I've been searching for an answer to this everywhere but can't seem to find what I'm looking for. My wife will be retiring from teaching in July and the cost of family health insurance will be close to 12k per year out of pocket. This is in NY. We currently take the standard deduction and don't itemize on the 1040 form but we do itemize on the state return. I'm trying to figure out if insurance payments taken from the monthly pension check are pre or post tax. Does anyone have any experience with this particular deduction? Our out of pocket medical and insurance costs will exceed 7.5% of AGI in retirement.
I know when you're working for an employer that health insurance payments are taken out of your paycheck on a pre-tax basis and aren't deductible.
I know when you're working for an employer that health insurance payments are taken out of your paycheck on a pre-tax basis and aren't deductible.