Unenrolling from Advanced Child Income Tax Credit Deadline

[HappyHope]

For those not interested in receiving the advanced child income tax credit, it is difficult to unenroll and the deadline is June 28 for the first payment July 15. Both parents have to unenroll separately too. I was able to unenroll today but my husband was not no matter how many times he tried. We both struggled to setup ID.Me accounts, change our default browsers, get our faces scanned, and properly photo our driver’s license/passport according to acceptable standards. Best wishes for those trying to unenroll. If you do nothing you automatically receive advanced payments.

 

[Fantine]

With a bit of discipline, you can take the advance payments and put them into an emergency savings account. You could possibly even earn a tiny bit of interest.

All is not lost if you forget to unenroll. As a matter of fact, if the emergency occurs before next February or so, you will be glad you got the money early and had the good sense to put it into an emergency account.

 

[mama2one]

don't think it's right we have to opt out!
why not have people opt in?

 

[mama2one]

after reading fine print, not doing ID.me :
plus don't want to give out our email

"In addition, ID.me provides its registered users (“Members”) with access to certain exclusive benefits, including without limitation, deals, discounts, cash back rebates and employment and educational opportunities, offered by participating retailers, service providers, employers, benefits administrators, and municipal, state and federal government agencies. Additional benefits and discounts may be offered to eligible parties, including our nation’s veterans, first responders, and members of other designated groups. To verify whether you qualify to receive these discounts and benefits, you will be required to provide us with certain personally identifiable information as described in our Privacy Policy."

 

[Arcangl86]

Here's a serious question. Why would you want to opt-out? I honestly don't know why you would want to.

 

[iluvatar5150]

don't think it's right we have to opt out!
why not have people opt in?

Because they want the uptake rates to be high. Many people don't change the default settings when they have the option, so it's become common for program designers to set the default options at whatever they would prefer the users to do. Opt-out design of retirement plans, for example, has led to significant increases in the number of people saving for retirement and the amount they save.

 

[mama2one]

Here's a serious question. Why would you want to opt-out? I honestly don't know why you would want to.

messes up tax refund!

https://forst.tax/advance-child-tax-credit-how-it-will-impact-your-tax-refund/


example from article:
"That means your refund will be $500 smaller than the $2,000 you got in 2020."

 

[GreekOrthodox]

Here's a serious question. Why would you want to opt-out? I honestly don't know why you would want to.

Some folks prefer to get a large return when they file because they use their return as a annual savings plan. This way they can plan for large purchases each spring, say furniture, cars, or a summer vacation.

Personally, I try to tweak things so I get a couple hundred back as I can use the money in my regular budget rather than a large annual check.

On the other side of things, my neighbor prefers to pay his entire return each April as he invests what his payroll taxes would be. So if he owes $12,000 each year, he takes that extra $1,000 in his paycheck and puts it into a safe high-interest savings account. Come April, he has earned a few hundred in interest and pays his taxes from that account. It is a good system for someone who is disciplined enough to do it.

 

[iluvatar5150]

Some folks prefer to get a large return when they file because they use their return as a annual savings plan. This way they can plan for large purchases each spring, say furniture, cars, or a summer vacation.

Personally, I try to tweak things so I get a couple hundred back as I can use the money in my regular budget rather than a large annual check.

On the other side of things, my neighbor prefers to pay his entire return each April as he invests what his payroll taxes would be. So if he owes $12,000 each year, he takes that extra $1,000 in his paycheck and puts it into a safe high-interest savings account. Come April, he has earned a few hundred in interest and pays his taxes from that account. It is a good system for someone who is disciplined enough to do it.

I thought there were rules against that.

 

[GreekOrthodox]

I thought there were rules against that.

There are probably some minimums that he pays into to keep it legal and invests the difference.

 

[mama2one]

Some folks prefer to get a large return when they file because they use their return as a annual savings plan.

we save our return each year for child's college


any other $ we receive that we don't expect goes there

 

[probinson]

we save our return each year for child's college
painlessly saving up to 45,000 so far

With the advance payments, just make sure to put whatever you're getting in that savings account and the result will be exactly the same. For example, if you're getting $250/month for one child, just take that $250 and put it in the college savings account.