Financial Advisor update and tax question

[keyslover]

The appointment went well, no judging   They were very helpful.  DH and I are actually optimistic about our financial futures now!

We talked about investing and ways to reduce AGI.  We are going to fund an IRA for me and retroactively fund our HSA.  We have already filed taxes for this year.

My question- by doing that we will be reducing our AGI to qualify for the 3rd stimulus.  We will be amending our taxes, would we get the stimulus?

[sometimesrunner]

Yes--you'd get the stimulus.

[ohgillian]

I’m so glad that it went well! It sounds like they were helpful. How often will you guys meet? I talk to my planner maybe 3-4 times a year, but I feel like in the beginning it required more appointments when she was just getting to know our situation.

[keyslover]

Mar 26, 2021 11:32:36 GMT -5 ohgillian said:

I’m so glad that it went well! It sounds like they were helpful. How often will you guys meet? I talk to my planner maybe 3-4 times a year, but I feel like in the beginning it required more appointments when she was just getting to know our situation.

We have some more info to get to him, so lots of communication now.  Roughly quarterly, unless we have questions.

They asked DH and I what retirement looked like, we turned towards each other and were speechless.  I mean, we have dreamed of being snow birds and all that jazz, but haven't thought realistically about it- mainly because we weren't sure it would ever happen.  They assured us that while we have catching up to do, we are not in bad shape. It helps we are making steps now.  

[sicilygirl]

You may or may not get the 3rd stimulus. Depending on when you filed your 2020 return and when you file the amended return, the IRS could be basing your eligibility on your 2019, original 2020, or amended 2020 AGI.

If you don't receive the stimulus now, then you can claim the recovery rebate credit (the stimulus is an advance of this credit) on your 2021 return, if your 2021 AGI qualifies.

[keyslover]

Mar 26, 2021 13:47:08 GMT -5 sicilygirl said:

You may or may not get the 3rd stimulus. Depending on when you filed your 2020 return and when you file the amended return, the IRS could be basing your eligibility on your 2019, original 2020, or amended 2020 AGI.

If you don't receive the stimulus now, then you can claim the recovery rebate credit (the stimulus is an advance of this credit) on your 2021 return, if your 2021 AGI qualifies.

This is like a lawyer answer "It depends"

Do you know if there are dates out or is it a fluid situation?


We filed before the 3rd Stim details were determined and intend to amend next week when things are funded.  

[sicilygirl]

Mar 26, 2021 14:00:57 GMT -5 keyslover said:

Mar 26, 2021 13:47:08 GMT -5 sicilygirl said:

You may or may not get the 3rd stimulus. Depending on when you filed your 2020 return and when you file the amended return, the IRS could be basing your eligibility on your 2019, original 2020, or amended 2020 AGI.

If you don't receive the stimulus now, then you can claim the recovery rebate credit (the stimulus is an advance of this credit) on your 2021 return, if your 2021 AGI qualifies.

This is like a lawyer answer "It depends"

Do you know if there are dates out or is it a fluid situation?


We filed before the 3rd Stim details were determined and intend to amend next week when things are funded.  

It's very much a non-answer, which I hate.  That's why I do tax - we don't usually have those!

The IRS has not provided clear cut dates, but based on your situation, my guess would be that they would use your original 2020 return.  It depends how quickly it was/will be processed though.

What does your status say here? www.irs.gov/coronavirus/get-my-payment

[keyslover]

sicilygirl , Says Payment Status Not Available.

Hopefully there will be more guidance coming out.

[sicilygirl]

Mar 26, 2021 14:40:44 GMT -5 keyslover said:

sicilygirl , Says Payment Status Not Available.

Hopefully there will be more guidance coming out.

Info I received today (good news!):

The amount of the payment issued will be based on the information from a taxpayer’s 2019 or 2020 tax return, whichever is the most recently processed return.

In a change from the previous two Economic Impact payments, the IRS has indicated that if a taxpayer’s payment is less than the maximum amount and is based on their 2019 tax return, they may be able to qualify for a supplemental payment once their 2020 tax return is filed. The IRS will automatically review taxpayers’ 2020 tax returns to determine eligibility for an additional payment and will issue the supplemental payment with no action needed by the taxpayer. If the IRS determines the re-evaluated amount is smaller than what the taxpayer has already received, they will not be required to repay the difference. As of now, the IRS has not released a timeline of when this re-evaluation will occur.

[tealblue]

Mar 30, 2021 15:13:55 GMT -5 sicilygirl said:

Mar 26, 2021 14:40:44 GMT -5 keyslover said:

sicilygirl , Says Payment Status Not Available.

Hopefully there will be more guidance coming out.

Info I received today (good news!):

The amount of the payment issued will be based on the information from a taxpayer’s 2019 or 2020 tax return, whichever is the most recently processed return.

In a change from the previous two Economic Impact payments, the IRS has indicated that if a taxpayer’s payment is less than the maximum amount and is based on their 2019 tax return, they may be able to qualify for a supplemental payment once their 2020 tax return is filed. The IRS will automatically review taxpayers’ 2020 tax returns to determine eligibility for an additional payment and will issue the supplemental payment with no action needed by the taxpayer. If the IRS determines the re-evaluated amount is smaller than what the taxpayer has already received, they will not be required to repay the difference. As of now, the IRS has not released a timeline of when this re-evaluation will occur.

Oh this is fantastic news!

Our 2019 agi pushed us over the limit for this stimulus. Still waiting on my H’s business income, so I am hopeful we’ll get some stimulus. I was “worried” (not really but just curious) if we would get anything once we filed our 2020 return. Our 2021 income is going to be back up as I received a $$$ bonus, so wasn’t sure how this would all work out.