Again thanks a lot for the advice.
We request the removal of access contribution last Friday. The broker is Schwab. They told us it takes about 2-4 days to complete. I read the Schwab request form again. It says it will remove the excess contribution and it will calculate the earnings. (Two separate boxes that I have checked.) So I guess by next Friday April 12 , I may be able to see what is removed from the account.
If they did not remove the earnings, I will make another request to remove the earning too. In that case, I guess it may pass the deadline for regular filing April 15, 2024. That's my original thoughts.
My daughter is a college student. She will still be our dependent for 2023. For 2024 year tax filings, I am not sure at this time. If she find a summer intern or work part time, she may be able to file her own tax for 2024 but I am not sure at this time.
From every year 5498 form, I know from 2020-2023 up to now, Only year 2022 is a down year (negative earning). All the other year are positive earning.
I think you are right. We can still file the regular deadline. Even the earning distribution after April 15 2024, it will still shows 2024 distribution on 1099-R. We will pay 10% penalty no matter what (before or after April 15).
This contribution thing really caught me in surprise. I use Turbotax for many years and it never warns me. If I know it cause so much trouble, we will never contribute to Roth. What a headache.
Again thanks for your time and effect to help us. I really appreciate that.
