Minor things that bother you

[tmoore952]

No one is better off if they lose a big ability to deduct.

Not true for me, at least for a couple years.

The $10000 cap on state and local tax deductions did affect me significantly, and caused me to pay more in taxes than it would if that hadn't changed, by making it harder for me to deduct more than the standard deduction. And that happened despite the fact that the standard deduction went up AND the tax rates went down (I determined this by computing my taxes in different ways, using the different rules). It was the primary reason I speeded up getting rid of the mortgage and its deduction. I had been trying to dance around all of this for (hopefully) obvious reasons (politics).

Like I said, no one's better off.

I agree with your statement when viewed in isolation from other statements.

With the case I cited though, it was designed (the selling point was) that most people would benefit, by virtue of additional things occurring, such as standard deduction going up and tax rates going down. That didn't happen for me. I felt like i was being given the middle finger.

It's a bit of semantics. The people who benefited DID lose that deduction & the ability to use it, even if they weren't actually using it.

[GaryV]

The standard deduction for a joint return went from 13000 to 24000. If you had itemized deductions between those limits, you came out better by taking the standard. If you had deductions over 24000, you still itemize.

Granted, there's more to it than just the standard deduction change. There were changes in what could be deducted, or limits on the deductions. So maybe you previously had itemized deductions of say 26000. The next year if the changes and limits make your itemized deductions go down to 23000 - you'd be better off that year taking the standard, but yes, worse off than in the previous year when you were over the standard deduction. But the majority of taxpayers came out ahead because of the standard deduction change.

Also remember that a tax deduction only gets you part of the money back. If you're in the 22% bracket and donate $1000, you only come out $220 ahead after you deduct it.

[1995hoo]

"I got a bigger refund, so my taxes must have gone down..." -- ignores the insanity behind our withholding process...

What's a refund? I don't think I've gotten one in about 20 years.

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

If your income didn't come in relatively evenly over the course of the year—say, if you got a big bonus in December, or if you had some large amount of income that was not subject to withholding—you can also go through the process of completing a form that shows when each bit of income and each deduction was accrued. Doing so can sometimes reduce or eliminate the penalty. But it's a hassle unless you track your income and deductions throughout the year. Whether it's worth it really depends on how much the penalty is and how much time you have.

The standard deduction for a joint return went from 13000 to 24000. If you had itemized deductions between those limits, you came out better by taking the standard. If you had deductions over 24000, you still itemize.

Granted, there's more to it than just the standard deduction change. There were changes in what could be deducted, or limits on the deductions. So maybe you previously had itemized deductions of say 26000. The next year if the changes and limits make your itemized deductions go down to 23000 - you'd be better off that year taking the standard, but yes, worse off than in the previous year when you were over the standard deduction. But the majority of taxpayers came out ahead because of the standard deduction change.

Also remember that a tax deduction only gets you part of the money back. If you're in the 22% bracket and donate $1000, you only come out $220 ahead after you deduct it.

There are also age-related adjustments to the standard deduction for taxpayers who are age 65 or older (they get a larger standard deduction).

[hbelkins]

I have never found it advantageous to itemize deductions. I file online (I used to use TurboTax; now I use H&R Block) and used to go through the motions of calculating my itemized deductions and seeing that I'm better off just using the standard deduction. Now I don't even bother. I just click "use standard deduction" and hit "file."

[kkt]

Dear Netflix:  I hear The Queen's Gambit was pretty good, but no, I am not going to the subscription model.  I want to own the media and not depend on your not raising your prices too much, or your continued existence, if I want to watch it again and again.

Not doing a U.S. blu-ray release just means I'm going to order it from China, and you'll get even less money than if you'd done a U.S. media release.

[jeffandnicole]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

[kkt]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

Okay, so my refund for 2022 was a little over $2000.  If I started a savings account for that, the average balance over the year would be $1000.  My bank pays a stunning 0.01% on savings accounts.  Investing $1000 would get me about 10 cents.  I might as well leave it with the IRS as a bank so I don't have to worry about transfering it back to my checking account and paying the IRS by check.

[Rothman]

Someone hasn't seen the updated w-4...

Say you haven't updated your w-4 in two years without saying it...

The days of claiming a number of withholdings are of quite yesteryear.

[formulanone]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

Okay, so my refund for 2022 was a little over $2000.  If I started a savings account for that, the average balance over the year would be $1000.  My bank pays a stunning 0.01% on savings accounts.  Investing $1000 would get me about 10 cents.  I might as well leave it with the IRS as a bank so I don't have to worry about transfering it back to my checking account and paying the IRS by check.

I get better interest on my money by serendipitously looking around on the ground for loose change.

[Rothman]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

Okay, so my refund for 2022 was a little over $2000.  If I started a savings account for that, the average balance over the year would be $1000.  My bank pays a stunning 0.01% on savings accounts.  Investing $1000 would get me about 10 cents.  I might as well leave it with the IRS as a bank so I don't have to worry about transfering it back to my checking account and paying the IRS by check.

I get better interest on my money by serendipitously looking around on the ground for loose change.

I'd get better interest investing $1,000 a real savings account (my current one gets over 4% APY) or a CD or in my deferred comp plan...

[jeffandnicole]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

Okay, so my refund for 2022 was a little over $2000.  If I started a savings account for that, the average balance over the year would be $1000.  My bank pays a stunning 0.01% on savings accounts.  Investing $1000 would get me about 10 cents.  I might as well leave it with the IRS as a bank so I don't have to worry about transfering it back to my checking account and paying the IRS by check.

Most bank savings accounts pay horrendously currently.  Yet, there's easy ways to transfer fairly minimal money to other banks that are providing 5% and greater on 3+ month CDs. Put $500 in a CD at 5% for 3 months, and you'll get about $6.25 for those 3 months.  Big money?  No.  But you're also saving money; let it roll, make sure it still earns 5%, and at the end of the year you're a bit over $25 in interest.  Big money?  Still no, but considering that's $25 more than you started with, it gets the ball rolling to slowly invest more over time.

[jeffandnicole]

Someone hasn't seen the updated w-4...

Say you haven't updated your w-4 in two years without saying it...

The days of claiming a number of withholdings are of quite yesteryear.

Heh...yeah, haven't seen a W-4 in years. 

That said, I'm still doing fine with what I'm withholding, so no need to.

[tmoore952]

The standard deduction for a joint return went from 13000 to 24000. If you had itemized deductions between those limits, you came out better by taking the standard. If you had deductions over 24000, you still itemize.

Granted, there's more to it than just the standard deduction change. There were changes in what could be deducted, or limits on the deductions. So maybe you previously had itemized deductions of say 26000. The next year if the changes and limits make your itemized deductions go down to 23000 - you'd be better off that year taking the standard, but yes, worse off than in the previous year when you were over the standard deduction. But the majority of taxpayers came out ahead because of the standard deduction change.

Also remember that a tax deduction only gets you part of the money back. If you're in the 22% bracket and donate $1000, you only come out $220 ahead after you deduct it.

I couldn't care less that the majority of taxpayers came out ahead. I did not. The fact I was one of the "exceptions rather than the rule" did add to my annoyance.

As far as only getting some of your deduction back, I have always been aware of that. It's better than getting nothing back, and it personally gave me some joy to help out some charities I thought were worthy.

[tmoore952]

"I got a bigger refund, so my taxes must have gone down..." -- ignores the insanity behind our withholding process...

What's a refund? I don't think I've gotten one in about 20 years.

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

If your income didn't come in relatively evenly over the course of the year—say, if you got a big bonus in December, or if you had some large amount of income that was not subject to withholding—you can also go through the process of completing a form that shows when each bit of income and each deduction was accrued. Doing so can sometimes reduce or eliminate the penalty. But it's a hassle unless you track your income and deductions throughout the year. Whether it's worth it really depends on how much the penalty is and how much time you have.

You can also, as I did in both 2022 and 2023 (meaning last week), pay an estimated tax bill very late in the year to avoid a penalty if you think you will have one. I had gotten some savings bond income (several thousand dollars) very late in 2022, which is why I did it then. For 2023 (year just ended) I believe I was OK if I only took work earnings into effect, but since it was a good year investment wise in 2023, I thought I would have a penalty if I added in the investments, so I made an extra payment.

Doing things like this involves a little more attentiveness, but I also am not a fan of getting big refunds, or paying large penalties (I can live with small ones, although I'd prefer avoiding them altogether). i don't mind small refunds or owing a little.

Despite my extra 2022 payment, I still had a Federal underwithholding penalty. Like 1995hoo has mentioned, I decided it wasn't worth my time to go through the form to possibly eliminate the penalty (time value thing, like I've mentioned in the context of driving around to save on gasoline). The IRS will calculate your penalty if you don't feel like calculating it yourself. I did, however, have some idea of about the penalty would be (thanks to software), before I did that.

[tmoore952]

As I understand it, if you owe you can be penalized even if you pay it by April 15.  How do you hit it so exactly that you have no refund and also no penalty for underwithholding?

You only get hit with a penalty for underwithholding if you owe more than a certain percentage of the total amount, or in some cases if you owe more than a certain dollar amount. And in many of those cases there are other rules that kick in that may void the fee, such as how much you paid the year before and how that compares to what you paid this year.

Thank you.  Maybe I'll look into it more closely and reduce my withholding.

Definitely do.  The Government is holding your money interest free.  If you have a steady job with same paycheck each pay period, once you get your refund, divide your refund by # of paychecks each year.  Then submit a new W-4 with your HR that increases your paycheck by that amount. If you're single, most likely, you're changing Single 1 to Single 2.  Just because it may just be you, doesn't have any effect on what withholding # you choose.

The goal is to get a small refund, or pay a small amount.  Most people would need to owe at least a thousand or two to be even close to paying a penalty.  And as was pointed out, the penalty is so small it's not worth worrying about.  And if someone does owe a penalty, don't worry, the IRS isn't coming after you for anything more.

Okay, so my refund for 2022 was a little over $2000.  If I started a savings account for that, the average balance over the year would be $1000.  My bank pays a stunning 0.01% on savings accounts.  Investing $1000 would get me about 10 cents.  I might as well leave it with the IRS as a bank so I don't have to worry about transfering it back to my checking account and paying the IRS by check.

I get better interest on my money by serendipitously looking around on the ground for loose change.

It's a little better now than it used to be.

A few years ago I got 0.04 (4 cents) of interest for an entire year on my cash account. However, cash account needed for easy accessibility. I have much much more than that in investments.

[GaryV]

Why does the last 1/2 inch of milk in the carton go sour overnight in the fridge? Even when it's still days from "best by".

[tmoore952]

Why does the last 1/2 inch of milk in the carton go sour overnight in the fridge? Even when it's still days from "best by".

In some (stress on "some") cases for me, it's actually the dried milk near the cap that starts to smell, while what's in the container is still OK.

[7/8]

Why does the last 1/2 inch of milk in the carton go sour overnight in the fridge? Even when it's still days from "best by".

As a Canadian I can't relate. How about some bagged milk examples?
- When you grab the pitcher of milk and there's only a small bit of milk left in the bag. (I'm also guilty of doing that sometimes if I don't feel like switching to the next bag, but it's not nice for the next person)
- When you're pouring milk and the bag slips a bit forward, causing the milk to pour further out and miss the glass
- When someone cuts the hole either too small (so it takes a while to pour) or too big (milk pours too quickly, easier to spill). The latter is worse since you can't make the hole smaller once it's cut
- When you buy milk and one of the bags has a leak (thankfully that's rare)

[kphoger]

Except Kwanzaa isn't a religious holiday. It's presented as an African cultural holiday observance.

True but, if I remember my history correctly, it was intended to be an alternative to Christmas.  That, to me, makes it sort of equivalent to a religious holiday, even if it's technically secular.

Salvation Army spammed my wife with a text - during church this morning. Really?

If it was a sunrise service, I'd be piased also. But 10 or 11am? I mean, how are they supposed to know?

Minor things that bother me: People who don't turn off their audible notifications during church.  And yes, I have yet to be in a congregation where a phone beeps or goes off and a doctor or police officer has to run out of the room.

That's what "vibrate mode" is for.

And yes, I have yet to be in a congregation where a phone beeps or goes off and a doctor or police officer has to run out of the room.

Hey, there are people in mission-critical IT support who are on-call as well!

1.  One might think that, considering I've never once received an Indian scam call on a Sunday morning, the Salvation Army might consider avoiding Sunday mornings as well.  You'd think.

2.  Maybe they were hoping to catch her just as she was preparing to put money in the offering plate...  Ha.

3.  No one is complaining, I'm sure, about people who are required to have their phones on at all times.  It's everyone else.

4.  I have music rehearsal before church every Sunday.  I don't turn my phone to vibrate until shortly before the worship service, just in case my wife needs to reach me from the other end of the building or whatever.  Sometimes I forget.  No big deal, but I just mention it to say that even someone who is conscientious about the issue might neglect to silence his phone for whatever reason.

[kphoger]

Why do so many TV/movie characters drink from a coffee mug while holding the side of the mug with no handle?

Out of curiosity, has anyone else noticed this?  My wife had no idea what I was talking about when I mentioned it the other day.

[7/8]

Why do so many TV/movie characters drink from a coffee mug while holding the side of the mug with no handle?

Out of curiosity, has anyone else noticed this?  My wife had no idea what I was talking about when I mentioned it the other day.

I was just watching something yesterday (not sure what show/movie, sorry) and the lady did this. Now that you've mentioned it, it's going to bother me too!

[Scott5114]

I haven't noticed it myself (don't watch enough live action scripted TV), but I wonder if it has to do with the fact that actors don't ever actually eat or drink anything in scenes where their characters are doing so; to avoid continuity errors when shots from different takes are combined, the amount of food/drink present on camera has to stay consistent from take to take. Besides, the food is generally stale enough by the last take that it would be wholly unappetizing to actually consume.

[tmoore952]

I often wonder, when I see people "drink" something on TV (think the late night hosts, like Colbert or Fallon) -- if they are really drinking anything. Oftentimes they start talking without swallowing, which would seem to me to be a dead giveaway.

[kphoger]

I wonder if it has to do with the fact that ...

I used to think it's so that the logo/word/whatever on the mug would be facing the camera instead of the actor.  But I also see them do this with mugs that don't even have a logo/word/whatever on it at all.  And I also have to imagine that the budget for a Hollywood movie allows them to custom-order the coffee mugs, so they could put the logo/word/whatever on whichever side of the mug they wanted.

[Rothman]

I haven't noticed it myself (don't watch enough live action scripted TV), but I wonder if it has to do with the fact that actors don't ever actually eat or drink anything in scenes where their characters are doing so; to avoid continuity errors when shots from different takes are combined, the amount of food/drink present on camera has to stay consistent from take to take. Besides, the food is generally stale enough by the last take that it would be wholly unappetizing to actually consume.

So, rich people actually eat their food in fancy restaurants, rather than just ordering it and letting it sit there like they do in the movies?