I realize you have a question about social security. My goal is to provide you with excellent service, and help you better understand your options.
How are you today?
Do you still perform services for your job? What is the reasoning for the specially allocated long term capital gain? I don't understand that piece.
If you are working, you should be getting a wage. Is it your employer's choice to allocate your wages that way?
I am a General Partner in a family partnership. All distributions are long term gains. My fellow GPs got their pay to be a specially allocated LTG years ago. I am afraid that I am stuck with this as I don't know what would happen if I should try to change it.
okay, thank you for that information
I have made money in the stock market, but, once again, no W-2s.
Yes, do you have a side business, or could you open up a side business?
Are you open to working part time somewhere that pays into social security?
Hdn't thought about it.
That would be the easiest way to get your credits.
You get one credit each quarter you earn over $1,160
I guess I was wondering if I could just claim some income without a W-2 and pay the tax.
so you could work minimally and just get the basic credits just to get you qualified for benefits
Well, if you had a side business you could do that. It would be on schedule C and you would use schedule SE to calculate your employment taxes. You would not get a W-2
I get interest income from some loans. Can I somehow use that? Make a little LLC or something?
No, interest income is not subject to self employment taxes.
You would have to provide a good/service for pay
Do you have a bunch of stuff you could sell on eBay?
That would work.
I guess I could try to buy and sell on E-bay. How much documentation is necessary?
Any work in which you get a W-2 would work. Unfortunately, either self employment or wages are required to earn credit.
Well, you will keep track of your profits. Then, at the end of the year you would claim the income you earned and deduct the cost of the items. You get a quarter of credit if you earn more than $1,160
So if you earned about $4,800 you would get your four credits for the year
Do this for a little over 3 years and you will have your minimum credits
I actually own a % of the Limited Partnership that I get paid by. Any way I can go some form of self employment from that?
You would have your wages classified as guaranteed payments instead of specially allocated long term capital gains
Would that have to be done by our CPA?
Yes, I would speak to your CPA about that and have them set you up with the right schedule to ensure you get your credits
Thanks for your help. Any other advice before I go?
No, I just wish you the best of luck. I hope your CPA can get you squared away so that you don't have to do the self employment/walmart greeter thing
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I'm pretty sure I won't resort to that. LOL Thanks. Bye