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momandnat
New Member

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

is there somewhere i can put that in other than medical expenses because i tried that but it says my standard deduction is higher but if my income were lower (and what it actually is) i would qualify for EIC
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My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

If your boss gives you extra cash to buy your own insurance (instead of buying a company plan) then it is taxable income to you, and whatever you do with that money is up to you.  If you buy insurance, then you take the itemized deduction (subject to the 10% rule) and/or the premium tax credit, because you bought your own plan privately.  That's all there is to it.

While it may be to your advantage to have the employer provide a group plan, it may not be to their advantage.  Even if it is cost-neutral, the paperwork is a nightmare.  

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6 Replies

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

Is your boss required to provide you with insurance under the ACA?
<a rel="nofollow" target="_blank" href="https://www.irs.gov/affordable-care-act/employers/questions-and-answers-on-employer-shared-responsib...>
Did you buy a Marketplace policy yourself, and get the Premium Tax Credit?
Carl
Level 15

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

What  your boss pays you *for* is irrelevant. If he pays the money to *you*, then it's included in box 1 of your W-2 and it *is* taxable income to you. It depends on what you have in the way of health coverage, as to weather you get to claim/deduct those costs or not.

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

If your boss gives you extra cash to buy your own insurance (instead of buying a company plan) then it is taxable income to you, and whatever you do with that money is up to you.  If you buy insurance, then you take the itemized deduction (subject to the 10% rule) and/or the premium tax credit, because you bought your own plan privately.  That's all there is to it.

While it may be to your advantage to have the employer provide a group plan, it may not be to their advantage.  Even if it is cost-neutral, the paperwork is a nightmare.  

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

On the positive side, you are getting Social Security credits on that extra income.
momandnat
New Member

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

if there is even social security left by the time i am old enough to collect it

My boss pays us weekly on our checks to pay for our own insurance. it shows on w2 as income but it really isnt. 6000 a year in income that really isnt - how can i show

Well, there are also SS disability and survivor benefits.
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