Personal Finance & Money Stack Exchange
Personal Finance & Money Stack Exchange

Questions tagged [earned-income]

12 questions
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What laws are there surrounding earned income for younger children to make them eligible for Roth IRA?

I found this question looking for suggestions on ways that children can earn money, but I want to know what rules there are surrounding payments I can make to my child without getting the IRS on my case. I will still likely gift the donations to the…
NL - SE listen to your users
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401k deductions and ability to use a dependent care FSA

My wife works part-time, and typically makes around $20k per year doing so. We try to put as much of her income as we can into her 401k, so that'll be $18500 next year. Next year we're considering using a dependent care FSA to send our daughter to a…
gammapoint
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Are assistance benefits reported as W-2 box 1 income considered earned income?

First off, I recognize that I am not paying any of you to act as a licensed tax professional for me, so I will take your tax advice as just that, advice. The university I attend has financial-need-based assistance it provides specifically for…
NeutronStar
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Are short term capital gains considered earned income?

I'm trying to figure out the implications of my income situation on my eligibility for the Earned Income Tax Credit. My understanding is: that short-term capital gains are taxed at the same rate as "ordinary income". that long-term capital gains…
stillsleep
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Tax and managerial implications surrounding professional service retainers

I am a software engineer that has several clients that need me to do simple ad hoc tasks throughout the year for various projects. I have began considering setting up a retainer-based service for them where they would pay money into a retainer…
hotmeatballsoup
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How and where should invest poor country's employee to get $1 million in 20 years

In the poor country, an employee has ~$300 monthly salary and $200 monthly is enough not to die from the hunger. How to use remaining $100 to get rid of his poverty and to start having $2000-$5000 monthly as American has?
Eugene Kaurov
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Does scholarship money count as earned income? (Specifically for Line 29, Form 6251, exemption for AMT)

The instructions for Form 6251 include a worksheet for calculating Line 29. Line 8 of that worksheet asks for "earned income". The instructions state "Earned income includes wages, tips, and other amounts received for personal services performed."…
nkm
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How would I add $3k cash earned income when I amend my taxes without being an actual business?

I'm trying to amend last year's taxes because when I went to file this year I remembered that I made a couple grand cutting grass the year before and forgot to file it. I'm not sure how to file this as I'm not a business and only cut grass that…
MRubus313
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Is there a platform with the format of Stack Exchange where you get paid for participating?

Preface When reading the tour page, I was hesitant on asking this question until I came accross this point for asking good questions: Strategies for earning and saving more money I thought this fit under "strategies for earning more money" so this…
isakbob
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Is there anything wrong if I request the Earned Income Tax Credit (EITC) if I live abroad with my family?

My tax software seems to allow me to fill out Earned Income Tax Credit (EITC) but I wanted to make sure that I really qualify. For 2023, I have earned income $52,000 and $5500 in a stock sale and $2-3000 in div. From this IRS page, I would think…
user44874
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Is a 401k withdrawal considered "earned income?"

I left my job in 2018, where I earned $3000 that year. At that point I had $500 in a 401k plan, which was too small to do a rollover to an IRA, so I cashed it out (after 20% tax I received $400, and paid another 10% early withdrawal when I filed). I…
dkv
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Federally Recognized Tribal Income

My understanding is that tribal members of a federally recognized tribe who receive income from 1040 on Line 21 as :INDIAN GAMING PROCEEDS, INDIAN TRIBAL DISTRIB, NATIVE AMERICAN DISTRIB receive a 1099B. Subject to Fed Income tax, but not state. …
Lawrence
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