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January 21, 2025
Question

I withdrew money early from my retirement. Is Health insurance considered part of medical expenses.

  • January 21, 2025
  • 2 replies
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    2 replies

    Employee
    January 21, 2025

    Yes, health insurance premiums that you pay out of pocket can be entered as medical expenses.

     

    If you took money from a retirement account you will receive a 1099R ---sometimes they do not arrive until early February.

    To enter your retirement income, Go to  Federal> Wages and Income>Retirement Plans and Social Security>IRA  401 k) Pension Plan Withdrawals to enter your 1099R.

     

    **Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
    January 21, 2025

    Yes.  Health insurance premiums are considered medical expenses.  If you are looking to avoid the 10% penalty on early withdrawal, it is helpful to remember that medical expenses must be greater than 7.5% of adjusted gross income to be counted.

     

    You can read more about this topic here: An Early Withdrawal From Your 401(k): Understanding the Consequences