Originated From
AOL Search

Employer Paid Private Health Ins Premium - taxable?

If I accept a position with a private employer and already have my own  health insurance, can the Employer (as part of my employment agreement) pay me wages AND directly pay my private health insurance premium (as a business expense) and NOT report the premiums paid on my behalf as income to me?

Liked this question? Tell your friends about it

Answers

There are two ways that individual health premiums can be paid for you tax free by your employer.  If the employer has or establishes a Health Reimbursement Arrangement (Known as HRA), he can contribute money to it which you can use to pay the premiums.  The withdrawal of the funds from the HRA is tax free to you (when used for qualified expenses - individual health premium is a qualified expense) for the premium payment.  Your employer can also establish a Section 125  (cafeteria plan).  He can then give you a rise for the amount of premium he wishes to reimburse you for.  You than make a pretax salary reduction for the 125 program equal to the premium and get the money returned to you tax free with proof that it went to pay the individual health premium.

Related Questions

Other people asked questions on similar topics, check out the answers they received:

Asked: Health Insurance Plan

Can anyone please guide me through a good individual health insurance in India?

Asked: Discounted nurseing liability insurance

Discounted nurseing liabililty insurance

Asked: Which type of health insurance is best family ...

Which type of health insurance is best family floater or individual plan?

Ask a Question... We'll forward it to people who know

More Questions

Site:www.washingtonpost.com howard university hospital problems

I could not give an answer because i kept losing in an attempt to submit a question which is ""if huh folds, what happens to the retirees pay and health insurance?""

I9 employer says birth certificate and driver's license must be same

You can't get a driver's license in a name that is not your legal name. You can change your name by marriage or divorce. You can have a legal name change through a court. But then you need to change your driver's license to the new name.

How do I become a self employed home health care aide in the state of

There are online sites who offered home care jobs which trains interested employees. carelinx.com is of the sites I have visited that has job offerings as home healthcare aide. This is a secure network that manage online services on patients who are severely ill.

Are private health exchanges raising their premiums now? Wouldn’t they

The federal health Insurance quoting Software takes into account your basic details, like age group, family earning, past medical condition, and estimates the subsidies you are eligible for. I believe they are also dependent upon the kind of plan your purchase – bronze, silver, or platinum. for ...