TO open a bank account and deposit 30000 dollars on the spot will the bank inquire where the money is from?
The tipping point is $10,000, not millions like the other twit answer posted above mine. A number of years back I refinanced my house. I withdrew $30,000 from my life insurance retirement account to apply toward the refinance. My bank CHECKED with my insurance company to be SURE the money was from my long term savings and not a lump sum from money laundering. IRS even got involved and I had to prove the money was already tax paid. I've been paying annual taxes on the gains in that account just so I would NOT have to pay capital gains. You have a bigger problem, however, community property in a marriage. Cash is always split in half regardless of WHO made the deposits in the account. Every dollar earned by either party in a marriage is community property. The only way to avoid the community property issue is if each party in the marriage filed an individual tax return, in which case the money declared on each return IS yours alone and not community property. An exception to community property can also come about through a pre-nuptial agreement. There is another exception, previously owned private property and funds. When I got married, I owned a house with $90K in equity. A few years later when we divorced, there was $100K in equity in the house. SHE thought she would get $50K from me, but NO, all she got was $5K!!! Half of the increase in equity of only $10K. My $90K equity on the day we married was NOT part of community property, only the $10K increase in capital gains WHILE married were community property. The divorce is a much bigger problem than the bank looking into $30,000 in cash. Unless, of course, you really ARE laundering money...
Can you have more than $10,000 in your bank account?
The IRS doesn't ask about anything. Banks are required to report TRANSACTIONS of $10,000 or more. This is NOT for tax purposes. It it to detect money laundering. As SINGLE large transaction will not even warrant a YAWN from the government. Also note: FDIC (government) insurance covers up to $100,000 per account holder per bank. jirocpa: Multiple transactions just below $10,000 WILL raise suspicions. It LOOKS like you are attempting to hide from the reporting requirements. That is practically BEGGING further investigation.
Do you have 10,000 dollars or more in your bank account?
I'm asking because I saw an article and it said that the average American doesn't have money saved in their savings account. What does that mean, by the time they retired they'll have little to spend
Can a transfer of $10,000 dollars be made to an account number without the bank or IRS becoming suspicious?
Banks do not usually report balances or income to the IRS. If you get audited by the IRS, that's a different story. Working in banking for 4 years, I've seen transfers for lot more money so it's not really suspicious activity. Splitting up the transfers to smaller amounts is more suspicious. If you want to withdraw it immediately, that might be considered unusual and I would ask a few more questions before proceeding.If you are making the transfer by depositing cash, as long as the deposit is less than $10,000.01 the teller does not have to file a Currency Transaction Report. The CTR doesn’t get reported to the IRS though. It goes to the Fed as a way to track cash and prevent money laundering. If you’re going to deposit cash over the $10k and a penny mark, DO NOT SPLIT UP YOUR DEPOSITS. Just make the deposit and let them file the form. This is called structuring and is both illegal and considered suspicious activity by banks.Edit: I would also like to point out that there is a big difference between your bank, the Federal Reserve, and the IRS. The IRS is taxing your income. You should be reporting this as income and paying the appropriate tax on it if that's what it is. If you’re just transferring your own money, then no big deal. If it's a gift, ask a tax attorney about it. Your bank just wants to make sure the funds are legitimate and they arent involved in money laundering. They report to the Federal Reserve in this matter.
Can $10,000 be withdrawn from your bank account through the drive-thru?
you will more than likely have to go in. the drive-thru tellers do not keep that kind of cash in their drawers.
I currently have $10,000 set aside in my bank account as savings. I have no financial knowledge whatsoever. Should I invest it, put it somewhere to get interest, or keep it?
Typical advice is to have 6 months worth of living expenses (how much you spend per month *6) in savings in case you lose your job or have an emergency. After that, I would open a 401k account or IRA account and begin investing. Where to put it, you should learn by reading some articles and books, any will be good. Spend an hour each week and over a few months you'll learn enough to start investing
Do I need to report a foreign bank account to the IRS if it has less than $10,000?
The Bank Secrecy Act (BSA) gives the Department of Treasury the authority to collect information from United States persons who have financial interests in or signature authority over financial accounts maintained with financial institutions located outside of the United States.The BSA requires that a FinCEN Report 114, Report of Foreign Bank and Financial Accounts (FBAR), be filed if the maximum values of all your foreign financial accounts exceed $10,000 in the aggregate at any time during the calendar year.Example:Alan, a U.S. citizen, moved abroad in 2016 and opened a current account at a local bank. During the same year, he opened a savings account at a separate local bank. He first funded the current account with $5,000 and then funded the savings account with $6,000. During he year, Alan decides to go on a vacation and spends $5,000 from his savings account such that on December 31, 2016, the remaining balance in his savings account is $1,000 while his current account has a balance of $3,000. Although Alan did not have any single account with $10,000 in value and although the aggregate account value of his two accounts did not exceed $10,000 at year-end, Alan would be required to file a 2017 FBAR, because during the 2016 year, the aggregate maximum account value of Alan’s two accounts was more than $10,000 (i.e., $11,000).For more information, you can visit the FBAR page on our website:Expat Tax Professionals - Get Help With Expat Tax Preparation
Does the bank flag my checking account for the IRS if I receive a large check (around $10,000)? Does the bank flag large deposits between individuals? Would receiving 2 checks of $5,000 mitigate this problem?
DO NOT break up the payment into multiple deposits. This is called “structuring”, and it is illegal even if you are not doing anything else illegal. Seriously. A former speaker of the house of Representatives went to federal prison for this, even though he was not convicted of any other crime.A single deposit of $10,000 is not suspicious. Deposits of that size happen all the time for all kinds of innocent reasons.And even if it were, it would not be reported by the bank. The bank only must report cash transactions or suspicious patterns. When considering whether transactions are suspicious, they tend to err on the side of staying out of their customers’ business. They will say: “Are we required to report this? No? Okay then.”So lets say they did report it to FinCen. The authorities would put it in the archive and forget about it. They have better things to investigate than kids getting checks from their parents.But let’s suppose that it was “red flagged”. FinCen would request information from all your bank accounts, and discover that you are probably not an international criminal money-laundering operation. The IRS would see that the deposit came from a family member, who paid taxes on it.But lets say you were audited. Contrary to myth, an audit is often not a big deal. You send the IRS copies of everything, and give them an explanation for why your $10k deposit was not reportable. That’s the end of it. A small hassle, but you don’t avoid it by illegal structuring.
How much will it cost to cash a 10,000 dollar check?
The only possible place you'll be able to cash a check that large will be at your own bank. Even then, it will only be cashed in full if the check is drawn on an account in the same bank and the bank can verify that there are sufficient funds on deposit to clear the check. Assuming that your bank can cash it, there won't be any charge. It's highly unlikely that any check cashing place will cash a check that large. Most would require you to leave the check with them for collection. You might get a few hundred to maybe $1,000 but would have to wait a week or more for the remainder of the funds. Figure upwards of 10% or more for that service, assuming that you can find it at all. Regardless of where it's cashed, since $10k or more in cash is involved a CTR (FinCEN 104) will be initiated. There are no legal restrictions on carrying that much cash, but all cash transactions of $10k or more automatically trigger the report.
What will the IRS do if I withdraw 10 thousand US dollars from my bank account?
The IRS will do nothing. A ten thousand dollar withdrawal is not income. Your bank however, will be required to report the withdrawal to the IRS by law. Once the the IRS receives the report they will typically do …nothing. Should other financial transaction raise red flags and trigger an audit, the withdrawal will definitely be a point of interest.