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February 8, 2020
Question

I am a retired Federal employee and stayed on the Federal Employee Health Benefits Plan. Are the premiums deductible?

  • February 8, 2020
  • 1 reply
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    1 reply

    DavidS127
    February 8, 2020

    Whether you can deduct your medical insurance premiums in a way that lowers your taxes depends on a couple of factors. 

     

    Firstly, whether you itemize deductions or use the standard deduction. Your total itemized deductions must exceed the Standard Deduction for your medical expenses to make a difference in what you owe.

     

    Secondly, even if you itemize, your deductions for medical expenses, including health insurance premiums, are subject to a 7.5% AGI “threshold”.  In other words, they only “count” to the extent they exceed 7.5% of your adjusted gross income (AGI). 

     

    Enter your health insurance premiums in the TurboTax section Federal>>Deductions & Credits>>Medical>>Medical Expenses.  

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