Unit 22 Flashcards
What type of tax treatment do benefits from a medical/dental expense plan receive
Tax free
What types of disability income plans aren’t deductible
Personally owned and Employee paid group
Tax treatment for health plan is dependent on what
Who is paying and type of plan
What type of disability income plans benefits are income taxable
Employer paid group
What type of tax treatment do Qualified LTC plan benefits receive
Tax free
How much of your premiums can you write off if you’re self employed
100%
Why are benefits non taxable
They’re considered reimbursement
What are the 3 types of Business Disability Insurance
Buy-sell, Key person, Business Overhead Expense (BOE)
Which Business disability insurance premiums are deductible
Business Overhead Expense (BOE)
Which business disability insurance benefits are taxable
Business Overhead Expense (BOE)
What is a Health Savings Account (HSA)
medical savings account available to those with High Deductible Health plans (HPHD)
Should you distribute money from a Health Savings account for non- medical expenses or reasons how much tax will you pay
Income tax and 20% penalty
An employer provided benefits plan that allows employees to choose from a variety of benefits
Cafeteria Plan
What is a Flexible Spending Arrangement (FSA)
cafeteria plan that’s funded by salary reduction
