As a grandmother, can I claim my grandson with autism who receives $250 a month in SSI and lives with me, if I pay over 50% of his expenses, without affecting his SSI payments?

February 22nd, 2024

Can a 100% member-manager of an LLC be considered an employee and take a salary, and can they also take money from the LLC as a distribution? Does the member-manager have to choose between taking a salary or a distribution, or can they do both?

February 1st, 2024

I received $40,000 from Wells Fargo as compensation for placing me in a higher mortgage rate than I qualified for. They mentioned I might have to pay taxes on this money. Why would this be considered income, and should I expect to pay taxes on it?

May 28th, 2024

I need to withdraw $35,000 from my IRA on January 2, 2014, and I do not qualify for any withholding exemptions. I am not yet 59-1/2, and my husband and I make about $250,000 annually with no significant tax write-offs. We are in a high tax bracket. Should I request no tax withholding on the IRA withdrawal to receive $35,000 and settle up with taxes and a $3,500 penalty at tax time, or should I withdraw more, say $70,000, and have about 50% withheld to net the $35,000? The $35,000 withdrawal adds less to our overall income and results in a smaller penalty, but I'll have to come up with all the tax money when I file my 2014 taxes. The $70,000 withdrawal with withholding solves the 'paying taxes' situation but results in a higher income, a higher penalty, and a bigger hit to my overall IRA funds.

June 13th, 2023

As an aircraft mechanic paid on a 1099, can I deduct the cost of tools and work clothes used exclusively for work on my taxes? Additionally, if I buy tools in 2014 before filing my 2013 taxes, can those tools be deducted on the 2013 taxes?

June 2nd, 2024