59

There are a couple reasons: You don't qualify. From your link: Distributions taken from qualified retirement plans received during 2020 of up to $100,000 for COVID-19 related purposes are allowed without a 10% penalty, taxable evenly over 3 years beginning with year of distribution, and may be recontributed within 3 years. Related purposes include a ...


48

Keeping some liquid cash is sensible, but the exorbitant rates on your debt will hurt you long-term. Pay them off as quickly as safely possible. Since you have high-interest debt, getting rid of that debt is more important than maintaining a large emergency fund. Having both savings and overdraft fees is illogical. However, I understand that you'd rather ...


39

You could ask, but you risk the seller deciding to just cancel and put the property back on the market once restrictions lift, shutting you out. Depending on the exact neighborhood and local market, there is no guarantee that a recession will even affect the chosen neighborhood. You described it as a very competitive, presumably it will still be a desirable ...


23

With the caveat that I'm assuming your verbal agreement isn't legally binding (AIG says it isn't), I would pull out of the deal completely if I were in your shoes. By negotiating, you're essentially trying to price an unprecedented global financial/economic meltdown. What is the right haircut to the existing price? 5%? 10%? 50%? Are you looking for a ...


22

If you have not (and will not) file your taxes for 2018 or 2019 then the only way to receive the check is to file for 2020 next spring. The check is actually an advance on a 2020 tax credit, so you can take it now or later. However, for this year you have until July 15 to file your 2019 taxes. Even if you have $200 in income for the year, might as well file ...


21

Getting money into qualified plans is difficult. Currently the tax law allows $19,500/year to be self contributed and in previous years it was less. It would take many years of maxing out contributions in order to catch up to withdrawing that amount. You would be doing this at a time where your investments are significantly down. Will they rise again? ...


20

If you are sure they'll let you overdraft your account again, then for Heaven's sake get rid of that ridiculously high APR of 35%. Keep the rest as an emergency fund. 500 GBP is not much, but more than nothing. Then gradually get rid of the other debts, if only with the 150 GBP/month you just saved. This makes you get rid of the Amex debt in 10 months and ...


19

If you've already signed a contract, it's too late. Well, barring legal shenanigans. If you haven't signed a contract, then sure, you can ask. That's how negotiations work. The buyer comes up with reasons why he should pay less, the seller gives reasons why he should pay more. I wouldn't expect asking for a lower price to derail the sale. The seller could ...


15

Its important to note that the minimum threshold of income to be required to file your taxes ($12,200 for a single filer under 65) is just that, a minimum to be required to file, not the minimum where filing is an option. If you so choose, you can file your taxes with $0 in reported income (or some small amount of money from your odd jobs in your specific ...


15

Generally the IRS processes your return as soon as they can. So unless there is an issue that causes them to have to stop processing returns you will get your refund in a few weeks. It does depend on direct deposit vs paper check. Usually each year they set a date in January or February when they will start processing returns, but if you file after that ...


12

My wife and I run a real estate brokerage in Florida. The transaction process is different here but principles are similar. I think there's a good chance the deal will fall apart if you try to renegotiate the price at this stage. Buyers and sellers in residential real estate transactions often make emotional decisions. Don't be surprised if the seller ...


10

The sooner you file your tax return, the sooner you’ll get your refund. This has not changed, and there has been no talk of delaying tax refund payments.


9

I'm pretty sure that any time I've applied for car insurance I've had to specify both the registered address (for you, Address X) and the address where the car is normally kept (for you, Address Y) with no assumption that these are necessarily the same. Are you filling in details through a comparison site or directly with an insurer? If the latter then I ...


8

I have three debts: 6500 GBP overdraft (APR 35%) 2500 GBP PayPal credit (APR 19.9%) 1600 GBP Amex credit card (APR 23.5%) I have more debts than you (four of them, not three). My smallest debt is way larger than your largest debt. Guess what? None of my debts has more than 3% interest rate. Get rid of these debts! As soon as possible, I might add. I don't ...


7

Recession (and the related risks and uncertainties) goes both ways. If the real estate marked drops significantly and doesn't recover quickly, you will have overpaid if you buy at the agreed price. It would indeed be reasonable to ask for a price reduction and cancel the deal if you don't get one. If the government decides to counter the economic recession ...


7

This debt didn't make itself. I am concerned that if you pay down this debt, you'll simply borrow again soon enough, and you'll be right back on the debt treadmill. Suze Orman used to preach "3-6 month emergency fund" like everyone else. And then in 2008 when the market tanked, all she's said since was "8 month emergency fund". When you've fallen back ...


7

It's a retirement account. You're putting money into it for a reason. It's already invested. Paying the taxes now to convert it to a Roth IRA to invest the money seems backwards. Selling securities during a huge market downturn is extremely bad for the long-term prospects of investing. If your first thought at you can take money out of the retirement ...


7

Should I consider it a second job or file it as my only job? Unless you will end up working two jobs at the same time. I would consider this new as your only job. If in a normal year a person starts the year working for company A, and then part of the way through the year switches to company B. They would complete the W-4 for Company B as if they only had ...


7

Part of the trillions in stimulus was set aside for rent assistance. In California you need to apply through this site: https://housing.ca.gov/covid_rr/ If one or more individuals in your household meet all of the following, you are eligible to apply: Have qualified for unemployment benefits or experienced a reduction in household income, incurred ...


6

You choosing to remove her as your dependent, or you choosing to not have claimed her as your dependent in the first place when you filed, will not allow her to get the stimulus payment. The restriction is that she cannot get the stimulus payment if she can be claimed by somebody else as a dependent, not that she actually was claimed by somebody else as a ...


6

A major reason to not withdraw is if doing so will cause your current investments in your 401k to be liquidated to whatever extent you withdraw. My understand is that this would normally be the case, even if you were to just borrow against your 401k. With current market conditions being what they are this may result in a substantial loss, possibly ...


6

Looking at the IRS guidance during COVID-19: https://www.irs.gov/newsroom/irs-operations-during-covid-19-mission-critical-functions-continue Paper Tax Returns: All taxpayers should file electronically through their tax preparer, tax software provider or IRS Free File if possible. The IRS is not currently able to process individual paper tax returns....


6

Air Canada owns planes. It also has lots of people who work there, pilots, air stewards, ground crew. During Covid-19 it has very little income but it still needs to pay to store the planes somewhere service the planes pay its staff pay for take off and landing rights (slots). While it's not using these right now it will want the right to take them up ...


5

The texts I have seen (Senate bill and House bill) carve out some exceptions in the definitions section (emphasis mine): (3) ELIGIBLE INDIVIDUAL.—The term ‘eligible individual’ means any individual other than— “(A) any nonresident alien individual, “(B) any individual with respect to whom a deduction under section 151 is allowable to another ...


5

Good question, here are 2 (among many) possible answers: The Chinese Government seems to manage the stock market directly at times. I.e. There are stories (like the one above) where the governments doesn't allow funds or brokers to sell. That level of control likely wouldn't happen in the USA. Maybe their Central Bank stepped in more quickly/strongly. ...


5

If you can still walk away from the deal, particularly without having paid any deposit, your leverage is a willingness to cancel the deal. In the US you usually only risk deposit money until you have a deed and mortgage. Are you sincerely concerned enough about the housing market changing that you will cancel the deal? Supposing you are actually seriously ...


5

Are you sure it's actually 2020 and 2021 instead of 2019 and 2020? If yes, then I would contact your broker because I believe it is a bug in their software and/or a misprint. Right now you should be able to contribute to both tax years 2019 and 2020 until July 15, and then only tax year 2020 from July 16 - Dec 31 of 2020. You cannot start contributing to tax ...


5

TurboTax is not "only for US citizens". TurboTax is for US citizens and resident aliens. Only if you are a nonresident alien should you not use TurboTax, since they do not support Form 1040NR. You are a resident alien for US tax purposes if you pass the Green Card Test or the Substantial Presence Test. You pass the Green Card Test if you were a US ...


4

I filed electronically on March 22 and received the refund (direct deposit) 7 days later.


4

According to the final version of the bill, this "stimulus check" is really a pre-payment of a refundable 2020 tax credit. So if you don't get the check this year, you can file your 2020 taxes next year and claim the credit (assuming you still meet the income requirements).


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