44

Should I pay off my credit cards to avoid monthly payments even if it reduces half of my savings? Unless you can still live for quite a while with that half of your savings and no income, then no. Do not use the cards any more, make the minimum payments, live on a shoestring budget, and save cash like mad. Once you get back on your feet, use the cash you'...


25

Dave Ramsey, the famous personal-finance guru and radio personality, has a concept he developed after counseling thousands of families in crisis situations called the four-walls. The idea is to prioritize your money to take care of your immediate, physical needs. This would include your savings. First, you pay for food Next, you pay utilities Next, you ...


17

Are you asking why you aren't entitled to money that someone gave you by mistake? I think the answer is obvious even if you don't like it. If you overpaid your taxes how would you feel if the Government said, "Sorry, finder's keepers. It isn't OUR mistake you can't do math"? Your best course of action is to work with the agency to see if they will ...


17

No. By paying off your credit cards now, you'll be losing money you won't be recouping in the foreseeable future. I imagine the second part of your question is related to being able to use the unused credit to pay for living expenses. While it is unlikely they would reduce your credit limit after payment, that's the problem with being beholden to someone ...


13

Student loan interest is a deduction. A deduction reduces your tax liability. If you had no income and you don't have a tax liability you can't get a refund since you didn't get more tax withheld than you have to pay.


12

The word "refund" means "money that you previously paid and that you are now getting back". A tax refund is where you had money withheld from your paycheck (or you otherwise made tax payments), and you get some of that back. If you didn't pay any taxes, then you can't get a refund, because there's no money that you paid to refund (there are a few ...


10

Unemployment fraud is a crime. If you believe that what you were doing could be seen as fraud, you may want to contact an attorney to discuss your options. To answer your follow-up question: A 1099 only shows a total compensation for the year; it does not include the dates of the payments.


8

To be eligible for unemployment benefits in Wisconsin, you must have been employed in the base period, which is a year-long period prior to the date you apply for unemployment benefits. Since your grandfather has not been employed for the past 8 years, I don’t think he is eligible for unemployment benefits.


7

As Ron’s comment implies, it’s a matter of the numbers. My HELOC recently reached the end of its draw period, and I preferred to keep it active. I opened the conversation with the bank by saying I was retired and no income other than retirement accounts. I put together those documents (I mean copies documenting 401(k) and IRA balances. They did not ask for ...


7

To begin with, bear in mind that over the time horizon you are talking about, the practical impact of inflation will be quite limited. Inflation for 2017 is forecast at 2.7%, and since you are talking about a bit less than all of 2017, and on average you'll be withdrawing your money halfway through, the overall impact will be <1.3% of your savings. You ...


7

Hundreds of thousands, maybe millions, of stolen identities were used to file billions of dollars in unemployment claims. One affected person was my spouse. I just read last week that $36 billion were paid out before the situation was discovered. The social security numbers were presumably gathered in previous phishing attacks and data breaches (especially ...


7

You and your employer face multiple potential problems, some legal legal and some tax issues: You and potentially your employer may be accused of conspiring to commit unemployment fraud. States know how to identify this. People have been trying to do this for years. Even if a 1009 or W-2 don't show dates, the state may ask for additional information. They ...


6

If I was wrong please let me know how so I can learn for next time. This is way off-topic for Money.SE, but I feel compelled to offer my advice. Feel free to downvote and I'll consider deleting (or flag for migration). The mistake you made was not discussing it with your fiancée before turning down the offer. You are not married yet, but you have made a ...


6

Others have mentioned this in comments, but I think it is worth having in an answer: the answer to this question depends on your situation. If your level of savings is relatively low compared to your monthly expenses, the advice in D Stanley's answer and Ivan's answer is good because you may need the liquidity to pay your bills. I'm guessing that they're ...


6

Pay off all your credit. Only start using credit again when you see that next month you won't be able to make ends meet. This will preserve most money, cash-flow and credit. Any other answers are... Just wrong.


5

Pay of your credit cards. You run them up later again, if you run out of cash and have no other way of getting a loan. Simple math: let's assume you owe $5000 at 18% interest rate. That's 75$ of interest a monthly The measly principle in the minimum payment will hardly make a dent into this. Let's also assume you have 10k in cash and have a minimum burn ...


5

By "non-salary", do you mean you're paid hourly? Either way, if your employer pays you a wage and deducts payroll, unemployment insurance and other taxes from that wage, and you were laid off, not fired then yes, you'd be entitled to draw unemployment. Keep in mind though that your unemployment benefit (in most states here in the U.S., anyway) is not a ...


5

To answer your final question: No, you have no legal recourse if the mortgage is denied, unless you can prove that they violated the Equal Credit Opportunity Act. The pre-approval is contingent upon underwriting review. Part of the underwriting process is obtaining a satisfactory explanation from you regarding any gaps in your employment history, and they ...


4

The thing with your last option is that the cash-out mortgage is treated differently than purchase mortgage, with regards to taxes. Specifically, tax deduction is limited to $100K mortgage instead of $1M (or a bit higher even). Other than that - you've covered your options, and its up to you to decide what to do.


4

According to the state of New York, you may be eligible for unemployment. New York Labor Department Covered or Excluded Employment Unless excluded by law, all services an employee performs for a liable employer is covered. This applies whether it is: Part-time Full-time Temporary Seasonal Casual Employees may perform services: ...


4

You didn’t say your location which could matter for the insurance laws and policies available. Realistically you won’t get an issued policy in 6 days so you’d be relying on provisional coverage anyway. That is if that’s typically part of policies where you’re at. It’s where a policy is essentially in effect once you apply and pay a premium as long as you ...


4

You can certainly work food/package delivery or similar while still hunting a proper job to keep money flowing in. You could take on extra work now to supplement income if you were so motivated. If you do become unemployed there's often some disincentive to work part-time, so you'll need to weigh the cost/benefit of a part-time temporary job. It's hard to ...


3

The are two distinct parts to this answer: You can only contribute up to the HSA limit for 2019 if you have a HDHP eligible health plan for the entire year. If not, the contribution limit is reduced based on how many months of coverage there were. As long as you are eligible to contribute to an HSA, then how you contribute it doesn't matter. It can be by ...


3

Money you need in the next year should not be invested. It should be in a cash-equivalent account such as a savings or money market account. You might be able to construct a CD ladder but it probably won't be worth the effort. If, per the comments, you don't mind returning back to work sooner than a year, then you could invest the money. You could, for ...


3

For posterity, here's what happened: Short version A family member offered to co-sign. We found a different bank which offered a (smaller) mortgage. We did that. I later refinanced to free the family member. Long version A family member offered to co-sign for a mortgage, if it would help. The original bank (Chase) said that their underwriters would ...


3

They are right to ask for the money back because you were not entitled to that money. However, you may have a defense called "laches". Basically, you can try to show that because of the government's unreasonable delay in asking for the money back, in the meantime you relied on the assumption that it was your money in good faith, and spent it, and now to ...


3

Typically, life insurance provided as a employee benefit is dependent on your salary (sometimes as much as 2 or 3 times annual salary is available) with an option to buy more life insurance (how much is often tied to salary too) at group rates. In any case, the total amount of life insurance the OP should have as a sole earner with a young child (and ...


3

You mentioned you are "highly skilled". Do you think your employer agrees, and if so, do you feel they would be reluctant to let you go, except that maybe they cannot currently afford to keep you? If you can answer yes to both of those questions, then you may benefit from discussing this with your employer. Sadly, employers who let employees go ...


3

Is there a way for a 1099 to show that I was working during unemployment benefits? The only date on a 1099 is the calendar year. If the IRS audits the company, they might see the company paying you cash, ask about it, and "discover" that you were getting unemployment at the time. Prepare to pay back all that unemployment insurance, plus a ...


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