You are here: Home > Uncategorized > Health Savings Account Deduction

Health Savings Account Deduction

Posted in Uncategorized | August 27th, 2011

health savings account deduction
Health Savings account can you take deductions for insurance premiums & other med expenses over deductable?

I am assuming you are not self-employed. If you are self-employed, everything that follows is true, except your health insurance premiums are 100% deductible as an adjustment to income.

As your question is stated, you are asking if, after you have paid your deductible for health expenses, if additional expenses are deductible.

After you have paid out your deductible in health expenses, additional expenses are paid by your health insurance. Therefore, those expenses cannot be deducted by you.

If you contribute after-tax dollars to a health savings account, those amounts are deductible as an adjustment to income and are not included on Schedule A as medical expenses.

Any other medical expenses not reimbursed by your health insurance, your flexible savings account, or your health savings account, are deductible as medical expenses on Schedule A.

By the way, even if you have saved your deductible amounts in your Health Savings account, and taken the deduction, you don’t have to withdraw that money to pay your insurance deductible. You can keep it in the HSA, pay your deductible out of pocket, and deduct it as a medical expense.