One of the wonderful things about writing the Tax Reduction Letter is that I often get really great questions from my many readers.
I recently got an extremely interesting email from a couple who told me about their situation. Here’s their story…
- They both are 1099 independent contractors
- They both work for the same company, file their tax returns jointly, and each has their own Schedule C for income and expenses
- They have no employees
- The husband is 66. The wife is 60
The reason they wrote me was to ask if they could substantially increase their medical deductions by using a Section 105 medical plan – a plan where one spouse becomes the employer-spouse and the other becomes the employee-spouse.
Specifically, the husband wanted answers to five important questions.
To find out what I had to say, just click on the links below…
- Do we need a Section 105 for each of our businesses? Read the FULL article.
- I am on Medicare. How does that work along with the 105 plan? Read the FULL article.
- My wife has a high deductible health plan. Can a Section 105 plan cover her? Read the FULL article.
- We have the sample 105 medical reimbursement plan document that you provided with your tax course. Do we need to have the plan (or plans) notarized? Read the FULL article.
- Do we need to file the plan (or plans) with any government entity? Read the FULL article.