Hi all,
I thought I would share my health insurance tax tip of the week. Simple really, but it did not seem obvious to some of my clients, so I thought I would share.
If you are self employed paying for your own insurance the incentive is to pay a higher monthly premium which you get to deduct 100% of against the profits from your business vs carrying a lower monthly premium and paying more for office visits and prescriptions which you can only deduct when they exceed 7.5%(off the top of my head) of your gross income.
So when you are looking for a 2015 plan, its best to look at the after tax monthly estimate of expenses. Also rolling more cost into your premium is only advantageous if you have recurring medical needs, or expect you will break your legs, fall off a ladder ect in 2015.
I hope this is helpful for some one, feel free to ask me a question if I am not making sense,
Dan
