JohnH

I think the "Loos Ends" title is very appropriate and illustrative. The creative spelling is what attracted my attention to the topic. I actually I thought it was intentiona

This is the first I've heard of student loan repayment schedules being lower when people file MFS. Maybe it's because most of my clients are old (like me), and student loans aren't in their financial mix. But I've never run across this even among my younger & middle-age clients. Anyhow, here's my question. Does the lower payment come with a lower interest rate? If not, then that means they are probably paying more income tax solely for the purpose of getting a lower monthly payment. Sounds like false economy to me, since the additional taxes are essentially an increase in their 'effective' interest rate (their true all-in cost of borrowing money). But I guess if they fall for that, they are the same people who routinely sign up for 7-year auto loans or fool themselves into thinking that leasing a car is more economical than buying. Or those who do serial refinancing, paying exorbitant transaction costs to ratchet down their home mortgage rate a few points without regard for the payback period. I guess there is a pattern there.

I don't charge extra for paper. If they want to paper file, I prepare the return. If they require e-flnging, I don't charge extra. I send them somewhere else.

There are some people out there who will drain your energy and wear out your patience simply because the drama they create gives their lives meaning & purpose. . They run the gamut from bored, well-to-do trust fund babies to highly-accomplished people with low self-esteem to abject losers with nothing but time on their hands and a penchant for trouble-making. I try to avoid these types whenever I identify them (some even in my own extended family). As friends & associates, the time can be better spent on more useful endeavors. As clients, it isn't possible to charge them enough to make them worth the effort. It's evident that this client falls into that category.

Maybe I'm reading this incorrectly, but if using 50% of the interest and prop taxes on schedule E leaves them without enough deductions to itemize on A, they haven't lost anything. The undeducted personal portion of mortgage interest and property taxes isn't really "lost". It's just overridden by a larger allowance via the standard deduction. You want to reduce the rental income as much as possible before making the itemized vs standard deduction on the schedule A. If standard deduction is greater, the excess is a freebie.

You mean no bunny pops up to ask "Do you really want to check this box?"

He could do a variation of this. He can set up a personal EFTPS account and then pay his estimated tax payments at the same time he pays employee payroll tax deposits. Diferent login, but the process is exactly the same. Plus he has a neat record of the transactions to give to his tax preparer at year-end.

I've found the standing desk to be a great antidote for back pain and other joint problems. I also keep a bar stool and exercise pedals to be a great supplement when I've found myself standing too long. The key is to keep moving. I know we discussed this at length on another thread, but it's worth repeating. I only have one complaint, and it's related to certain charity & benevolence cases. I'm sure most of you have some similar situations to one degree or another. I know this sounds judgmental, but here goes. Most of the ones I handle are genuinely needy and have been beset by problems beyond their control, sometimes overwhelming life circumstances. They all do seem to appreciate the help. But there is a subset, whom I know are in genuine need, but I sometimes want to say something to this effect to them. "Your tendency to ignore requests for info, to furnish partial responses, and to put things off until the last minute are a part of the reason you find yourself in your present circumstances. Why do you refuse to learn that simple life lesson?" There, I've said it in the only place I feel comfortable saying it because I know most of you here understand the frustratrions. But I don't feel any better for having done so.,

--> Why is it that every return I start this year, has problems and I have to start and stop? <-- Implement a "one-pass" rule. If the return can be completed on the first pass through, then do it. If not, then they automatically go on extension while you're waiting to sort out the loose ends. Of course, that rule coupled with the "everything coming in after March 15 gets an extension" rule, means everything in your inventory right now, plus everything that's yet to come in, ought to be on extension anyhow. Sure does simplify life.

I used to stay mad in cases like this. But I finally decided to become a feeling person who doesn't care. "How does that work", you ask. Well, I really don't care what the clients think about me. Occasionally I feel bad about not caring, but that feeling goes away quickly.

I'm with Rita on this. If you keep the $75, or any part of it, there's some responsibility that lingers along with it. You may not see it that way, but we all know they will. I'm not that desperate for $75, and my ego isn't on the table either. So leave out the emotion and this becomes a pure business decision. I'd give them the stupid $75 without a moment's thought, consider it an investment in my future peace of mind, and never look back. As far as any future business relationship is concerned (for either or both if mom wants to join in these shenanigans), it isn't going to happen at any price. If they ever bothered to ask, that would be my answer.

I agree. Happy Resurrection Sunday. For us it was sunrise service at the beach, and back to the office first thing Tuesday morning.

It's also OK to file it separately if the error is discovered after the return is filed. RMD's on inherited Roth IRA's are a little outside the norm, so it would easily be possible to justify the separate filing. Also, when you write the letter, you'd want to know if the Roth IRA was moved to another trustee, and what information the old or new trustee gave to the client regarding the necessity of RMD's in this situation. Having done nothing during the entire 5-year period might actually work to the client's advantage. Mainly you want the letter to be so pitiful it will make them cry.

I think the last sentence is the key to how one runs their office. In my office, "if they do not want to extend" isn't an option. I make the extension decision, not the client.

I don't charge more, because there is no such thing as "late in the season" for me. I use extensions to take Apr 15 off the table as a meaningful date, so there's no need to treat returns coming in now any differently than those that came in back in Feb. They drop the info off, I give them an extension, and we move on. Since this effectively increases the number of returns I can file, and take the pressure off me, I see no reason to charge them more. An hour of my time in March or April is the same value as an hour of my time in May, June, or July as far as I'm concerned.

Done. Appreciate the reminder, Pacun. And thanks for all the great support work, Eric.

I've been thinking about hanging this one in my office.

Sounds like an extension candidate for me. I've adopted a one-pass rule this year. If I can complete the return on one pass, I'll finish it. If I find I need anything else from the client - automatic extension. That way I don't have to think about it or remember to pester them for the info. So far one client objected - I offered to send everything back to them and they can find someone else. Of course, the one pass rule applied to anything coming in before Mar 15. Everyone after Mar 15 knows up front there will be an extension filed no matter what the state of their info might be. Sure makes Apr 15 easy - just another work day around my office (if I choose to work on Apr 15).

Well, I'll start the conversation for her. I don't see how the $100K would cause her to owe, other than maybe a little bit of state tax. After all, they "already withheld the taxes" on the Federal.

Well, $53 is barely over the amount needed to Niobe the client from one tax calculation block to the next, which means the largest tax consequence would barely be two figures. However, I suppose there is a principle involved here. Maybe it's justifiable in the same manner as charitable mileage or other out of pocket expenses incurred in making a legitimate donation. If I drive my car to goodwill to drop off my valuable cast-offs, did I derive a benefit from the mileage because I didn't have to walk there?

I'm in India right now. Get the tech support Guy's name and I'll look him up. Maybe have a chat about best practices.

That's when you want to say, "OK, put your spouse on the line and I'll discuss it with him/her."

Great idea. I think I'll tell trusted senders to put the word "mapston" in bold letters.

I don't open attachments from anyone unless I have spoken with them in advance. This even includes my sister who is always emailing me cartoons and such. Virtually nobody does business on an unsolicited basis via email, so I think it's wise take that same position regarding emails from "potential" clients. It's almost always gong to be a scam - strictly trash-box worthy.

Tell them you answer one question for free , but there's s charge for every question answered after that. They will ask "How much is the charge?" You respond "The charge is $100 per answer. What's your next question?"