are medical health premiums deductible
A. All medical expenses paid out-of-pocket, including health insurance premiums, are reported as an itemized deduction on Form 1040, Schedule A, line 1. If you file a Form 1040A or 1040EZ, you cannot claim this expense. Getting an actual tax benefit, though, is challenging. If you are an employee, and you pay for health insurance with after-tax dollars through the exchange, then the best you can do is to deduct these costs as medical expenses on Schedule A Itemized Deductions. This deduction is limited. Only the amount of health insurance premiums you pay, combined with all medical related costs, you can deduct is those that that exceed 7.5 percent of your AGI. Needless to say, it's better tax-wise to have health insurance premiums paid with pre-tax dollars, as is the case when you are an employee. For example: 1  If your health insurance premiums are paid entirely by your employer or the government, you cannot deduct the cost. 2  If you have health insurance through your employer and your share of the premium is deducted from your paycheck pre-tax, you cannot deduct the cost because the premiums were tax-free already. Part B deductible and coinsurance. $147 per year. After your deductible is met, you typically pay 20% of the Medicare-approved amount for most doctor services (including most doctor services while you're a hospital inpatient), outpatient therapy, and durable medical equipment. Part C premium. The Part C monthly premium varies by plan. Second, your total itemized deductions must be greater than your standard deduction in order for you to claim them. Your standard deduction depends on your filing status and age; it can be found in 1040 instructions or Publication 501, Table 6. NEED HELP: Get all the latest tax news and advice. 1 If your health insurance premiums are paid entirely by your employer or the government, you cannot deduct the cost. 2  If you have health insurance through your employer and your share of the premium is deducted from your paycheck pre-tax, you cannot deduct the cost because the premiums were tax-free already. If you want to see and compare costs for specific health care plans, visit the Medicare Plan Finder. If you want specific cost information (like whether you've met your deductible, how much you'll pay for an item or service you got, or the status of a claim), visit MyMedicare.gov. Yes, in certain circumstances, you can deduct your health insurance premiums as part of your overall medical expenses. But you can deduct only premiums that you pay with after-tax money from your own pocket. 1 You generally pay 20% of the Medicare-approved amount for the doctor or other health care provider's services, and the Part B deductible applies. 2  For all other services, you also generally pay a copayment for each service you get in an outpatient hospital setting. You can write those off as adjustments to income even if you don't itemize your deductions. The adjustment to income cannot exceed what you earned, though. Self-employed people can deduct health insurance premiums directly on Form 1040 (Line 29 on returns for the 2014 tax year). You deduct all other qualified medical expenses on Schedule A, Line 1.
Yes