SE Health Ins deduction; spouses contribution?

[Ross]

I have a client that is self employed running a daycare. Her husband gets a W2 and has to pays over $700 out of his paycheck contributing to the family's medical, dental and vision insurance. They have two children which are also covered on the husband's insurance. She believes 1/4 of this $700 can be treated as a self employed insurance deduction. It looks like the plan has to be established under her business and 1/4 of the $700 cannot be used for the SE health insurance deduction. Is this correct? TIA.

[Jesse]

You are correct, no portion of the husbands health insurance can be treated as a self employed insurance deduction for her daycare.

[David1980]

Most of the time (I've never seen it not be the case) the insurance premiums deducted from the paychecks are pretax anyway.

[thomtax]

Most of the time (I've never seen it not be the case) the insurance premiums deducted from the paychecks are pretax anyway.

David - While this may be the case in your part of the country, I see many cases of the premiums that are paid by the employee being after tax, especially the dependent premiums.

LT

[FEDUKE404]

Spouse clearly loses

Regardless of any pre/post tax issues, if the spouse CAN be covered under the husband's medical plan (and obviously she is!!) there is no eligibility for her in the first place to take any self-employment health insurance deduction.

But thinking of claiming the 25% did bring a smile to my face.......

FE