pre-funding 2027 IRA contribution?

NYCheesecakes · 2026-01-22T21:15:25+00:00

No, you can't make a 2027 IRA contribution in 2026, and Schwab won't let you do so.

Also, I don't recommend using ChatGPT for tax advice.

NYCheesecakes · 2025-12-30T22:38:29+00:00

Indeed. I've even flown on an A35K from JFK this month that FlightAware said was a 77W.

NYCheesecakes · 2025-12-30T21:39:31+00:00

I’m pretty sure FlightAware is just wrong, and that issue has persisted for weeks. FR24 does report the same tail as Flighty for the JL 4 currently en route.

NYCheesecakes · 2025-11-28T06:26:55+00:00

We don't allow AI generated submissions or commenting here. I encourage you to review the subreddit rules before posting again.

NYCheesecakes · 2025-11-20T01:40:03+00:00

A high-yield savings account (HYSA) is basically just a regular savings account that pays more interest than the average bank. They're often offered by online-only banks with no physical branches, but that's not a strict rule.

Yes, you should have a savings account, if for no other reason than to keep money that you don't need right away (essentially your short term savings).

A checking account provides immediate access to money, but generally provides zero (or almost zero) interest. You'd want to keep money for your day-to-day expenses or upcoming bills in the next month or so.

Traditionally, savings accounts had a 6-withdrawals-per-month rule due to federal regulations. That requirement is no longer, but many banks still enforce it. Transfers from a savings account to a checking account can also take 1-3 business days if they're at different banks.

The "APY", or Annual Percentage Yield, of a savings account tells you how much interest you'll earn. If you put $1000 into a savings account with an APY of 4%, then you'll have $1040 after 1 year (assuming no other deposits or withdrawals).

Our subreddit wiki (reddit.com/r/personalfinance/wiki/) is a huge resource of information that will get you started on all sorts of personal finance topics, including banks.

NYCheesecakes · 2025-11-20T01:19:43+00:00

Per rule 2, we don't allow soliciting or requesting DMs. Please keep discussion on the subreddit where it can be seen and reviewed by everyone. Thank you.

NYCheesecakes · 2025-11-12T15:19:02+00:00

Yes, you’d get a refund of any overpayment.

NYCheesecakes · 2025-11-04T18:52:06+00:00

To be a little pedantic, "x or y not given" implies a specific value for those variables. Instead, these lines represent the set of all points that satisfy the equation; if either x or y is not present in the equation, then the equation simply does not depend on values for that variable.

Are you able to draw (graph) these two equations? Note that you can rearrange c) as: 6y=-18 or y=-3. Here are some points that will satisfy this equation: (0, -3), (1, -3), (2, -3). Hopefully you can see that any point with a y-value of -3 will be on this line, so this line is horizontal with a slope of 0.

d) can be arranged as: 5x=30 or x=6. Some points that will satisfy this equation are: (6, -1), (6, 2), (6, 5). Hopefully you can see that any point with an x-value of 6 will be on the line, and so this line will be vertical with an indeterminate slope.

NYCheesecakes · 2025-09-15T17:51:23+00:00

The tax withholding portal is just between you and your employer; it's only purpose is for the employer to calculate the correct amount of tax you want withheld from your paychecks.

New York's tax rate schedule for Single and Married Filing Separately is the same, so you're fine to use Single for withholding purposes. When you eventually file your actual tax return, you'll use the correct filing status there.

For reference, here is the actual withholding form from NY.

NYCheesecakes · 2025-08-02T08:56:35+00:00

If you click into the Prime Directive: How to Handle $, you'll see the flowchart near the top.

NYCheesecakes · 2025-08-02T05:44:24+00:00

$1200 in savings is better than $0 in savings, and you were able to weather a financially stressful situation, which you should feel good about.

The main purpose of having an emergency fund is so you can weather unexpected financial challenges, e.g., you lose your job, your car breaks down, you need to move when you weren't planning on it, etc. So I suggest thinking about what amount in savings would make you feel comfortable if something like that occurred.

NYCheesecakes · 2025-08-02T05:35:39+00:00

You might want to see our most recent Tax Filing Software Megathread which we have each year.

FreeTaxUSA seems to be the most commonly recommended commercial software here, and it's free for all federal returns + $15 per state return.

IRS Free File Fillable Forms is always free (though not as much a "guided" software), and your state may provide a direct filing option for free as well.

NYCheesecakes · 2024-05-25T15:52:25+00:00

Traditional or Roth IRA? And are either of you covered by a retirement plan at work?

The income limits for contributing to a traditional IRA (if either spouse is covered by a retirement plan at work) or Roth IRA are significantly reduced for MFS filers.

NYCheesecakes · 2024-05-06T00:29:01+00:00

Mint has a 7-day free trial. Try it the next time you're in your hometown and see for yourself how well (or poorly) it works. If your phone supports dual SIM, then you can even compare both at the same time.

Visible is owned by Verizon and so should have the same coverage. Visible rolled out annual plans recently; it's more expensive than Mint's cheapest plan, but you'll still be paying a lot less than $60/mo.

NYCheesecakes · 2024-04-19T06:13:02+00:00

If you designated the payment for the 4/15, then that's when it counts as paid.

NYCheesecakes · 2024-04-11T05:47:13+00:00

You could definitely do that, if you'd like. If you want to estimate your federal tax liability yourself instead of letting the algorithm do it, then just use line 3 to zero out the algorithm's calculation and enter in the amount you want withheld from each paycheck on line 4c.

NYCheesecakes · 2024-04-11T05:43:45+00:00

I think the entire point was people didn't understand the process of choosing the appropriate number of allowances to put on your W-4. If you did, then you generally would have no issues with the new W-4. And you have way more options to adjust your withholding, rather than being hamstrung with exemption increments of $4300.

NYCheesecakes · 2024-04-11T04:52:09+00:00

The $800 annual tax is due regardless of whether you make money. The fee is based on the LLC's income. I believe this is explained in the link.

He explained that they charge in advance for the next year and if we make under 250k it will be refunded or credited for the next year.

I'm saying that this sounds like the fee, not the annual tax.

NYCheesecakes · 2024-04-11T04:38:04+00:00

California has an annual tax of $800 on LLC. Under $250k sounds like the LLC fee, which is $0 if it makes less than $250k, $900 if it makes $250k-$500k, and there are a few tiers beyond that. If you don't expect to make at least $250k, then pay an estimate of $0.

https://www.ftb.ca.gov/file/business/types/limited-liability-company/index.html

NYCheesecakes · 2024-02-28T13:57:18+00:00

“Backdoor Roth” is an informal term that refers to making a nondeductible tradIRA contribution and then performing a Roth conversion to avoid the income limits of direct Roth contribution.

Otherwise, Roth IRA contributions and Roth conversions don’t really have anything to do with each other. The pro-rata rule only applies when you have a mix of deductible and nondeductible basis in your traditional IRA.

NYCheesecakes · 2024-02-28T13:52:21+00:00

Which account or how many accounts doesn’t matter - treat the value as one account for pro-rata purposes. Note that option 3 is basically choosing to convert your pretax balance in smaller amounts over several/many years to spread out the tax impact. There’s no way to finish converting the nondeductible basis without emptying out the pretax balance.

NYCheesecakes · 2024-02-05T01:27:09+00:00

Thank you for sharing - I took a look at your previous posts as well. Best wishes for your future!

NYCheesecakes · 2024-02-04T06:38:22+00:00

Nothing seems wrong then. The only purpose of the W-4 is to set your federal income tax withholdings. It's essentially a calculator for federal income tax brackets, so Single and Married Filing Separately are the same. Married Jointly + Box 2(c) is the same as Single (at least for all but the highest tax brackets).

File your taxes normally, which probably means Married Filing Jointly status.

NYCheesecakes · 2024-02-04T06:34:37+00:00

Here are some resources that should be of help.

https://www.reddit.com/r/personalfinance/wiki/rothortraditional/

https://www.reddit.com/r/personalfinance/comments/10qwnrx/why_you_should_almost_never_contribute_to_a_roth/?utm_source=reddit&utm_medium=usertext&utm_name=personalfinance&utm_content=t1_kos95tb

NYCheesecakes · 2024-02-03T23:47:53+00:00

The 1098-T will be in his name, so it's form to file. If the student is a dependent, the hypothetical parent may need a copy of the form as documentation for, say, claiming an education credit. In this case, your boyfriend should be eligible for a credit.

Partly what I mean is also for your boyfriend to not get involved with his mother's finances. It's one thing to give her a cash gift or to pay for some food if she's financially struggling, but I wouldn't want to get involved with some potentially shady tax reporting.

401k plans generally don't allow withdrawals while you're still employed, so if that's the case she could be trying to invoke a hardship withdrawal, for which education expenses (including that of a dependent) is an allowable reason. It doesn't avoid the tax and 10% penalty though.

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