I have specialty worksheets for different professions which I purchased, from an accounting catalog, but I do not have one on a life insurance agent. Does anyone have one on a life insurance agent?? Your help will be greatly appreciated.
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Never seen one, but have done many of these., Treat as self-employed if statutory employee checked on W2, file on Sche C. If statutory not checked, then W-2 income-related expenses go on 2106. 1099Misc go on separate Sche C. Can prorate expenses among all three if cannot be allocated to each type of income. -
thank you Burke, but I believe, I did not clarify myself, what I was really looking for is what type of expenses life insurance agents incur. I have a list of other professions such as nurses who would incur certain expenses for example association dues, badges, educational, stethoscope, radio paging service etc etc thank you for any helpComment
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I wear a few hats, life insurance agent is one of them...
Expenses like std mileage (or vehicle actual exps), licensing fees, continuing ed fees, meals & entertainment, phone, internet, paper, computer, printer, office rent (or home office deduction), travel etc. I have a client that recieves a W-2 from one insurer and a 1099-misc from another insurer. 2106 for related/qualifying unreimbused employee exps and Sch C for 1099-mic business related/qualifying exps. I have a business tax organizer just for this. Insurance agents have the potential to be the worst bookeepers out there if they keep books at all.Comment
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thank you AZ
but since i have never had any life insurance agents I am trying to understand how they operate. this guy tells me he has to travel to his low income client's homes to collect the life insurance payments, because if he didn't his client's would spend the money and wouldn't have any left to pay him, that sounds a bit peculiar do they actually have to do that?Comment
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one more question AZ where did you get the business tax organizer for the life insurance agents??? It would be helpful if I could buy one too, thanksComment
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That can be true and was quite common, but I haven't seen it since the early 1980's when debit insurance kind of bit the dust. Most companies handle premium payments directly now. I guess it can still happen, though. Most travel is to clients' homes to sell policies, maybe service accounts, or help with claims, etc. But routine expenses are the same as any other business, whatever is ordinary and necessary -- maybe laptop computers these days, DSL lines, Errors and Omissions insurance, licenses for every company they represent and each state they operate in, purchase of leads from the Internet, business seminars & training expenses, continuing education, convention travel, meals, lodging, clerical help, office in home and/or office rent & expenses, trust me -- they will know what they spend it on.Originally posted by POCAHONTAS View Post
They operate under lots of different types of contracts. Some are full-time W2 employees with one company, although that is fast disappearing. So their expenses, if any, go on 2106. Some are W2 statutory, which means they are employees subject to FICA/MC but not income tax withholding, their expenses go on Sche C. Then some are independent agents who get 1099MISC so their expenses go on a separate Sche C. Some are more than one category.Last edited by Burke; 03-15-2009, 03:38 PM.Comment
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Life Ins Agents
Yes, some Life Insurance Agents do travel to their client's home to pick up the premiums. That is what the life Insurance Agents that worked for Prudential, Met Life, etc did many, many years ago. I believe they were called "debit" agents way back when.
I didn't know it, but I guess they are still around. Another term now is Industrial Life.
SandyComment
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thank yo all for all your helpComment
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