Just wanted to add another perspective here - I work as a tax preparer and see this situation a lot with clients. One thing that often gets overlooked is that some states have "safe harbor" rules for part-year residents that can actually work in your favor. Since you sold the stocks while still an Oregon resident, Oregon will definitely tax those gains. But here's something to consider: make sure you're taking advantage of any credits for taxes paid to other states. When you file your Colorado return, you should be able to claim a credit for taxes paid to Oregon on the same income, which prevents true double taxation. Also, document everything about your move timeline. Colorado may want to see proof of when you actually established residency there - utility bills, lease agreements, employment start date, etc. This helps establish the clear cutoff date for which state taxes which income. The $65k gain is substantial enough that it's probably worth consulting with a tax professional who specializes in multi-state returns, especially since Oregon and Colorado have different rules about how they treat capital gains.

This is a really complex situation, and you're smart to be thinking about it now before tax season hits. From what I understand, since you were still an Oregon resident when you sold those stocks, Oregon will likely claim the right to tax the entire $65k in capital gains at their rates. One thing that might help ease your stress - when you file as a part-year resident in both states, each state typically only taxes the income earned while you were actually living there. So Colorado shouldn't double-tax those gains since they were realized before you moved there. The timing is unfortunate from a tax perspective since Oregon treats capital gains as regular income (so potentially higher rates), but what's done is done. For future reference, this is exactly why some people delay major asset sales until after they've established residency in lower-tax states. My advice would be to start gathering all your documentation now: the exact dates of your move, employment start date in Colorado, when you closed on housing, utility transfers, etc. You'll need this to clearly establish your residency timeline for both states. Given the size of those gains, it might be worth consulting with a tax pro who handles multi-state returns - the cost will probably be worth it to make sure you're not leaving money on the table or missing any deductions.

How does everyone track the 74% rental vs 26% personal use split accurately? I'm using a spreadsheet but it's getting super confusing with all the different categories of expenses.

Just went through this exact scenario last year! One thing that really helped me was creating a detailed timeline of when the property transitioned from personal to rental use. I marked the exact date I moved out as my primary residence versus when it became available for rent - these can be different dates and it matters for your calculations. Also, don't forget about the "de minimis safe harbor" rule if you have small repairs during the transition. Items under $2,500 can often be fully deducted in the year incurred rather than depreciated, which can be beneficial for expenses incurred while preparing the property for rental. For your 74%/26% split, make sure you're using the right method - some expenses get allocated based on time (like utilities), while others might need to be allocated based on square footage if you're dealing with mixed-use spaces. The IRS is pretty specific about which allocation method to use for different types of expenses.

This thread has been incredibly helpful! I'm dealing with a similar situation with my 22-year-old son who's in his senior year of college. He's taking 12 credits (full-time at his school), I pay his tuition and rent, and he works about 15 hours a week making around $8,000 annually. One thing I wanted to add that I learned from my tax preparer last year - make sure you understand how the American Opportunity Tax Credit interacts with claiming your child as a dependent. You can only claim the education credit if you're also claiming them as a dependent. So even if the dependency exemption itself doesn't save you much in taxes, the education credits (up to $2,500 per student) can be substantial. Also, for those tracking support expenses, don't forget to include the fair market value of housing if your child lives at home with you. The IRS has guidelines for calculating this - it's usually based on what it would cost to rent a similar room in your area. This can significantly boost your support calculation if your child is living at home rent-free. Has anyone had experience with how this works when your child graduates mid-year? My son graduates in May, so I'm wondering if that affects his student status for the full tax year or just the months he was enrolled.

This has been such an informative discussion! As a tax professional, I wanted to add a few clarifications that might help others in similar situations. First, regarding the "5 months full-time student" rule - it's important to note that this refers to any 5 months during the tax year, and they don't have to be consecutive. So even if your child takes a semester off but was full-time for fall and spring semesters, they likely still meet this test. Second, I see some confusion about income limits. For qualifying children (under 24 and full-time students), there is NO income limit that disqualifies them from being your dependent. The $5,000 limit only applies to qualifying relatives. However, if your child's income is high enough that they're required to file their own return, make sure you coordinate so both of you don't claim the same person. One thing that hasn't been mentioned much is the "tie-breaker" rules when multiple people could potentially claim the same dependent. If parents are divorced or separated, there are specific rules about which parent gets to claim the child that go beyond just who provides more support. Also, keep in mind that some states have different rules than federal, so if you live in a state with income tax, double-check their dependency requirements as well. For anyone still unsure about their specific situation, I'd recommend consulting with a qualified tax professional rather than relying solely on online tools, especially for complex family situations.

This is a really common situation that catches a lot of people off guard! As others have mentioned, Decision HR is acting as a PEO (Professional Employer Organization) for your company. Think of it like this: your marketing agency is still your "real" employer who hired you, manages your work, and makes decisions about your role, but Decision HR handles all the payroll processing, tax withholding, and W-2 generation behind the scenes. The key thing for your taxes is that you should file based on where you actually work (Colorado), not where the PEO is located (Florida). Since your W-2 shows Colorado state taxes were withheld, you're all set to file your Colorado state return as usual. The IRS and state tax systems are very familiar with this arrangement. It's unfortunate your HR didn't explain this transition better - most companies do communicate when they start using a PEO since it can be confusing when employees get their W-2s. But from a tax perspective, you can proceed normally with filing. Just enter the W-2 information exactly as it appears, and any tax software you use will handle the state filing correctly based on where the work was performed.

This thread has been incredibly helpful! I'm a tax preparer and see this PEO confusion every season. Just wanted to add that if anyone is still worried about their specific situation, you can always call the number on your W-2 (which should be Decision HR's contact info) to verify that everything was processed correctly. Also, keep in mind that some PEO arrangements can affect things like unemployment benefits if you ever need them, since technically the PEO is your "employer of record." But for tax purposes, what everyone has said here is spot on - file based on where you work, not where the PEO is located. One last tip: if you're using tax software and it asks about working in multiple states, just indicate that you worked in Colorado even though your W-2 shows a Florida employer address. The software is designed to handle this distinction.

This has been such an enlightening discussion! As someone who works in tax preparation, I see situations like this more often than you might think, and it's wonderful to see community members sharing practical experiences alongside the technical tax guidance. One aspect I'd like to emphasize that hasn't been fully highlighted: the "temporary" nature of your situation actually provides significant protection that many people don't realize they have. The IRS recognizes that life circumstances like caring for aging parents create legitimate temporary relocations, and as long as you maintain clear intent to return (through the documentation strategies others have mentioned), you preserve valuable tax benefits. What's particularly encouraging about your specific situation is that you're likely to qualify for the rental loss deduction given your expense structure. Many people assume rental income always creates additional tax liability, but when you're paying higher temporary housing costs plus all the usual homeownership expenses, the mathematics often work in your favor. For anyone else reading this who might be in similar circumstances: don't let tax concerns prevent you from making the right decision for your family. With proper documentation and understanding of the rules, these temporary family care situations often have more favorable tax treatment than initially appears. The key is treating it as what it is - a temporary arrangement with clear family care justification, not a permanent investment property conversion. Thank you to everyone who shared their experiences here - this thread will be valuable for many families facing similar decisions.

I'm currently considering a similar situation and this thread has been incredibly valuable! My wife and I may need to temporarily relocate to care for her grandmother who's been struggling with mobility issues after a recent fall. One thing I haven't seen mentioned yet - how did those of you with rental properties handle the security deposit logistics from a distance? Did you use a property management company just for the deposit handling, or were you able to manage that remotely as well? Also, I'm curious about the insurance transition timing. If we decide to move forward with this, should we switch to landlord insurance before we start showing the property to potential tenants, or is it okay to wait until we actually have tenants moving in? This discussion has really helped me understand that what initially seemed like a financial burden could actually work out favorably with the rental loss provisions, especially since our temporary housing costs would definitely exceed any rental income. It's encouraging to see so many people who've successfully navigated these situations while doing the right thing for their families.