Something else to consider - the way you're calculating the interest might still be a bit off. The formula you're using assumes continuous compounding, but the IRS uses daily compounding. For daily compounding over 24 months (approximately 730 days), the formula would be: Amount = Principal × (1 + r/365)^730 Where r is the annual interest rate. But again, since the rate changes quarterly, you'd need to break this down into segments for each quarter with different rates.

This is such a helpful thread! I'm dealing with a similar situation but for 2021 taxes that I just discovered I underreported. Reading through all these responses, it sounds like the manual calculation approach is pretty complex with all the quarterly rate changes. I'm curious about one thing though - when you file the amended return (Form 1040X), do you need to include your own calculation of the penalties and interest, or does the IRS automatically calculate and bill you for the correct amounts after they process your amendment? I want to make sure I'm paying the right amount upfront rather than getting hit with additional bills later. Also, for anyone who used the First Time Penalty Abatement mentioned by @Micah Franklin - did you request it at the same time as filing your amended return, or wait until after receiving the penalty notice? Trying to figure out the best timing for this.

My wife just finished her first year as a realtor and we learned some hard lessons on taxes. If your wife plans to work from home, you NEED to have a dedicated space used ONLY for work to claim the home office deduction. We tried claiming our guest bedroom that she sometimes used for work and got flagged for audit. Also, quarterly estimated taxes caught us by surprise. If she starts making decent money, you'll likely need to start making those payments to avoid underpayment penalties. We ended up owing an extra $850 in penalties because we didn't know this.

One crucial thing to add - make sure your wife understands the difference between business expenses and startup costs. The IRS treats them differently for tax purposes. True business expenses (like MLS fees, gas for showings, marketing materials) can be deducted in full the year they're incurred. But startup costs (like getting licensed, initial training, setting up the business) have to be amortized over 15 years, though you can deduct up to $5,000 in startup costs the first year if total startup costs are under $50,000. Also, since real estate is heavily relationship-based, keep receipts for any client entertainment or meals - you can deduct 50% of legitimate business meals. This includes taking clients to lunch, coffee meetings with other agents, or meals during real estate events. The key is documentation for everything. The IRS loves to audit Schedule C filers, especially in the first few years when there are losses. Keep a detailed business diary showing your wife's activities, time spent, and business purpose for every expense.

Something else to consider - if you're expecting to have HDHP coverage for the full year in 2026, you might want to use the "last-month rule" (also called the "full-contribution rule"). This lets you contribute the FULL annual limit even if you didn't have HDHP coverage for the entire year, as long as you're covered on December 1st and remain covered for the following 12 months.

Just wanted to add another perspective on handling HSA excess contributions - I went through this exact situation last year and learned a few things that might help. First, when you contact your HSA provider to request the excess contribution withdrawal, make sure to ask them to calculate the "net income attributable" (NIA) to your excess contribution. This is crucial because you need to withdraw both the excess amount AND any earnings on that excess. If your HSA investments lost money, the NIA could actually be negative, meaning you'd withdraw slightly less than the excess contribution amount. Second, timing matters a lot here. You mentioned you're using TurboTax - if you haven't filed yet, you're in good shape. You can make the correction and then file your return normally. But if you've already filed, you might need to file an amended return depending on when you make the correction. Also, keep detailed records of everything - your HSA provider's calculation of the excess, the withdrawal confirmation, and any correspondence. The IRS can be picky about HSA corrections, and having good documentation makes everything smoother if they ever ask questions. One last tip: consider setting up automatic contribution limits in your payroll system for next year to prevent this from happening again, especially now that you know cash-back rewards count toward your limit.

NFCU member here too! Filed 1/30, accepted same day, and just checked - my pending deposit is showing up as well! Been banking with them for 5 years and they're super consistent. Usually hits my account between 1-3am EST. Love how reliable they are compared to other banks I've had. Can't wait to wake up to that deposit tomorrow morning! 💸

NFCU member here! Filed 1/28, accepted 1/29, and my pending deposit just showed up about 20 minutes ago too! This is my second year with Navy Fed and last year my refund hit at exactly 1:23am EST. Their deposit timing is super reliable - way better than my old bank that would sometimes take until mid-morning. Looks like we're all in the same batch, so fingers crossed we all wake up to good news! 🤞💰

I was sort of in a similar situation, filed on 2/14 and transcript showed nothing until just yesterday. It seems like the IRS might be processing returns in somewhat random batches this year. Once my transcript finally updated, I got my refund deposited within 48 hours. So it might just suddenly appear for you too without warning. The wait is definitely stressful when you're counting on that money though.

I'm also in Mountain time (Denver area) and filed 2/10 - been stuck with "no tax return filed" on transcripts until just this morning when it finally showed up! Got my DDD for 3/13. So your theory about time zones might have some merit, or maybe we're just in a later processing batch. Either way, hang in there - seems like Mountain time filers are starting to see movement this week. Have you tried checking your transcripts early morning vs evening to see if there's a pattern to when updates appear?