As someone who recently went through a similar situation with inherited farmland, I'd strongly recommend getting multiple perspectives before making your decision. The $12,000 annual rental income you're receiving works out to about $185 per acre, which is actually pretty competitive for central Illinois. Before switching to CRP, consider that you'd be locking yourself into a 10-15 year contract. While CRP payments might be similar or slightly higher, you lose the flexibility to adjust rental rates or change land use as market conditions evolve. Farm rental rates have been increasing in many areas, so your current arrangement might become more valuable over time. Also, don't forget that your current rental income is truly passive - the tenant farmer handles all the work and maintenance. With CRP, you'll have ongoing responsibilities for conservation compliance and maintenance that could eat into your returns. I'd suggest getting quotes from both your FSA office for CRP rates and from a few other local farmers for rental rates before making your final decision. This way you can make an informed choice based on actual numbers rather than speculation.

One thing that hasn't been mentioned yet is the Wildlife Habitat Incentive Program (WHIP) and the Environmental Quality Incentives Program (EQIP) - these might be alternatives worth exploring alongside CRP. Since your land is highly erodible, you might qualify for cost-share programs that allow you to continue renting while implementing conservation practices. This could give you the best of both worlds - maintaining your rental income while receiving additional payments for conservation improvements. Also, given that you're in central Illinois, check if your county participates in any state-level conservation programs. Illinois has some additional incentive programs that can supplement federal programs and might offer more flexibility than a long-term CRP commitment. I'd recommend contacting both your local FSA office and your county's Soil and Water Conservation District - they often have different programs available and can help you understand all your options before committing to any single approach.

Does using TurboTax make handling crypto taxes easier? I've got some Ethereum I bought last year but I also did a small amount of trading between different coins. Not sure if I should use TurboTax or maybe try a more specialized crypto tax software?

Great breakdown, Jamal! This is super helpful timing since I'm about to start my 2024 taxes. I've been sitting on some Bitcoin and Dogecoin I bought last spring and had no idea how to handle that cryptocurrency question. One thing I'd add for anyone reading - make sure you keep good records of your purchase dates and amounts even if you're just buying and holding. I learned this the hard way when I couldn't find my Coinbase statements from early 2024. Even though I didn't have reportable transactions this year, having that documentation will be crucial if/when I do decide to sell in the future for calculating capital gains. Also, does anyone know if the rules are the same for crypto you receive as gifts? My brother sent me some Bitcoin for my birthday but I didn't do anything with it.

Sorry you're dealing with this! Just to add another perspective - double-check if you filled out a new W-4 when you started this job. The W-4 form changed completely in 2020 and no longer uses allowances. If you're using an old W-4 form from before 2020, the employer might have misinterpreted something. Or it could just be a data entry error where someone typed "9" instead of "0" or "1". For your bonuses, the standard supplemental wage withholding is 22% federal, not 18%. If they withheld less than that, it could explain part of why you're owing so much.

This sounds incredibly frustrating! The 9 allowances situation is definitely a red flag - that would drastically reduce your withholding throughout the year, which explains the large tax bill you're facing now. A few things to check immediately: 1. Request copies of all your paystubs from this year to verify what was actually withheld 2. Ask your HR/payroll department for documentation showing when and how your allowances were set to 9 3. Double-check that all your bonus withholding is properly included in Box 2 of your W-2 The good news is that if your employer made an error with your withholding allowances without your consent, you may be eligible for penalty relief from the IRS. They have provisions for situations where underwithholding wasn't the taxpayer's fault. For immediate relief, you can set up a payment plan with the IRS if you can't pay the full amount right away. And definitely submit a new W-4 form immediately to fix your withholding going forward - you don't want to be in this situation again next year! The bonus withholding should indeed be at 22% if they used the flat rate method, so 18% suggests there might have been an error there too.

Does anyone know if you can track the status of an amended return? I'm worried about my amendment getting lost in the mail or something.

Another option to consider while waiting for the amendments to process is setting up a payment plan with the IRS if your parents are concerned about the immediate financial impact. They offer both short-term (120 days or less) and long-term installment agreements that can help spread out the payments. The short-term payment plan doesn't have a setup fee, and even if your refund comes through during those 120 days, any overpayment would be refunded back to them. This might be less stressful than paying the full amount upfront while waiting months for the amendment processing. You can set up payment plans online through the IRS website or by calling them directly. Just make sure to still file those amendments ASAP since the payment plan doesn't fix the underlying dependent status issue.

Everyone's talking about adjusting withholding, but don't forget to check if you qualify for tax credits! As a recent grad, you might still be able to claim education credits like the Lifetime Learning Credit if you paid tuition in the same tax year. Also check if you can deduct student loan interest if you've started repaying. Those credits and deductions can make a huge difference when you actually file your taxes, even if they don't affect your immediate paycheck situation.

Welcome to the world of adulting and taxes! 31% does seem shocking at first, but it's unfortunately normal for California. I remember my first "real" paycheck - I literally called HR thinking there was a mistake! A few quick tips that helped me when I was in your shoes: 1. Max out that 401k match ASAP - it's free money and reduces your taxable income 2. Look into an HSA if your company offers one - triple tax advantage 3. Consider if you have any tax-deductible expenses like home office setup for remote work The silver lining? You'll likely get a decent refund when you file since withholding tends to be conservative for new grads. But definitely run the IRS withholding calculator to see if you can optimize your W-4. Just don't go too aggressive - owing money at tax time plus penalties is worse than getting a refund. Also, start tracking any work-related expenses now - even small things like professional development courses or work clothes can add up to deductions.