Just to add a data point - I sold my house 2 months after the 2-year mark last year but had it listed 3 months before. We had multiple deals fall through due to buyer financing issues. I claimed the full exclusion and wasn't audited. My tax person said the IRS generally looks at when you listed and when you accepted an offer, not just the final closing date.

I'm in a very similar situation right now - my 2-year mark hits in August and I'm listing in June to give myself some buffer. Reading through all these responses has been really helpful, especially hearing from people who actually went through this. One thing I'm doing differently based on what I've learned here is keeping detailed records of everything from day one. I'm documenting my listing date, any price changes, showing feedback, and especially any delays that aren't my fault (like inspection issues or buyer financing problems). It sounds like the consensus is that the IRS is reasonable about legitimate real estate delays as long as you can show good faith effort to sell within the window. The key seems to be having the documentation to back that up if questions ever arise. Thanks everyone for sharing your experiences - it's made me feel much more confident about my timeline!

Something to consider - check if your non-profit client has high turnover in their accounting department. I worked for a non-profit and we had a new accountant almost every year. Each one had to learn the ropes, and contractor 1099s often fell through the cracks during transitions. Not an excuse, but might explain why you have to remind them every year.

As a tax professional, I'd recommend documenting this pattern with your non-profit client. Send them a brief email in December outlining your expectation to receive the 1099 by January 31st, and include your current W9 form. This creates a paper trail showing you've been proactive. If they continue to be late, you might want to consider adding a clause to your contract requiring timely delivery of tax documents. Some freelancers charge a small administrative fee for late 1099s to incentivize compliance. The key thing to remember is that their failure to send the 1099 on time doesn't affect your tax obligations - you still need to report all income regardless. But having that documentation from them makes your life easier and reduces the chance of IRS inquiries about unreported income.

Don't panic! This is actually a very common mistake and much easier to fix than you might think. The backup withholding checkbox on Form W-9 is often confusing for people who aren't familiar with it. Here's what you need to do: 1. **Contact the company immediately** - Reach out to whoever you submitted the W-9 to and explain that you made an error. Ask if you can submit a corrected W-9 form. 2. **Submit a new W-9** - Fill out a fresh W-9 form with the correct information (leave the backup withholding box unchecked unless you've actually been notified by the IRS that you're subject to it). 3. **Include a brief note** - When you submit the corrected form, include a simple explanation like "Please use this corrected W-9 form. I mistakenly checked the backup withholding box on my previous submission." The backup withholding box means the company would withhold 24% of your payments for federal taxes. Since you're not actually supposed to be subject to this, getting it corrected will save you from having too much withheld from your freelance payments. This mistake only affects this specific business relationship - it won't impact your other income sources, investment accounts, or stocks. Each W-9 is separate and specific to that particular company or client. Most companies are very understanding about this type of error since it's so common. Act quickly though - it's much easier to fix before they process any payments!

I can relate to this panic! I made the exact same mistake when I started doing freelance graphic design work last year. The good news is that fixing it is actually pretty straightforward, and most companies are really understanding about it. Here's what worked for me: I called the company's accounting department directly (rather than just emailing) and explained the situation. They were able to put a note in their system immediately while I prepared the corrected W-9. This gave me peace of mind that they wouldn't process any payments with the backup withholding before my correction was in place. When I submitted the corrected form, I also asked them to send me a quick confirmation email stating they received it and would use the corrected version going forward. Having that confirmation in writing made me feel much better about the whole situation. One thing I learned is that backup withholding only applies when the IRS has specifically notified you that you're subject to it (usually due to underreporting income or not providing a correct taxpayer ID). Since that's not your situation, you're absolutely doing the right thing by correcting it immediately. The whole ordeal was resolved within 2 days, and I never had any issues with payments or tax reporting afterward. You've got this!

Has anyone tried just putting in random numbers for the TIN? I heard some creators do that just to get past the verification screen and then fix it later when they actually receive payments. Seems like it might be easier than all these complicated solutions.

I went through this exact same situation with my younger sister last year when she hit 10K on her art TikTok. The TIN requirement definitely caught us off guard too! We ended up going with the custodial account route that Lara mentioned, and it worked perfectly. We set it up through our local credit union - they were really helpful and familiar with this type of setup for young creators. The whole process took about 2 weeks from start to finish. The key benefit for us was that it kept my sister's earnings separate from my parents' income for tax purposes, which was important since she was making decent money from her art tutorials. We got an EIN for the custodial account, submitted that to TikTok, and she was approved within a few days. One tip - make sure to keep really good records of all expenses related to creating content (art supplies, phone upgrades, lighting equipment, etc.) because those can be deducted against the income. Our accountant said this is especially important when you're earning enough to owe taxes. The custodial account also made it easier when she turned 18 last month - we just transferred everything over to her regular checking account without any complicated tax implications.

Isaac, great questions! Yes, you'll need to file both federal and state tax returns if you have Illinois income, but it's not as complicated as it sounds. Most tax software (like TurboTax, H&R Block, or even free options like IRS Free File) will handle both returns together - you enter your information once and it prepares both forms. Since you'll likely have simple tax situations (just W-2 income, standard deduction), it should be pretty straightforward. Regarding the saving question that both you and AstroAlpha asked - I'd recommend the "pay yourself first" approach. Try to save at least 20% of each paycheck if possible, split between: - Emergency fund (even $500-1000 is a great start) - Car fund (since you mentioned wanting one) - "Fun money" for things you want So if you're making around $200/week, try to save $40 ($20 for car, $15 for emergency fund, $5 for fun purchases). It might seem like a lot at first, but starting this habit early will pay off huge later. Plus, having some money set aside means you won't stress if your hours get cut or if you do end up owing a small amount in taxes. The key is finding a balance that doesn't make you feel deprived but still builds good financial habits. Your future self will thank you!

Hey Connor! Congrats on landing your first job - the movie theater sounds like a great place to start! I went through this exact same situation when I was 17, and all the advice here is spot-on. Based on your projected earnings of $7,800-$10,400, you should definitely qualify to claim exempt from federal withholding since you're well under that $13,850 threshold as a dependent. Just wanted to add one thing that helped me - when you fill out your W-4, don't be afraid to ask someone in HR or your manager to double-check it with you. Most employers are used to helping young workers with their first W-4, and it's way better to ask questions upfront than worry about it later. Also, keep a simple record of your paychecks (even just a notes app on your phone). It'll help you track if you're staying under that income threshold, and it'll make tax time way easier next year when you need to gather all your documents. The anxiety about "messing up" is totally normal - I was terrified I'd somehow owe thousands in taxes! But honestly, at your income level and with the good advice you've gotten here, you're in a really safe position. Even if you made a small mistake, it would be easily fixable. Good luck with the new job! Movie theater work can be really fun, especially when the big blockbusters come out.