9

Based on your comment, I see no reason to stop all contributions to your 401k except for the following reasons: Your investment choices in the 401k are horrendous (bad funds, high fees) or the account itself has high fees, to the point where a brokerage account would give you many (cheaper) options. You have high-interest debt or need to shore-up your ...


8

It depends much upon your plans for the future and other financial information. My advice would be to make sure you are out of consumer debt and have a healthy emergency fund in place. You could direct the money, that you had been contributing to your 401K, to those purposes. It seems that your company is undergoing hard times and you may find yourself out ...


8

This is how it works in my experience regarding getting a mortgage: Owner occupied. If you put less than 20% down you have to get PMI. Rental. You are required to put 20% down. Not all lenders will make loans for rental property. Now some people start with a owner occupied and change to renting the property years later. They do this when they have to move ...


4

I'd suggest going to speak with a mortgage broker* in your area rather than going to a bank (and particularly not a credit union). Mortgage brokers have relationships with a number of different lenders and are likely to have a relationship with a lender that will do a loan with a non-traditional credit report. Credit unions are awesome for banking but tend ...


4

You are certainly free to start a corporation and to try to get your current employer (or some other company) to hire the company as a contractor (you can't have a corporation as an employee). There are specific tests that the IRS requires to determine whether companies are employing independent contractors legitimately that you'd need to pass. That will, ...


4

The city of Philadelphia has three types of income taxes: Wage Tax: This is tax that is withheld from your paycheck by your employer if you either work in the city or you live in the city and work in Pennsylvania. Earnings Tax: This is paid by anyone who lives in the city and is employed (not self-employed; other types of taxes apply to them) and does not ...


3

Day trading is the buying and selling a financial instrument within a single trading day. Based on that definition, there should be no confusion. Trades 1 and 2 are day trades and trades 3, 4 and 5 are not. The Pattern Day Trader rule allows 3 day trades in a rolling five business day period in a margin account, provided the number of day trades are more ...


3

No. If the IRS believes that your church is being run for your private gain, it'll lose its tax-exempt status. And then you'll be liable for all the back taxes you didn't pay, plus fines and interest. For example, there was a very long-running set of court cases on the tax exempt status of Scientology. If you tried to create a church that acted as a ...


3

https://www.cftc.gov/check The Commodity Exchange Act requires certain firms and individuals to be registered with the CFTC. Registration and examination of intermediaries is conducted on behalf of the CFTC by the National Futures Association (NFA) under the supervision of the CFTC. https://www.nfa.futures.org/registration-membership/index.html The ...


3

Super basic/unrealistic example but: Let's say you run a hedge fund in New York. You make 50% a year in investing profit and don't want to pay tax. Well you're a hedge fund so you might argue you want to make sure you preserve capital at all costs. You therefore might want to insure a large portion of your profit each year in case the market swings against ...


3

You'll also need insurance both to protect the property (not the renters possessions, I suggest requiring them to have renters insurance for that) and liability coverage. Make sure you know which things your HOA/Condo fee covers and which it doesn't. Also investigate the financial health of your HOA/Condo association since insufficient reserves can result in ...


3

This feels like a variation of Paying “rent” to romantic partner that owns the house, and I'd suggest reading the question and all of the answers there. Keep in mind, the rent one must charge a tenant is "market rate" and if you claim less, you might not pass an audit. If you live in a home that would rent for $2000/mo, but claim $500/mo rental ...


3

The funds are not mixed between Roth 401(k) and non-Roth 401(k). The broker is required to keep separate accounting of the funds in Roth 401(k). See 26 USC 402A(b)(2): Separate accounting required -- A program shall not be treated as a qualified Roth contribution program unless the applicable retirement plan— (A) establishes separate accounts (“designated ...


2

There will probably be transaction fees if you buy them through Chase. I can't see what that is, but in fidelity, for example, there's a $75 transaction fee. If you buy them in a Vanguard account, those fees can be waived (as long as you sign up for paperless statements). You can also avoid the fees in Chase by buying VOO (unless they still charge commission)...


2

The IRS probably would not consider the whole day as uninterrupted business use unless you could prove that the entire day was, in fact, spent driving passengers around. If you stopped off somewhere for lunch in between rides, and that was your only non-business stop of the day, you could possibly consider your entire day as uninterrupted business use, so ...


2

Although the IRS permits filing a 1040 without having any U.S. taxable income, it is unnecessary to do so. According to the Consumer Financial Protection Bureau, if you do not have a social security number (SSN) or ITIN, some banks will accept a government-issued ID number, such as a passport number and country of issuance, instead of a SSN or ITIN. ...


2

You are correct. Non-residents do not qualify. I do know that there is one exception where if your spouse has a social security number and is a member of the U.S. military during the taxable year. If not, then I would assume it is because of the incorrect tax form.


2

You are directing 23% to savings, 25% with company match. The high bond choice in acct 2 seems conservative to me. I (we, with my wife) were nearly 100% stocks, S&P index for most of it, right until retirement. Now, a 70/30 mix. All in all, you seem to have things well thought out.


2

If you are talking about the points that you can optionally pay to reduce the interest rate, then in your scenario you would never want to pay optional points. In general these points take multiple years to break even and you are tying to keep this loan for only a few months or as most a year. So unless you get stuck with the loan and can't do the 2nd ...


2

Step 3 of the new W-4 is where you claim dependents. Instead of putting the number of dependents, you put the total dollar amount of the tax credits you get from your dependents. But, this approach has the added benefit that you can put any number you want! The instructions for step 3 say: You can also include other tax credits in this step, such as ...


2

One option that I've seen before is for one person to pay the rent, and the other person pays the other bills (water, power, internet, groceries, etc). The bills are split so that each person pays roughly the same total amount. Each person is directly paying bills that are in their own name, you're never paying each other. This assumes, of course, that ...


1

The key thing regarding expenses and HSA is the date the service is provided and the date of the "split" of responsibilities. On the date of service it doesn't matter if they have their own policy, or the type of policy they have. I am going to assume that the HSA already existed at the time that service was provided, because if it was established ...


1

Yes, it seems that you can deduct legal expenses that are related to your employment. It should be entered on Line 21 of your return. There are more answers on ttlc.intuit.com/community/tax-credits-deductions/discussion/are-employment-related-legal-fees-still-deductible-in-california/00/174203


1

Since you asked about what you may not be considering, I would suggest you think about potential changes to your personal and/or family life. If you decide to have a family, you may find yourself much busier and that you have very little time to manage your finances and investments. Make sure you are able to do so with minimal effort. Having children can ...


1

Is the estate responsible for any remaining debt if the car sold for less than the balance on the loan? Yes, as well as the grandson (assuming he is the cosigner). My guess is the "deal" he tried to make with the bank was not satisfactory when they know they can more likely get the full amount from the estate. Or he is lying to you hoping to get ...


1

The key element of a 1031 is that you are replacing the property with on at least as expensive. Any cash pulled out creates tax issues.


1

Note, also, that what Amazon is doing to avoid paying taxes isn't going to work for you. When a company acquires another company they do so with pre-tax dollars. Amazon uses it's profits to buy up companies (notice how many it keeps eating!), this converts income into share price, they don't pay taxes, their investors only pay capital gains rates and only ...


1

There are no financial benefits, and there are reporting hassles. The only legitimate reason for a foreign bank account is if you operate in that country routinely and want a local bank account.


1

I'd say if the lodger is actually not giving you the rent, ie, lodger actually owes you for unpaid rent. I would have to say in all circumstances, one would just ask them to leave. (Since you have a personal relationship, I'd guess, that is the very best way to salvage the relationship. Separate out this "business" aspect.) I believe the core ...


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