I am having a dilemma with the PSO insurance premiums. The pension administrator paid for my medical health insurance. I also pay for additional medical insurance (cancer and heart policies) plus long-term care insurance. For example, I received a letter from the pension administrator that the pension plan paid $1,700 for medical premiums (medical, dental, and vision) for 2023. I want to take the full exclusion of $3,000.
My question is, where can I place my additional premiums of $708 and the long-term insurance policy of $1588, especially since I do not have 7.5% of my AGI in medical expenses? Do I add the additional premiums to the $1700 and change the taxable income amount in the 1099-R? Or if I add the additional insurance premiums will the software do the calculations? Will it also reduce the amount of the long-term insurance to reflect the $3,000 exclusion?
The software only covers premiums made by the pension administrator, which is the $1700 amount, but it does not allow for the addition of the other premiums. Although this question has been asked previously, the response was not clear. Please advise. Thanks.
