59
votes
The "Cares act" allows $100,000 of 401k withdrawal without penalty. What are the reasons not to do this?
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 ...
- 9,553
48
votes
How, or should I repay debt during Covid-19 crisis?
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 ...
- 2,457
39
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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, ...
- 2,116
23
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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 ...
- 2,033
22
votes
Can a US citizen who has never had a taxable level of income and thus never filed taxes before receive a Coronavirus stimulus check?
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 ...
- 10.1k
21
votes
The "Cares act" allows $100,000 of 401k withdrawal without penalty. What are the reasons not to do this?
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 ...
- 79.6k
20
votes
How, or should I repay debt during Covid-19 crisis?
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 ...
- 5,460
19
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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 ...
- 22.9k
15
votes
Can a US citizen who has never had a taxable level of income and thus never filed taxes before receive a Coronavirus stimulus check?
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 ...
- 151
15
votes
Accepted
When will I get my Federal refund if I file today, given the deadline has been extended to July 15th?
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 ...
- 145k
12
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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 ...
- 131
10
votes
When will I get my Federal refund if I file today, given the deadline has been extended to July 15th?
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.
- 116k
9
votes
What is my registered address for UK car insurance?
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) ...
- 25.2k
8
votes
How, or should I repay debt during Covid-19 crisis?
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 ...
- 6,753
7
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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 ...
- 1,507
7
votes
How, or should I repay debt during Covid-19 crisis?
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 ...
7
votes
The "Cares act" allows $100,000 of 401k withdrawal without penalty. What are the reasons not to do this?
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 ...
- 2,778
7
votes
W-4 Second Job Question
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 ...
- 145k
7
votes
Handling rent debt in California
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 ...
- 71.2k
6
votes
Should I remove Adult Dependent from my 2019 tax return so they will receive a COVID Stimulus Check?
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 ...
- 17.5k
6
votes
Accepted
Can I file my 2019 taxes electronically if I already sent them by mail?
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 ...
- 145k
6
votes
Why did the stock price go down for so many sectors during the COVID-19?
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 ...
- 5,105
5
votes
Accepted
Will a non-US citizen living and working in the US be eligible for stimulus check?
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 ...
- 227
5
votes
Chinese Stock Market crash much less severe during Covid-19/SARS-CoV-2 crisis - Why?
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 ...
- 191
5
votes
Should I ask the seller of a house for a price reduction given a recession is almost certain?
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 ...
- 898
5
votes
Accepted
Can I contribute to two different calendar years in an IRA?
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 ...
- 47.3k
5
votes
Accepted
Accidentally filed my taxes using TurboTax as a US citizen while I'm not
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 ...
- 17.5k
4
votes
When will I get my Federal refund if I file today, given the deadline has been extended to July 15th?
I filed electronically on March 22 and received the refund (direct deposit) 7 days later.
- 231
4
votes
Stimulus check- haven't filled 2019 taxes
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 ...
- 5,350
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