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Subject: Re: I need your review and ideas | Date: 7/27/2005 1:42 PM | |
Author: reallyalldone | Number: 80121 of 132493 | |
This test doesn't apply if he's under 24 and was a full-time student in at least five calendar months of the year, so for most grads it can be ignored in the year of graduation. I went through this a couple of years ago with my daughter and didn't take her as a dependent because of timing - her last semester bill had to be paid the prior Dec and she had a significant stipend along with a good job once she finished. We really didn't meet the support tests. In this case, he's at a very expensive college and no slamdunk job prospects - at least at the moment so unless something changes significantly, I think he'll be our dependent for 06(we usually give the kids whatever tax money they paid until they are no longer a dependent). Dental insurance is irrelevant since the orthodontic benefit from this one was used long ago(there's a lifetime limit). I'm starting to look at the medical insurance available to him and there are some reasonable possibilities I'll point out to him. On the flex account, I need to check the paperwork but IIRC, it can be used for a grace period after he graduates - maybe a quarter. If we plan the timing right, I could be billed and pay whatever works from that account(we usually fall around the 31% tax bracket with about 5% state tax). (Orthodontics will bill pretty much however you want - up front or monthly.) I really appreciate the posts - I know this is a weird one. rad |
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