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Did you check if you qualify for education credits? Since you mentioned you just got out of college, you might be eligible for the American Opportunity Credit or the Lifetime Learning Credit if you paid for educational expenses in the past year.
This is a really good point! OP could potentially get thousands back from education credits if they paid tuition in the tax year they're filing for. I got almost $2500 back from AOTC when I was in school.
One thing that might help explain your situation is to look at your actual tax liability vs. what was withheld from your paychecks. With your total income of around $56,300 ($17,800 + $38,500), you're definitely in a higher tax bracket than what each individual employer was probably calculating when they withheld taxes. The multiple job issue that others mentioned is spot on - it's one of the most common reasons for smaller refunds or even owing money. Each employer's payroll system calculates withholding as if their job is your only income source, which can lead to significant under-withholding when combined. For next year, I'd definitely recommend using the IRS withholding calculator mid-year to check if you need to adjust your W-4. You might need to claim fewer allowances or request additional withholding on line 4(c) to avoid this surprise again. The $400 charitable donation will help a little, but it's relatively small compared to your total income. Also worth double-checking those education credits that Mohammed mentioned - if you paid any qualified education expenses this year, that could significantly boost your refund!
This is such a helpful breakdown! I'm in a similar situation with multiple jobs and had no idea that each employer's payroll system doesn't account for my other income. That explains so much about why my withholding never seems to match up with what I actually owe. The education credit suggestion is definitely worth looking into too - I completely forgot that I paid some tuition expenses early this year for my final semester. Do you know if there's a minimum amount you need to have paid to qualify, or does any qualified education expense count toward the credit?
Has anyone used TurboTax for carrying over adoption credits? I'm trying to figure out if it automatically tracks this for me year to year or if I need to manually enter previous year carryover information.
I used TurboTax last year and this year for my adoption credit carryover. If you used TurboTax last year, it should automatically import your carryover amount when you file this year. There's a screen specifically for "credit carryovers from previous years" where you can verify the amount is correct. Just make sure you're using the same TurboTax account as last year. I'd also recommend double-checking the carryover amount against your previous year's return (Form 8839) to make sure it imported correctly.
This is such a helpful thread! I'm dealing with a similar situation - we adopted our daughter in 2023 and I was completely lost on how the credit carryover works. One thing I learned from my tax preparer that might help others: make sure to keep really detailed records of your adoption expenses, even the ones that might not seem obviously qualifying. Things like travel costs to meet the child, court fees, and even some home study expenses can count toward the credit. Also, if you're working with an adoption agency, ask them for a detailed breakdown of all fees - sometimes they can help categorize which expenses qualify for the credit versus which ones don't. This was super helpful for maximizing our eligible expenses. For anyone using tax software, I'd recommend double-checking the adoption credit calculation manually using Form 8839 instructions. I caught an error in my software's calculation that would have cost me about $500 in credit. The software had missed some qualifying expenses I had entered.
This is really great advice about keeping detailed records! I'm just starting the adoption process and had no idea that travel costs and home study expenses could qualify. Do you know if there's a comprehensive list somewhere of what expenses are eligible? Also, that's a smart tip about double-checking the software calculation. Did you find any resources that helped you verify which expenses should be included? I want to make sure I'm tracking everything correctly from the beginning so I don't miss anything when it comes time to file.
Based on everyone's experiences here, it sounds like you should definitely claim your mom as a dependent if she qualifies (under $4,700 income, you provide more than half support). The tax savings will likely be substantial with your $75k income. However, before applying for SSI specifically, you'll need to address her $8,000 stock account since it exceeds the $2,000 resource limit. She could spend down those assets on allowable expenses (medical bills, home modifications, etc.) or look into other programs with higher asset limits. One strategy might be: claim her as dependent this year for the tax savings, help her spend down assets appropriately, then apply for SSI next year. Meanwhile, she can apply for Medicare (age-based, no asset limit) and possibly state Medicaid programs or Medicare Savings Programs which often have higher asset thresholds. The key insight from everyone's real experiences is that your tax filing status won't directly impact her benefit applications - they're truly separate systems. But the housing support you provide will be factored into benefit calculations regardless of how you file taxes.
This is a really comprehensive summary! One thing I'd add based on my experience helping my elderly neighbor navigate similar issues - when spending down assets for SSI eligibility, make sure to document everything carefully. SSI has very specific rules about what counts as allowable spend-down expenses, and they'll want receipts and explanations for any large expenditures in the months before applying. Also, don't overlook SNAP benefits (food stamps) - many states have eliminated asset tests entirely for this program, so your mom might qualify immediately regardless of her stock account. It's not a huge amount but every bit helps, and the application process is usually much simpler than SSI. The timing strategy you mentioned makes a lot of sense - get the tax benefits this year while planning the asset spend-down for future SSI eligibility. Just make sure any spend-down is done properly to avoid looking like asset transfers that could create penalties.
This thread has been incredibly helpful! As someone who works in elder benefits advocacy, I want to emphasize a few key points that have come up: 1. **Asset spend-down timing is crucial** - if your mom's stock account is at $8,000, she needs to get below $2,000 for SSI eligibility. But don't just liquidate everything at once. SSI has a "lookback" period and will scrutinize large asset changes. Work with a benefits counselor to plan legitimate expenses like medical bills, home accessibility modifications, or prepaid burial funds (up to $1,500 is excluded). 2. **State variations matter hugely** - while federal programs like SSI have consistent rules, state Medicaid programs vary dramatically. Some states have expanded Medicaid with much higher asset limits, and Medicare Savings Programs differ significantly by location. Don't assume what worked in one state applies to yours. 3. **Documentation is everything** - keep detailed records of all support you provide (housing costs, food, medical expenses) as this will be needed for both tax dependency and benefit applications. The agencies may ask for this information going back several months. The consensus here is solid: claim her as dependent for tax purposes while separately navigating the benefits system based on her individual circumstances. Just make sure to plan the asset spend-down carefully with professional guidance!
I'm confused about something - do I need to report my foreign account if I'm a US citizen but the money was earned and taxed in that foreign country? I have about $12,000 in a bank in Argentina where I work part time.
Yes, you absolutely need to report it if the total of all your foreign accounts exceeded $10,000 at any point during the year. The FBAR requirement is about disclosure of the accounts, regardless of whether the income was already taxed elsewhere. Also, as a US citizen, you generally need to report worldwide income on your US tax return, though you may be able to exclude some foreign earned income or claim credits for foreign taxes paid to avoid double taxation.
I was in a similar situation a few years ago with my UK account and completely understand the panic! Here's what I learned from going through this process: First, take a deep breath - you're not alone and there are solutions. Since your account has $38,000, you definitely need to file an FBAR for any year the balance exceeded $10,000. The good news is that the Streamlined Filing Compliance Procedures are specifically designed for situations like yours where the failure to report was non-willful. For the Streamlined Domestic Offshore Procedures (since you're living in the US), you'll need to file: - FBARs for the past 6 years (or however many years you've had the account if less) - Amended tax returns (Forms 1040X) for the past 3 years - Form 14653 (certification that your failure was non-willful) The key is being able to certify that your failure to report was non-willful - meaning you weren't intentionally hiding the account. Based on your post, it sounds like you simply weren't aware of the requirement, which would qualify. I'd strongly recommend consulting with a tax professional who specializes in international tax issues before proceeding. The penalties for willful non-compliance can be severe, but the streamlined procedures can eliminate or significantly reduce penalties for non-willful cases. Don't wait too long to address this - the sooner you get compliant, the better your position will be.
This is incredibly helpful, thank you so much! I'm definitely in the non-willful category - I genuinely had no idea about these reporting requirements until my friend mentioned it. One question about the amended returns - do I need to report the actual income from the Canadian account on those amended returns, or just the existence of the account? I already reported all my Canadian employment income on my regular tax returns each year, so I'm wondering if the amendments are just to add the foreign account disclosure forms or if there's additional income reporting I missed. Also, roughly how much should I expect to pay for a consultation with an international tax specialist? I want to make sure I do this right but I'm also worried about the cost on top of any potential penalties.
Luca Bianchi
I went through this exact same thing last year! The status change from "Being Processed" to "Still Being Processed" at 8 weeks usually indicates your return has moved into a manual review queue. This could be for income verification, identity verification, or just routine quality control checks. In my case, it took about 3 more weeks after the status change, but I did get my refund plus interest for the delay. The key thing is that "Still Being Processed" doesn't mean there's necessarily anything wrong - it's just their way of acknowledging it's taking longer than the standard timeframe. I'd definitely recommend checking your IRS transcript online to see if there are any specific codes that might give you insight into what's being reviewed. Hang in there - most people in your situation do get their refunds eventually!
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Isabella Santos
β’This is exactly what I needed to hear! I was getting really anxious about the status change but knowing that you went through the same thing and got your refund (plus interest!) makes me feel so much better. 3 weeks doesn't sound too bad in the grand scheme of things. I'm definitely going to check my transcript tonight - seems like everyone is recommending that to get a better understanding of what's actually happening. Thanks for sharing your experience and for the reassurance! π
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Ana ErdoΔan
The status change from "Being Processed" to "Still Being Processed" at 8 weeks is actually pretty standard and usually just means your return needs some additional review time. This could be anything from income verification to identity checks, or sometimes you just get stuck in a backlogged queue. I went through this same thing two years ago and it took about 6 more weeks, but I did eventually get my refund with interest for the delay. The key is that "Still Being Processed" doesn't necessarily mean there's a problem with your return - it's more about the IRS acknowledging it's taking longer than their standard processing time. Definitely check your IRS transcript online if you haven't already, as it might show specific codes that could give you more insight into what's causing the delay. Try to stay patient - I know it's frustrating, but most people in your situation do get their refunds eventually!
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Melissa Lin
β’Thanks for sharing your experience! 6 weeks sounds like a long wait but at least you got interest for the delay. I'm definitely going to check my transcript tonight - everyone keeps mentioning these codes and I'm curious to see if there's anything specific showing up on mine. It's really helpful to know that "Still Being Processed" is more about timing than actual problems with the return. I was starting to panic but all these stories are giving me hope that it will work out eventually! π
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