Medlin Software, Dennis

More accurately, a 3.75% discount if paying in cash. Merchant fees are not to be ignored. We ALL pay them, with a good bump in the last many years to "cover" the costs of the reward cards we all try to use. Then there is the cost of dealing with card user issues, which is now 100% DIRECTLY funded by the merchants. When someone questions a charge, the merchant has to "pay to play", so even for a $200 ticket, it is likely cheaper to accept the refund (which we all pay for in increased costs). If your clients provide a GL, look at the rate their CC fees actually are (assuming accurate entry). Processors sell on the as low as 1.99% theme, but the reality is, for most small businesses, getting an annual actual cost even near 3% is the exception.

We "are" the gubmint. It is a reflection on society. We like to send the same person to DC over and over, 'cause they can send back the most pork.

Tom. Those are the things I think about under my own roof. I have tried to plan and insure as best I can. One thing for sure, in today's reality, no one who wants to work (and can perform at least reasonably) is out of work. With the situation you describe, they may be on other programs, IHHS, EBT, etc, which may give potential employer a useful credit if they get hired. Such as the lady who does better, near me, by begging while sitting under a quick serve help wanted sign offering $20+ per hour to start. Personally, should my software venture somehow fail, I have done so many physical things in my years, I would be turning away work. Certainly not as lucrative as not working with one's hands, but we would survive. Not sure how their retirement is setup, but you did not say they used it all, so they still may have options.

It is tough to separate goodwill from those who may or may not know what they are doing (asking for free work). I will often adjust price for animals rescue groups. Usually no for groups I know make money, donations or not. In the op, I don’t read it as they are starving broke, so I would not discount, but I would share resources which may help them resolve or adjust their financial situation.

Pulled “some” money out of IRA? Then there may be “some” left to cover expenses. Hard lesson that many have to learn. Just because customer gives you $100 does not mean you net $100, or in this case, WD of $X does not mean you can spend all of $X. Tough conversation but should be dealt with by whomever assists them with money management, not from their preparer. For me, I hear the “I cannot afford to update my 10 year old computer” or “I cannot afford $79 software “. This is from business owners who need to pay employees. A few times, it is from those preparing payroll for others and say they cannot afford my price. I will have the tough discussion that if <$100 software or <$500 computer update will “really” break them, they need to end their business as it is already broken. Or that they are giving away their services for less than minimum wage, if not free or at a loss.

And don't forget self caused issues, such as shielding income from W2 reporting. Zero SS recipients who could have managed their finances to reach SS max contribution get any sympathy from me. I discuss this daily, "why are you hurting yourself and your family by even considering W2 "games" before your SS wages reach the SS max every year?" Of course, there are those who do not believe in SS (and should not complain at all), but for the majority who will claim, belief or not, no complaints are heard from me unless they are collecting at or near the max. My own grandmother collected for just shy of 50 years... and we have planned for our disabled daughter to do the same (SSDI when I get to FRA) for hopefully 40+, plus if I meet my demise early, I will have left my spouse in good SS shape - by not gaming "reasonable compensation".

Maybe some of the recipients did not need to get a form at all? Corps for example. It is a nit issue for me, sending blindly to all based on 600 or for any amount at all.

Forgettory! Excellent word. Mine is absent minded though, attributed to kids and grand kid taking my brain cells.

A customer just asked me if we help prepare the x forms to retroactively claim ERC. They made a comment about how difficult the process is. I could not help myself, and pointed out how easy it was in real time.

Common sense, or dollar sense at play. Like an old textbook said, those that spend hours finding a one cent issue may be good, but they are fired. Anything which takes more than automation likely has some sort of review and profitability calculation. We even talk about it here, as long as the result is close, file as is...

I used a calculator, I think on the SS site, to play around with different earnings. Again, looking only at what our daughter will get for SSDI. a $10 a month increase (the number I watched for) at onset, for hopefully 40+ years, is not something to ignore. SSDI will not be her only resource, but maximizing for her makes sense.

For me, studying my own situation has led me down many paths which might help others. Answering your own issues is a great first step, which will give you a place to start making notes to look at other paths. As above, my first advice is always to study death or disability tomorrow, and the results of prior planning or lack of will be a shock. That shock is great inspiration. I then looked at my death being at age 100, which is the actual average for my family. I slightly considered death at an age where waiting until max SS is gained, but for me, I discounted it as it only affected ME, not those I will leave behind (which is my personal priority).

SS planning should be done starting from an early age. Meaning, get in 10 quarters. Check for accurate reporting. If an s corp, for example, maximize SS wages instead of playing RC games. JMO though. My opponent noon is based not on maximizing for own self, but to setup for the unexpected. Surviving spouse, surviving kids. Disabled self, spouse, kids. Etc. Comes from my grandmother collecting for over 50 years. Me being a surviving child. Daughter likely collecting 40+ years of ssdi based on my wages. Also still personally having one zero year dragging my calculations down due to a poor choice in my youth. i don’t see it as a need to beat private investment game, but a way to care for those we are responsible for. The average person is not going to beat SS if something unexpected happens. I don’t else a scenario where SS is left fallow. I know not all agree, and I know many who wish they had!

There is not always a good answer. Situations may be different. For example, someday, our daughter will need to transition from SSI to SSDI, based on my earnings. This change is not always automatic, and must be initiated. If one does understand this can be done, and why, one may make less than optimal decisions before then, such as claiming before FRA.

It is not just a school issue. Many people fail to PRINT AND RETAIN the proper records, personal, business, or professional. If I had a dime for every person who asks me if I have paper records of their data... Or my computer failed, do you have my data... I suspect at least one person here does not have all required paper records (PDF is common), but does not follow the rest of the "I don't keep paper" requirements. Same for the often shared idea of not keeping any records once there is no legal reason to (no items from 10 years ago for example). --- I gave up beating the drum on the rules allowing non paper record keeping. I guess folks are fine with the one item which nags at me, essentially giving warrant-less search rights to anything connected with your e data storage. The rules were set in the 90's (or earlier), and have not been updated (why should the IRS want to give up rights?). The second item is having to proactively report ANY possible data issues, which can be something like changing computers or a power issue. If the IRS has updated the rules, I will be glad, but no one has shown me anything less onerous being allowed, and I stopped looking/monitoring.

Did the employer provide the erroneous withheld amounts to the spouse and a proper 1099?

Maybe the process to report an incorrect or missing W2 along with properly including the amount as if on a proper 1099? And account for, try to get any incorrectly withheld items. Some employers make mistakes with this process from lack of use/knowledge.

My jaded take is anyone who did not claim the ERC in real time should not be handling their own payroll and/or accounting. If it is a corp, those in charge did not meet their fiduciary responsibilities to the corp. Same with the PPP. Just as many who own/manage a business forget to treat themselves as an employee, they often forget their ultimate duty is to their corp - first.

Edit, escapees focus is on ss and retirement fund taxation, and NY is the state I reference when referring to a one millisecond nexus.

For a good insight, refer to escapees rv org docs. It is a huge issue for mobile rv folks, full and part time. Their focus is on taxation, vehicle fees, and medical insurance, but it leads to good knowledge which helps with taxation issues. For us, more than anything, we want to keep the hmo (then their advantage plan) we have had for life, so we need to meet their eligibility requirements. Hopefully the person referenced in the op has checked into their medical coverage! one thing for sure, when we travel, I make darn sure not to trigger nexus in another state. Some allow 30 days, some, like by, are simply do not work at all, not even an email, within their border. I’m not just personal liability, but same inattentiveness could trigger company liability (even in a no withholding tax state).

No one answer. Each tax agency can have their own nexus rules. (Nexus is the proper term, to me, not residency or domicile.) Some have one second nexus, some allow 30 days, etc. Some even have a no physical pretense nexus! (Company not in CA, has a web site also not served from CA. Customer in CA clicks an "email us" link on said web site, business just created CA nexus!) Once you determine nexus, you can then figure out the proper report, whether the tax agency calls it resident, NR, or whatever. --- OP. WI resident "legally" (likely applies to WI purposes, other states do not have to honor what WI says). Likely contradicts what TX may have to say about someone present for more than half a year (or whatever TX uses as a time trigger). DOMICILE could remain in WI, since that word ties in to where the person claims home, keeps their stuff, has their bank accounts, and plans to return to, but tax residency/nexus/residency can be different than domicile.

The last time I looked, Intuit has a public facing import, but it has a fee. (A pay us for not using our payroll software fee?) This may have been an alternative income stream when they failed to get banks to accept their file format and usage fee as the defacto standard. There was a third party who attempted a work around, but they got blocked often and have to provide constant updates. No idea if they still exist. Much easier and cheaper to manually play monthly or quarterly payroll totals (into your accounting software). The details are in your payroll records already.

States have it "easy". They can claim you are a resident, and it is up to the TP to prove otherwise. CA and NY are the examples of the toughest bullies. I am sure other states have claimed aboard the "tax everyone" post-Wayfair (SCOTUS) train. Folks who legitimately want to move domicile, such as those who live full time in an RV and want to choose best for them domicile, hire experts to help. The basic advice is "leave no trace" in your former domicile. They talk about things like bank accounts, DL, doctors you see, etc. Another example is online sellers can now be taxed based on the location of their web site host's machines, where their customers are located, etc. Not jsut sales tax, but income tax. Someone in CA clicking an email link on a site (say in NY) for a business in a third state? The business may be liable for sales and income tax in all THREE states (plus localities)! No more Quill protection, Wayfair ruling has opened a real can of worms.

Many things are at the end of the follow the money rainbow. Did not want to get a no politics message though.

Ease would mean less budget/employees at the tax agencies, so it will never happen.