How to handle my Medicare Part B retirement benefit reimbursement from my previous employer.

Forum|Forum|3 months ago
March 30, 2026
3 replies
145 views

As a retirement benefit my previous employer, through a private company, reimburses the full amount for Medicare Part B that is deducted from my Social Security. My previous employer does not issue a W-2, nor a 1099 for this reimbursement. In addition, it does not show up on the 1099 I receive for my pension. I have contacted the private company who handles the reimbursement and have requesting a 1099 for the reimbursement. They informed me that there is no 1099 issued. "This is a benefit you receive after retirement from your employer." "It is not noted as income and is only for Medicare premiums." "This benefit is not reportable on taxes." "There are no tax documents provided with this benefit." Seems to me that I owe taxes on the amount of the reimbursement but have no way to record the amount received plus the amount of taxes owed (e.g., a 1099 with Tax ID, appropriate boxes checked, etc.). Any recommendation(s) how this should be handled?

TurboTax Deluxe Online

rjs

Level 15

You could report the reimbursement as "other income" on Schedule 1 line 8z with a description that you enter. Here's how to enter it in TurboTax.

Go to Federal Taxes > Wages & Income.
On the screen "Your 2025 Income Summary," scroll all the way down to the last section, "Less Common Income." Click the Start or Update button for the last topic, "Miscellaneous Income, 1099-A, 1099-C."
On the next screen, "Let's Work on Any Miscellaneous Income," scroll down and click the Start or Update button for the last topic, "Other reportable income."
The next screen asks, "Any Other Taxable Income?" At the bottom left click Add.
On the next screen, "Other Taxable Income," enter a short description such as "Insurance premium reimbursement" and enter the amount. Click Continue.
That takes you back to the "Any Other Taxable Income?" screen. Click Continue.

VolvoGirl

Level 15

I get that too. They are reimbursing you because you pay it deducted from your Social Security checks. It is not income. You just can’t include the Mecicare deducted from your SS as a medical expense on Schedule A if you itemize. So I don’t enter it when I enter my SSA-1099.

DoninGA

Level 15

That is a Health Reimbursement Arrangement (HRA) and is not taxable since you are being reimbursed for the Medicare premiums you paid. You cannot enter the premiums paid on Schedule A as a medical expense since they have been reimbursed.