to work around rule 2 started doing this shortly after the new user profile pages were made available.

    • Rule 6: Petitions are explicitly disallowed now.

    • Rule 8: Stripping and camming suggestions are explicitly disallowed now.

    • Rule 9: Medical advice is disallowed now. It's fine to tell someone "You need to go to a doctor" or whatever, but a small minority of people loudly advocating and pushing for specific treatments has become a bit of a problem on posts related to health care.

    • Rule 9: Job and school selection questions (e.g., "which offer should I take?")

      Edit: We've heard the feedback on the "Job and school selection" rule and we're going to revise the rule phrasing to be much more narrow or maybe entirely remove the rule (rule 1 arguably covers the rare removals that happen under this rule). Please don't forget to comment on the rest of this post!

    How should we handle success stories?

    We're thinking about allowing success stories to be posted on the weekday thread rather than just the weekend thread so that people who have a victory post removed are able to immediately repost. What do you think?

    30-Day Challenge Series

    If you haven't stopped by our 30-day challenge series lately, please check it out. If you have any suggestions for topics you would like to see us cover and you're willing to write it up, please let us know.

    Please welcome our newest moderators!

    AmNotLost, Econ0mist, T__Fish, chocolate_soymilk, kylejack, mail323, mormengil, slalomz, StarKiller99, IShouldBeDoingSmthin, wolfofone, and 431026!

    Advertisements

    One of the core principles that's very important to us is that we want to keep PF as free as possible from advertising, soliciting, and other shenanigans to make money off of the subreddit. Over time, we've had to make the subreddit rules increasingly strict (e.g., disallowing PM requests) because certain people have come up with progressively more creative ways to work around the rules.

    Simply put, we want advice to be given without conflicts of interest and because people want to help others, not because it financially benefits the person giving the advice.

    Of course, Reddit runs advertisements that run on /r/personalfinance, and that hasn't been an issue as long as those advertisements are clearly advertisements and don't look like normal posts, and we absolutely want Reddit to be successful as a company.

    The moderation team would like to ask everyone for some help. Specifically:

    1. When you run into a comment or submission that breaks the subreddit rules, please report it to the moderation team.

    2. If you run into a problematic paid advertisements running on /r/personalfinance, please send us modmail so we can report them to the admins. To be specific, the Reddit advertising policy prohibits products or services that:

      • facilitate illegal, fraudulent, or misleading behavior
      • are related to unsubstantiated financial products and services, investment, or contribution strategies and schemes
      • are any of the following:
        • Single securities or other tradable financial assets
        • Payday loans
        • Debt assistance programs
        • Get rich quick schemes
        • Pyramid schemes and multi-level marketing
        • Penny auctions
        • Binary options
        • Cryptocurrency wallets
        • Unaccredited digital banks that perform any traditional bank-like functions
        • Cryptocurrency credit or debit cards
        • Initial coin offerings, token sales, or other means of promotion or advertisement of individual digital currencies or tokens.
    3. If you're using the redesign and you find it difficult to discern that a submission is a sponsored post, please let the admins know how you feel about that.

    Any other feedback or questions for the moderation team?

    Are there any changes or improvements would you like to see? Are there things we could be doing differently or better?

    We'll do our best to answer any questions you have about the subreddit and moderating it so please ask away.

    submitted by /u/dequeued
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    Weekend Discussion and Victory Thread for the week of August 31, 2018

    Posted: 31 Aug 2018 02:06 PM PDT

    If you need help, please check the PF Wiki to see if your question might be answered there.

    This thread is for personal finance discussions, questions, and sharing your success stories:

    1. Make a top-level comment if you want to share something positive regarding your personal finances!

      Instead of posting individual threads for positive success stories of how you've funded your emergency fund, made progress on your debt, saved for a future goal, reached a certain net worth, or anything else you would like to share, let's consolidate everyone's stories into one weekly thread!

    2. Please make a top-level comment if you want to ask a question! Also, please don't downvote "moronic" questions! If you have not received your answer within 24 hours, you can feel free to start a discussion.

    A big thank you to the many PFers who take time to answer other people's questions!

    For past threads, please search the Weekly Archive.

    submitted by /u/AutoModerator
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    My father has about $400k just sitting in his savings account. What are his best options for long term (10-15 year) returns?

    Posted: 31 Aug 2018 07:57 AM PDT

    My dad is 61 years old, has a great paying government job and has no plans to retire. He loves his job and wants to work until he dies. Subsequently, he has never really planned for retirement. He has some funds in his 401k but the majority of his money he tends to hoard in a savings account because he sees it as being more liquid as opposed to having his money "tied up" in investments.

    I have tried explaining to him numerous times that he needs to put his money to work so it can earn some interest as opposed to it just sitting there. But I am no pro at investing. What would be the best advice for next steps? Ideally I think he would benefit from a "set it and forget it" type approach where he can dump his funds and watch them grow over the course of the next 10-15 years. Assuming an average annual return of 6%, I think he can make some decent gains. But again, I am no pro - my best guess for him would be Vanguard ETFs. Or is this amount worth looking into a fiduciary? What say you, PF?

    Thanks in advance.

    submitted by /u/Rico_Rizzo
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    Baby steps in the military.

    Posted: 31 Aug 2018 06:13 AM PDT

    I'm less than a month from shipping out to the Airforce, and need all the help I can possibly get financially. I have watched family members waste a lot of money in their first few years of adulthood, and don't plan on making the same mistakes. Any advice on Military exclusive investments or savings options that I should know before my first paycheck? Also, I have a checkings account at my local bank (Bank of New Hampshire) and don't know whether to keep that for my direct deposit, or switch to something that won't be around where I'm stationed. The latter question is probably obvious, but I have no idea what bank I should switch to. Thanks anyone taking time out of their day to help me!

    Edit: Thanks for all the help. I'll change banks later today, and now I have a good understanding of what my options are.

    submitted by /u/HereSpirie
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    Scammers added themselves to my credit card as authorized users. Now I am constantly getting calls for debt collectors.

    Posted: 31 Aug 2018 11:32 AM PDT

    A few months ago, someone added about 5 people to my CC as authorized users. They did not issue cards for these people. The CC company said they were most likely trying to boost their credit scores by associating themselves with me.

    I had them removed, but now I am constantly receiving mail and phone calls from debt collectors for these clowns. Is there any was to stop this? Could this affect my credit? When I look at my credit reports, I see no reference to them, but the credit agencies have associated my address and phone number with them, somehow.

    submitted by /u/Hailfail
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    Seeking advice on new job offer

    Posted: 31 Aug 2018 06:14 AM PDT

    Hey PF,

    I come seeking advice on weighting the pros and cons of a new job offer I received yesterday, and possibly hearing opinions on which offer I should accept. A bit about my current situation:

    I live in a north Chicago suburb, and am currently taking the train down to the city every day.

    Current Gig (Start-up):

    - 130k base salary + 10% bonus (143k total comp)
    - 4,000 shares out of 80m outstanding (not a lot, but could potentially increase over time. No acceleration clause. 4 year vest).
    - Full Benefits. I pay about $100 a month in premiums.
    - 401k with a 4% match ($5,200 in match per year)
    - $160 train ticket per month for commute
    - 2 weeks PTO

    NEW Offer:

    - 145k base salary + 5-10% bonus (153-160k total comp)
    - Full benefits with 100% paid premiums
    - NO 401k matching!
    - 18 vacation, 9 sick, 3 personal days off (damn)
    - 16 miles north of me. My commute would change from train to driving about 40 mins one way
    - The X factor with this new gig is that I do think I would benefit more (skillset wise) in the long run.

    The no 401k match and the 40 min driving commute are really the only things that aren't making this a home run yes for me. Any advice at all is super appreciated. Be brutally honest and ask any questions at all.

    submitted by /u/NewOffer1991
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    Repayment of "handshake" loan for College tuition

    Posted: 31 Aug 2018 08:24 AM PDT

    Through an inheritance and the help of my parents I was able to get through my first 3 years of college without taking on any debt. For my final semester I would have needed to take out $10,000 to cover it. Instead my parents gratefully said they would pay it so I wouldn't have the burden of any loans, as long I paid them back the $10,000 to use towards my sisters college education. She will be a freshman in college in 2020.

    I have the money to pay and that's not the issue. The question I have is whether or not it would make sense to put the money in a 529 plan and hopefully grow that money further? Would there be any other benefits to this? Or would it make more sense to just write a check when that time comes? The other question I have is whether there are any tax implications or benefits on repaying a $10,000 informal loan. Thanks.

    submitted by /u/xx2nd2nunxx
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    Low income 18 year old looking for guidance

    Posted: 31 Aug 2018 05:05 PM PDT

    Hey guys I want to ask generous people of this subreddit for some life advice. I'm 18 years old and just graduated high school, my life hasn't been the easiest growing up as I come from a low income family mostly due to my father being an alcoholic. I worked while in school and have managed to save $3,000 dollars and my goal is to reach 6,000 so I can buy a decent car to get to and from work since no one in my family has a car I can use or borrow. I plan on applying on a full ride scholarship this winter that will accept me if I manage to obtain good SAT scores. As of now obtaining this scholarship is likely the only way I will manage to achieve a proper job in life that will help me support my family financially. If I manage to achieve a full ride what would be a good way to make money while in campus? using my computer? Or what are good jobs that lead to better opportunities early on? I really want to save as much money as possible while I'm in school. Please teach me the ways or give me advice, trust me I need it.

    submitted by /u/VanishedKing
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    Recently retired. Should I put money towards mortgage or pay off car loans etc.

    Posted: 31 Aug 2018 04:29 PM PDT

    I recently retired and sold my home. Relocated and put proceeds of home sale in savings temporarily. Is it better to pay down my new mortgage or payoff card payments etc. Car payments are 1.99% mortgage is 4.6%. Obviously the mortgage has a higher rate but I will lose the interest deduction. Any thoughts?

    submitted by /u/garyniehaus
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    I need to be sure that we definitely can't afford this car. (19 y/o couple)

    Posted: 31 Aug 2018 08:36 PM PDT

    My gf and I are both 19. Our financial situation looks like this:

    My income: $1,200-$1,400/month depending on tips

    Her income: same

    Rent w/ water and trash: $700

    Electric and wifi: $100-$150 depending on electric usage

    Car insurance for me: $90 (I own my car)

    Student debt for her: ~$10k. It has been more than 6 months since she has been out of school, so she has to start paying on it.

    Student debt for me: $8,190 (currently) & ~$32k (estimated debt after completion of bachelor's, and I want to get a master's)

    Medication and therapy for me: $70/month

    Medication, therapy and regular doctor's appointments for her: $125/month (Currently, but she has been declining in her mental health so much recently that she has been missing work and her bills in this area will most likely increase when she actually starts getting that taken care of)

    Credit card debt for me: $1k, minimum is $35/month (I know that I shouldn't be paying the minimum and don't plan to)

    Food for both of us: at least $300/month

    Gas (one of my jobs is takeout delivery) for me: $50-$60 /month

    Misc.: ~$100-$200

    Repairs that need to be done on my car: $400

    Ok, so she has had a truck with no working A/C for awhile and we planned on taking it in to sell it and using that money to get a good used car for ~$6k, which would fetch a perfectly serviceable vehicle. Today she went with her Dad to go get said car and sell the truck. She got $6k for it, and then texted me while I'm at work, saying that the one she wants is only $18k and that her dad was talking about how great of a deal it is.

    Apparently he also said that he would help with the payments, but when I asked how much he said he would do, I got a "however much we can month to month". Then she and her dad signed off on the car (he cosigned because she has no credit) and they left with the car and $250/month payments.

    With this new bill, I feel like our entire financial situation is in jeopardy, and it adds an additional layer of insecurity to it on top of her already declining health.

    Finally, if things work out and she shifts gears and wants to erase this, can we even take the car ... back? How would that work? Neither of us have ever done business with a dealership before.

    Thank you!

    Edit: responses that are detailed in their explanation of exactly why we can't afford it (eli5 style) would be greatly appreciated.

    submitted by /u/ryandollar27
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    What should I do with $1000 a month?

    Posted: 31 Aug 2018 03:37 PM PDT

    Im currently able to save about $1000-$1500 a month. I have a modest emergency fund built up now in a TFSA ($6,000) but no other savings. I have no debt. How should I invest/save my money to maximize its potential? I want to have some of it easily available for vacation/travel, but other than that I don't have any specific stipulations. I'm Canadian, btw.

    submitted by /u/ilikepi314-
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    Starting grad school with 20k savings, full tuition support, and decent stipend. Where should I put my 20k?

    Posted: 31 Aug 2018 07:56 PM PDT

    I'm looking to put my money to work for long-term earnings. Like possibly retirement stuff... What are the best invest options for that sum of money? I'll also be able to put away 300/month, which I'd like to invest as well.

    I know very little about investing. Any advice or links to other posts would be greatly appreciated!

    Thank you.

    submitted by /u/thesmithacct
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    My credit on Credit Karma was in the 730s, was late on one credit card payment and it immediately dropped to high 500s-low 600s. Please help.

    Posted: 31 Aug 2018 03:14 PM PDT

    When I first checked my credit a few years ago when I started college and it was 620s with negative things from my dad on it (same name). I immediately disputed everything with no problems and essentially began to build my credit from scratch. I first did a secured loan for $500 from my credit union and paid $50/mo which actually just finished. When my credit began to build I applied for a $500 limit credit card from my credit union which I turned into a $2000 limit card after I completed college and started my career (proof of income helped raise the limit). I have been paying my credit card off 100% every single month since I got the thing in college and my credit has been going in the right direction and I was climbing into the high 730s. A few months ago I stupidly one month just forgot to pay my bill and my credit plummeted to the high 500s and low 600s. I called my credit union and they said there was nothing they could do as this was already on my credit. I felt like all my hard work and actually caring about this went to the wind and left me high and dry. Is there anything I can do about this? I have only a couple thousand in student loans and make around 75-85k/year. I have one credit card with a $2000 limit and about 35k in my savings. Where can I go from here?

    I can't seem to post pics of screenshots on this sub but where I stand now on credit karma is as follows- TransUnion 655. Credit Factors are 6% Credit Card Utilization in green (for good), 99% Payment History (in green but thats when it dropped my credit), 0 derogatory marks, 3yrs 3mos Age of credit history in red, 6 Total Accounts in red and 6 Hard inquiries in red. All of these inquiries are from last year when I started my house search (did not buy yet but now nervous this will affect it). Im confused as to why there would be 6 of these checks when I only found two houses since then that I was interested in. I also doubt that this has a huge impact on my account and isn't the main problem that I am dealing with.

    If anyone has any suggestions I would greatly appreciate it as I am very disheartened by this change.

    submitted by /u/-milkofamnesia
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    Husband needs a retirement account! Where to start?

    Posted: 31 Aug 2018 07:30 PM PDT

    My husband works for a very small company (less than 10 people), so he's not getting any benefits in the way of retirement savings. He's very happy working where he works, and we have no intentions of him changing jobs anytime in the near future. That being said, we really need to start putting money into an account for him for retirement!

    He has a little bit of money from a previous job sitting in one account that I'd like to transfer, and has a bit more money sitting in another account from when he was in the military (would also probably like to transfer this).

    What type of account should we go for? Where do we start with this? Should I get in touch with a financial advisor first? I'm not great with this type of stuff, I'm not really sure where to start with getting something like this going and this is all kind of confusing. Ideally I'd like to be able to set something up that we can contribute to monthly..automatic withdrawals from our bank account would be great so we don't even have to think about it. Maybe something that has some risk to it that will allow us to gain something. Any help is appreciated!

    submitted by /u/lambbirdham
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    I’m 16 and I have a part time job as a lifeguard, I make €8/hour. I’ve only been working a couple weeks and have made about €150, it’s not much yet, but I hope to keep working. I hear people say “invest” but I have no idea of the different methods of doing this, especially at my age.

    Posted: 31 Aug 2018 02:02 PM PDT

    If I have an llc business do I also have to file a personal return?

    Posted: 31 Aug 2018 06:48 AM PDT

    Or can I just file using my LLC TIN and call it a day? Or do I need to file seperate and twice for each: me personally and the business entity I own?

    submitted by /u/A1d4n_18
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    So you think you can want a puppy? Or, how much we spent in the past 12 months on our puppy

    Posted: 30 Aug 2018 05:59 AM PDT

    [EDIT] I was too worried about making a typo in the post, that I butchered the title. Sorry folks

    [EDIT 2] More Pics

    [EDIT 3] For anyone interested, I did a similar breakdown last fall about the TCO for my car that I had just paid off. There was a lot less moral discussion and shaming, but disagreements did come up Here's the link

    My wife and I decided to get a puppy last fall to give our current dog some companionship (and for me to stave off the discussion of having a baby right now). We already had a 7yr old Australian Cattle Dog, also called a Blue Heeler, and knew that we wanted to get another ACD. For those that don't know, they are super smart herding dogs bred for moving cattle by nipping at their heels (hence the name). Their intelligence is great because they can pick up on things very quickly, but they are also super hard headed and can even outsmart their owners.

    So we picked up Annie on Nov. 4, 2017 from a guy off craigslist. I know that there are tons of rescues out there that need homes and there are even ACD rescue groups around the US, but the breeder was just someone who had 2 Heelers and had a litter of puppies. This was not a puppy mill situation at all. The dog cost us $400, was 8 weeks old and had already been given her first round of shots.

    Here is a breakdown of what we've spent since last November when we got the puppy. Friday is her birthday, so this is a year's worth of expenses.

    Total Cost of Ownership for 1st year: $1888.28

    Basic Categories

    • Food - $237.41 [We have been using Iams Smart Puppy from Kroger @ ~$18/ 15lb bag. This lasts 3-4 weeks]

    • Boarding (9 nights) - $191.00 [We board both dogs at our vet for $21/night/dog. Normally we try to take them with us or have them stay with my parents]

    • Supplies (crate, bowls, leash, etc) - $166.49 [This included a baby gate to close off the living room that the puppy figured out she could climb over after only 30min. Again, very smart dogs]

    • Vet (shots, flea meds, spay, etc) - $794.38 [Spaying cost $315, various puppy shots and vaccines were $290 bc our vet messed up and we had to redo some of them. Trifexus (combination flea/heart worm pills are ~$26/month)]

    • Breeder - $400

    Having already had a dog for 7 years, we knew the costs associated with having a puppy and living a normal human life with a dog. Now that we have 2 dogs, traveling out of town takes more thought and planning because we either have to board both, take both, or take one and leave the other with someone. Now that the puppy is a year old, both dogs will be eating the same food, which will save a little bit of money.

    Sometimes when people decide to get a pet, no matter the species, they only think about the upfront cost. I just wanted to break down what the actual costs were for a year of owning a puppy just in case anyone was considering getting one. Granted, the joy/happiness (and frustration) we've had this year is worth much more than $1900 so you can't put everything into dollars.

    [Edit] One thing that I didnt mention and others have commented about below is the time commitment required to having a puppy, or just any dog. The waking up multiple times at night to take them out when they are little, or coming home during the day/having someone take them out. There were a few months when I was exhausted every day at work from getting up every couple of hours to let her out and it seemed like it would never end. But now she joyfully goes in her crate around 9:30 and doesnt make a peep until around 6 (when I get up for work). Things will only get easier as she realizes that weekends are for sleeping in

    Go out and hug your animal today (or if you don't have one, enjoy your clean house/apartment). They might cause us headache, but they are also really fun to be around.

    submitted by /u/points4trying
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    5.0% APY checking or lower APY savings account?

    Posted: 31 Aug 2018 06:28 PM PDT

    I live in Michigan and have all of my money in a single checking account with Comerica Bank, which doesn't have all that much in it (currently around $3,000), but I use it to pay off my bills and credit cards. I've been looking to leave my bank for a credit union for awhile now, but was always lazy until now.

    I did some research and came across Doctor of Credit that has a list of a bunch of credit unions and took a look at what I might be eligible in. Some credit unions offer higher APY with a checking account than others with a savings account instead. Should I just go for whatever has the highest APY?

    The one that got my attention is this 5.0% with Chief Financial Credit Union : https://www.chiefonline.com/accounts/personal-checking/free-kasasa-cash-checking.html

    Others that I looked at include: 2.10% savings with Vio, 3.33% checking with Heritage Bank, 3% checking with LMCU, 1.75% savings with Alliant, and 3.03% checking with Genisys.

    I should note that I almost never use my debit card because I use my credit card with rewards instead.

    submitted by /u/LeapYearCake
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    Identity thief signed me up for Credit Karma?!

    Posted: 31 Aug 2018 08:15 PM PDT

    I've discovered that my identity was stolen recently (luckily I think - I hope! - I've caught this quickly and it's contained to a few attempted and actual account openings). I've frozen my credit and notified the accounts that I became aware of, and am doing all the associated monitoring of my accounts.

    I tried to sign up for a Credit Karma account this morning, and was notified by them that I already had an account (I do not) and recovered the sign up email which is not associated with me.

    I've notified Credit Karma and they've suspended that account, but I'm hoping someone might clue me in as to why an identity thief would want to monitor my credit that they're attempting to use and destroy? And is it certain that they had my social security number to open that account?

    Would be grateful for any input about this. It's all so disconcerting.

    submitted by /u/elsewhereclaire
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    College Student Looking to Start Long Term Savings

    Posted: 31 Aug 2018 05:59 PM PDT

    Title says most of it. I'm a college student just looking to start a long term savings account. I work about 20 hours a week. My paycheck usually comes out too around 180$ per week. My rent costs me 275$ a month (I have roommates and I am lucky enough to have my parents helping me so I can focus more on school). Food+Bills comes out to roughly another 150$ per month. I know these are small amounts but I want to start being mindful of my finances right now. My Dad wants me to open up an account with Vanguard, and I don't think its a terrible idea since it is good to get in the habit of saving. However, I feel like any saving I do now should be for the purpose of emergency needs. And if I was going to go for a very long term account (such as an IRA for example) would it not be better for me to pay off my student loans first? Thanks for any advice.

    submitted by /u/connorfisher4
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    Have to repay my signing bonus

    Posted: 31 Aug 2018 08:15 AM PDT

    Hi all, I'm looking for some advice on a sort of weird tax situation that's come out of paying back my signing bonus. Here's some background: I started a job in August 2017 and received a signing bonus of $13,500 with my first paycheck. Of that, I saw $8,914.04 as my net pay with $3,553.21 going to taxes and $1,032.75 going to social security and medicare. The language of the contract I signed with this company explicitly says that if I leave before my 3-year anniversary, I'd be responsible for repaying back the entire bonus (not great, I know) and I was verbally told that I could be responsible for paying back less, although at the full discretion of the CEO. For a bunch of unrelated reasons, I quit my job in July 2018 and started a new one that I'm waaay happier with, and now (rightfully so) have to pay back my signing bonus. The CEO of the company gave me until the end of 2018 to pay it back and I do have the money, but he's requesting that I pay it back in its full pre-tax amount of $13,500, even though I never saw $4,585.96 of it. Since the bonus was paid in a different year, apparently the way to recoup this money isn't super straightforward.

    I did some research on my own that basically explained to me 1) the company needs to file an amended 941 form to recoup the Medicare and Social Security withholding, and 2) once I repay them, they need to give me a W2-C to file with my 2018 returns in order for me to get a refund (or a credit? not exactly sure) on the $3,553.21 that I paid with my 2017 taxes. I emailed the CEO about this, who then spoke to his accountant, and his reply was the following:

    "You are correct that {company name} will need to file an amended 941 return in order to receive the credit for both the employer and employee FICA and Medicare payments. Therefore, I agree that it is best that you reduce your payment to {company name} by $1032.75. Regarding the federal and state tax portions, {company name} doesn't issue a corrected 2017 W2 for you since the bonus wages were actually paid in 2017 and the year has closed. The procedure for claiming a miscellaneous deduction or negative income on Form 1040 personal tax returns in 2018 has been impacted by the recently-enacted tax reform and it would be best to contact an accountant if you wish to receive guidance on it."

    Basically, my question boils down to how accurate this is and what will I get back if I file a Form 1040? It seems a little bit fishy that they won't give me a W2-C since my understanding of that form is that it's literally used to correct the wages that were reported as paid for up to 3 years from when the original return was filed. If anyone has any advice or insight on what I should do moving forward with this, I would really appreciate it! This is only going to be my second time filing taxes (I'm only 23) and I want to make sure I'm fully informed before I start giving them their money back.

    submitted by /u/jubnt
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    One income family, new undiagnosed medical condition, three children & Husband is going through job transitions. Need help!

    Posted: 31 Aug 2018 05:02 PM PDT

    This is my first time posting or asking for help, & I'm not sure what else we can do.

    Backstory; Husband owned a hobby shop and we stay afloat for some time. Never enough to save toward the end, but always enough for bills, food etc. We have kids and everything was always taken care of so I was able to stay home with the kids. The economy took a turn for the worse, and he had to close the business a few months ago. Since then it's been hectic and stressful.

    I'm a stay at home mom to to three Kids. Ages 9, 3 & 11 months. If I were to take on a job, all of my paycheck would go to child care and then some. He recently found a part time job making minimum wage. He took the first job opportunity that said yes, and is actively putting out his resumé to other locations.

    We are waiting on state assistance, but in the mean time we have had to go to food banks. He has debt from his business that is slowly being paid off, but the home bills keep stacking up. We had to recently return cans just to buy formula for the youngest. My next step is to seek help with utilities from a local place in town. I'm currently going through an undiagnosed medical condition. Let's just say this hasn't been fun. I go for my first MRI tomorrow, and doctors are trying to rule out MS, ALS or tumor (you can read my post history for more information).

    I'm not exactly sure how this site works, and I am taking all of my pride and setting it to the side to ask for help.

    I will exclude personal debt from business, and only mention household debt.

    Our current debt is; $-363.72 in bank account $317.65 for electric $511.07 in personal credit card debt (I used it for food, etc during this tough time)

    Advice or help would be much appreciated. Thank you for your time.

    EDIT: First four years of business were thriving, we did have savings. Last 12 months were not, but had enough for necessities and used savings.

    submitted by /u/OpinionDeaf
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    Confused about what to do with extra money and how Roth IRA backdoor works

    Posted: 31 Aug 2018 04:57 PM PDT

    Here is my situation: I have two retirement accounts, a traditional 401k from my employer (through Fidelity) and a traditional IRA through another institution.

    I've contributed $21,000 to my 401k this year. I believe any contributions I made past the $18,500 limit are after-tax. Employer matches 50% up to the pre-tax max (so $9,250 this year). Last year I contributed much more than the $18,000 limit. Currently my 401k has about $118,000 over three years of contributions + employer match + growth.

    I also have a traditional IRA with about $7,500 that I opened before I had access to a 401k through my current employer. I contributed $5,500 to it in 2015 and haven't touched it since.

    My questions: are my after-tax contributions to my 401k "wasted"? Is there something better I should be doing with the money? I've heard of a 401k to Roth IRA backdoor but I don't know how to do it or what exactly the benefits are. Do I have to close my traditional IRA to do this? Should I continue contributing to my 401k this year or stop?

    My goals are earlyish retirement and possibly purchasing a home in a few years. I maintain around $10,000 in a checking account (more than enough for 6 months) and everything else goes mostly into index funds (currently about $180,000).

    submitted by /u/dxdydt
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    23 y/o saving for travel expenses with my first "big boy" job

    Posted: 31 Aug 2018 01:46 PM PDT

    Hey PF, long time lurker here. My apologies if this post is ill-fitting or poorly formatted.

    I started working my first salaried job as a professional in my field, and relocated for it. I have been making plenty to cover my expenses, and already be working on my 401k.

    A few friends of mine are going to EDC in las vegas in May, and I'm going with them. I want to gradually save up my travel budget from now until then in the smartest way possible.

    So, my stupid question is thus, should I open an additional saving/checking account for my planned travel money? I was thinking about this as a good way to get an idea of how much I'm saving and keeping it separate from my other, long term savings, and checking, and also making sure that I don't go overboard on my vacation spending by dipping in to my "core" checking account.

    Alternatively, I was thinking about withdrawing cash every time I get paid, and just saving in a literal piggy bank, but it just seemed very juvenile, and I thought there must be a better way.

    I get that the core idea is "make sure you have that spare money to spend, and don't spend to much on the trip" but I just want to make sure I'm doing this right.

    tl;dr - Currently in a salaried job, comfortable with my expenses and savings, want to know the smartest way to set aside a litte exrta dosh to go and listen to loud music in the desert and get drunk with my hooligan friends

    Thanks, all!

    submitted by /u/Captainpotato22
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    IRS messed up my return

    Posted: 31 Aug 2018 08:09 AM PDT

    Not sure if this is the best place for this but here goes. Delete if not allowed

    Around June-July I was told I would need to submit a 2016 transcript of my return from the IRS because I hadn't filled a 2016 tax return because at the time I didn't think I had to so I submitted a wage and income transcript instead. The school then essentially said no we want the tax return transcript and so I filled a return in end of June. 6 weeks go by and I hear nothing on the 7th week I call and get told Its almost done and I should have it within the week. A couple weeks later I call and then I get told that the irs internally made a mistake ( I submitted a paper return couldn't do it online. They made a typo when typing my name in and that is causing problems) and that I should have gotten a letter which I never got stating what had happened. They also put me into some kind of queue which would allow the mistake to be fixed immediately or something like that. While all this time is passing I am pleading with the school to not deregister me from classes since financial aid cant be given until I submit these forms. That brings us today. I called to find out wtf is happening and the guy tells me what I already know and that I should call back on the 11th of September because it's supposed to be done by then but he doubts it. He saw that no one had fixed the issue yet. Is there anything I can do ? Any options or thoughts will help Ty

    Please excuse typo. Sent from my phone.

    submitted by /u/Osprey3
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    Looking for advice while I wait for my background check to clear for my next job.

    Posted: 31 Aug 2018 06:38 PM PDT

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