Author Topic: Health insurance is not subtracted before FICA right?  (Read 2580 times)

Gin1984

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Health insurance is not subtracted before FICA right?
« on: September 10, 2014, 02:31:04 PM »
Or am I totally wrong?

seattlecyclone

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Re: Health insurance is not subtracted before FICA right?
« Reply #1 on: September 10, 2014, 02:36:28 PM »
Health insurance and HSA/FSA deductions are subtracted before payroll taxes are calculated. 401(k) contributions are not.

beltim

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Re: Health insurance is not subtracted before FICA right?
« Reply #2 on: September 10, 2014, 02:43:30 PM »
It can be but isn't always.  For health insurance to be deductible prior to FICA, the employer must have set up a Section 125 plan:
http://www.paychex.com/insurance/section-125.aspx

Gin1984

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Re: Health insurance is not subtracted before FICA right?
« Reply #3 on: September 10, 2014, 04:15:07 PM »
Thanks guys

La Bibliotecaria Feroz

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Re: Health insurance is not subtracted before FICA right?
« Reply #4 on: September 10, 2014, 08:45:35 PM »
And FYI some companies offer domestic partner coverage, which I believe is always a taxable benefit.