Month: January 2023

Can Health Insurance Payments Be Deducted from Your Taxes?

Written by Paul Belfiore on January 27, 2023. Posted in Blog, Taxes.

Brookline, NH Resident Looks for Answers

For those who are self-employed, health insurance premiums paid throughout the year can be deducted on their taxes. Even if you do not item deductions on Schedule A, these health insurance premiums can still be deducted on your tax return. For W-2 employees you can deduct out-of-pocket medical expenses and health insurance premiums only if you take the itemized deduction on your tax return. Employees looking to take this deduction can only do so if these premiums and other medical expenses when the amount exceeds 7.5% of your Adjusted Gross Income.

Are the Wages Paid to a Family Member Tax Deductible?

Written by Paul Belfiore on January 13, 2023. Posted in Blog, Taxes.

Amherst, NH Family-Owned Business Looks to Hire Teenaged Family Members

Family-owned businesses have many tax advantages when employing family members. Money paid to family members reduces the net income of the business, thereby reducing the overall tax burden. In addition, insurance costs and other benefits offered to the employed family members can also be deducted from the business’ profits as an expense. When a parent is the sole proprietor and the business is not incorporated when children under the age of 18 are employed, neither the business nor the employed minor are required to pay FICA taxes. Having a family member on payroll, whether a minor child or spouse, can significantly reduce the amount of taxes owed at the end of the year.