How do I enter Health Insurance Payments

[MAC18]

I have self-employed income reported to me on a k-1.  As a result, I am entitled to a deduction for health insurance premiums I paid during the year.  How do I enter my health insurance payments so that I get the deduction on schedule 1?  The health insurance payments do not show up on the k-1 as I paid for these myself.

[ThomasM125 · Accepted solution]

You don't specify if you have a K-1 schedule from a partnership or S corporation, I will assume it is from an S corporation since you are having trouble with the entry, if not respond and we can tell you what to do if you are dealing with a partnership K-1 schedule.

To be able to take a self-employed health insurance deduction, you would have to be a more than 2% owner in the S corporation to begin with. The S corporation would have to report the health insurance premiums on your W-2 form in box 1 as wage income. The company would then deduct the wages reported to you as payroll expense. You would then pick up the income on your W-2 form and then deduct the self-employed health insurance to the extent allowed on your personal tax return. So, the insurance would be deducted on the company return, thus reducing your share of company income, then added and subtracted on your personal tax return.

When you enter your S corporation schedule K-1 in TurboTax, you will see an option to indicate that you paid for health insurance and that the company paid you wages:

On the next screen you will enter the amount of the health insurance that you paid:

If you have insurance through the government health care exchange, you should not enter it in this section, rather you will see an option when you enter your Form 1095-A to link the health insurance entered there to your S corporation income entered from the schedule K-1.

[Edited 4/5/24 at 12:31 PM PST] @MAC18 

[MAC18]

I do not have a W-2.  I have self-employed income reported to me on a k-1.  Since I have self-employed income, I am able to deduct health insurance premiums I pay.  How do I enter the health insurance premiums in TurboTax so that I get the deduction on schedule 3?

[ThomasM125]

I think you mean you have a schedule K-1 from a partnership, as opposed to a K-1 schedule from an S corporation. In that case, your self-employment income will be reported in box 14 of the K-1 schedule. After you make that entry in TurboTax, you will see an option to indicate that you personally paid for health insurance for yourself and family:

If you choose that option, later you will see an opportunity to enter your self-employed health insurance premiums:

The deduction will show up on line 17 of schedule 1 of your Form 1040: