Health Savings Account-Health Savings Account Info

Mae asked:


With the allowable expenses that can be claimed on either a Flexible Savings Account or a Health Savings Account changing for 2011, which kind of pretax health care reimbursement account would you recommend and why? Our situation is one 54yo working adult with two dependents: One, a 50yo unemployed adult, and the other, their 20yo son, a full-time student. And, generally speaking, all are in good physical and mental health.

Stewart Weeman

Marie Patterson asked:


I am 24 years old and recently got a job where my take home pay (after health insurance, taxes and 401K) is about 2050 a month.

I paid off my car and student loans, so I am competely debt free.
Car insurance is 130/month and cell phone is 40/month. I would also like to be able to put 10% (200) away into a savings account each month.

How much can I afford to spend on rent? Is 800/month reasonable with this budget?

Candelaria Mckean

Bulk Vanderhuge asked:


You know what I don’t see in here? An exemption for all the people making LESS than 250K…

Apparently all this is going to affect everyone ,regardless of income level.
Is my health insurance from work REALLY income? That is going to definitely raise my taxes…Where’s Harry Reid and Nancy Pelosi when we need them?

Remember Nancy saying they had to PASS THE BILL BEFORE WE KNEW what was in it?

excerpt…
In just four months, on January 1, 2011, the largest tax hikes in the history of America will take effect.
They will hit families and small businesses in three great waves.

On January 1, 2011, here’s what happens… (read it to the end, so you see all three waves)…

First Wave:
Expiration of 2001 and 2003 Tax Relief
In 2001 and 2003, the GOP Congress enacted several tax cuts for investors, small business owners, and families.

These will all expire on January 1, 2011.
Personal income tax rates will rise.
The top income tax rate will rise from 35 to 39.6 percent (this is also the rate at which two-thirds of small business profits are taxed).
The lowest rate will rise from 10 to 15 percent.
All the rates in between will also rise.

Itemized deductions and personal exemptions will again phase out, which has the same mathematical effect as higher marginal tax rates.

The full list of marginal rate hikes is below:
The 10% bracket rises to an expanded 15%
The 25% bracket rises to 28%
The 28% bracket rises to 31%
The 33% bracket rises to 36%
The 35% bracket rises to 39.6%

Higher taxes on marriage and family.
The “marriage penalty” (narrower tax brackets for married couples) will return from the first dollar of income.
The child tax credit will be cut in half from $1000 to $500 per child.
The standard deduction will no longer be doubled for married couples relative to the single level.
The dependent care and adoption tax credits will be cut.

Higher tax rates on savers and investors.
The capital gains tax will rise from 15 percent this year to 20 percent in 2011.
The dividends tax will rise from 15 percent this year to 39.6 percent in 2011.
These rates will rise another 3.8 percent in 2013.

Second Wave:
Obamacare

There are over twenty new or higher taxes in Obamacare. Several will first go into effect on January 1, 2011. They include:

The “Medicine Cabinet Tax”

Thanks to Obamacare, Americans will no longer be able to use health savings account (HSA), flexible spending account (FSA), or health reimbursement (HRA) pre-tax dollars to purchase non-prescription, over-the-counter medicines (except insulin).

The “Special Needs Kids Tax”

This provision of Obamacare imposes a cap on flexible spending accounts (FSAs) of $2500 (Currently, there is no federal government limit). There is one group of FSA owners for whom this new cap will be particularly cruel and onerous: parents of special needs children.

There are thousands of families with special needs children in the United States , and many of them use FSAs to pay for special needs education.

Tuition rates at one leading school that teaches special needs children in Washington , D.C. ( National Child Research Center ) can easily exceed $14,000 per year.

Under tax rules, FSA dollars can not be used to pay for this type of special needs education.
The HSA (Health Savings Account) Withdrawal Tax Hike.

This provision of Obamacare increases the additional tax on non-medical early withdrawals from an HSA from 10 to 20 percent, disadvantaging them relative to IRAs and other tax-advantaged accounts, which remain at 10 percent.
Third Wave:

The Alternative Minimum Tax (AMT) and Employer Tax Hikes
When Americans prepare to file their tax returns in January of 2011, they’ll be in for a nasty surprise-the AMT won’t be held harmless, and many tax relief provisions will have expired.

The major items include:

The AMT will ensnare over 28 million families, up from 4 million last year.

According to the left-leaning Tax Policy Center , Congress’ failure to index the AMT will lead to an explosion of AMT taxpaying families-rising from 4 million last year to 28.5 million. These families will have to calculate their tax burdens twice, and pay taxes at the higher level. The AMT was created in 1969 to ensnare a handful of taxpayers.

Small business expensing will be slashed and 50% expensing will disappear.

Small businesses can normally expense (rather than slowly-deduct, or “depreciate”) equipment purchases up to $250,000.
This will be cut all the way down to $25,000. Larger businesses can currently expense half of their purchases of equipment.

In January of 2011, all of it will have to be “depreciated.”

Taxes will be raised on all types of businesses.

There are literally scores of tax hikes on business that will take place. The biggest is the loss of the “research and experimentation tax credit,” but there are many, many others. Combining high marginal tax rates with the loss of this tax relief will cost jobs.

Tax Benefits for Education and Teaching Reduced.
The deduction for tuition and fees will not be available.
Tax credits for education will be limited.
Teachers will no longer be able to deduct classroom expenses.
Coverdell Education Savings Accounts will be cut.
Employer-provided educational assistance is curtailed.
The student loan interest deduction will be disallowed for hundreds of thousands of families.
Charitable Contributions from IRAs no longer allowed.
Under current law, a retired person with an IRA can contribute up to $100,000 per year directly to a charity from their IRA.

This contribution also counts toward an annual “required minimum distribution.” This ability will no longer be there.

PDF Version Read more: ;; http://www.atr.org/six-months-untilbr-largest-tax-hikes-a5171#%23ixzz0sY8waPq1

And worse yet?

Now, your insurance will be INCOME on your W2′s!

One of the surprises we’ll find come next year, is what follows – - a little “surprise” that 99% of us had no idea was included in the “new and improved” healthcare legislation . . . the dupes, er, dopes, who backed this administration will be astonished!
Starting in 2011, (next year folks), your W-2 tax form sent by your employer will be increased to show the value of whatever health insurance you are given by the company.
It does not matter if that’s a private concern or governmental body of some sort.

If you’re retired? So what… your gross will go up by the amount of insurance you get.

You will be required to pay taxes on a large sum of money that you have never seen. Take your tax form you just finished and see what $15,000 or $20,000 additional gross does to your tax debt. That’s what you’ll pay next year.
For many, it also puts you into a new higher bracket so it’s even worse.

This is how the government is going to buy insurance for the15% that don’t have insurance and it’s only part of the tax increases.

Not believing this??? Here is a research of the summaries…..

On page 25 of 29: TITLE IX REVENUE PROVISIONS- SUBTITLE A: REVENUE OFFSET PROVISIONS-(sec. 9001,
as modified by sec. 10901) Sec.9002 “requires employers to include in the W-2 form of each employee the aggregate cost of applicable employer sponsored group health coverage that is excludable
from the employees gross income.”

Rob

daRkKnighT asked:


1. If you are told that your gross pay is $1,500 a month, you should expect to have _____ as the amount on your paycheck.(Points : 2)
more than $1,500
exactly $1,500
less than $1,500

2. Debit cards _____ operate in much the same way as major credit cards.(Points : 2)
do
do not

3. If you lower your deductible amount, then the cost of your premium will _____ .(Points : 2)
increase
stay about the same
decrease

4. The type of auto insurance that pays you if a tree falls on your car is called _____ coverage.(Points : 2)
collision
liability
comprehensive

5. If you are injured while working at your job, you are covered by _____.(Points : 2)
your health insurance
your liability insurance
the company’s workers’ compensation insurance

6. Interest that you earn on a savings account is _____ .(Points : 2)
the money that you deposit that continues to grow as long as the account is active
money that financial institutions pay you for the use of your money
the balance in your savings account at the end of a certain period
the money you must pay in order to keep a savings account active

7. Sales tax is a fee charged by your _____ government on the majority of items that you buy.(Points : 2)
federal
local
state
local or state

8. You should ______ write a date in the future on a check and you should ______write any part of your check in pen.(Points : 2)
always, always
always, never
never, always
never; never

9. A really bad recession can become ________.(Points : 2)
inflation
a depression
deflation

10. The part of your insurance that protects you against costs of damage that you cause to someone else is called your _____ coverage.(Points : 2)
liability
premium
coinsurance
comprehensive

Pasquale Quesnel

wisconsinrealtor asked:

The WRA’s Public Affairs team sits down with Governor Scott Walker on the new HSA bill and how it will benefit REALTORS® and independent contractors alike. Under the bill signed by Governor Walker on January 24, health savings accounts (HSAs) will be tax exempt. The legislation aligns Wisconsin law with federal law and allows tax deductible contributions to and withdrawals from health savings accounts. Wisconsin joins 46 other states and the federal government in not taxing HSAs. The WRA thanked Governor Walker and the Legislature for ending taxation of HSAs in Wisconsin to make health care more affordable for independent contractors, including REALTORS®. “The fact that Governor Walker and the new Legislature passed this law in 21 days is incredible,” said Bill Malkasian, President of the WRA. “We thank them for making this available to independent contractors in Wisconsin.”

Oretha Scariano

eHow asked:

Health savings accounts are vehicles that people can place money into, and take money from, for medical reasons. Purchase a health savings account to save for medical expenses with tips from afinancial planner in this free video on personal finance and the stock market. Expert: Chris Markowski Contact: www.watchdogonwallstreet.com Bio: Christopher Markowski is the founder of the financial planning firm, Markowski Investments. Filmmaker: Christopher Rokosz

Kermit Mclearan

kjarcik asked:

Find out about POS, Point Of Sale plans and HSA, Health Savings Account and their advantages! Health Insurance Las Vegas, Nevada. Sign-Up for our newsletter at www.nationalhealthbroker.info and at www.easystm.com short term health insurance,short term medical insurance,temporary medical insurance,temporary health insurance,college graduates,lost insurance,post-college,Health Insurance,Health Insurance Quote,Major Medical,Short Term Health Insurance,Preferred Provider Organization,PPO,health insurance, las vegas, Summer, Nevada, POS, Point Of Service Plan, HSA, Health Savings Account

Annmarie Klos

onlymatch4u asked:


Because the new health care bill imposes a 3.8% tax on “unearned income” above a certain threshold, which includes income from any source that you aren’t directly working for. This includes interest you receive on a savings account, dividends from stocks, rental income from a property you own, social security income, unemployment checks, child support and of course income from home sales.

Zella Xie

Roxy asked:


I love my boyfriend and we have a good relationship besides the fact that he is becoming more and more lazy every day. He was laid off over a year ago at his job in construction and has been collecting unemployment ever since. At first he was working side jobs and making a little extra money, but now he’s not even doing that. He said he didn’t want to work because he needs to concentrate on school. He finally signed up for two classes this semester (he hasn’t been to school for about 3 years) and claims that he can’t even get a part time job because he can’t concentrate on classes and work at the same time (note: he has tons of restaurant experience). He spends his money frivolously and doesn’t keep me updated on his financial situation, so when he wants to eat or buy something he invites me to go and when it’s time to pay I am the one that ends up paying for his lunch/dinner/snack, if he can’t pay all of his half of the bills I have to cover them. He only studies and does school work the days of his two classes and the rest of the time he watches TV or plays video games. He won’t do household chores and the only chore I ask him to do are the dishes. When he DOES do the dishes he waits until the sink is overflowing and even then only washes half of them. We never go out, not even on a lunch date, and if I ask to go somewhere with him to hang out besides watching television he says we’re too broke.

I work five days a week, sometimes I pick up extra shifts. I have twice as many bills to pay as him and sometimes I have to cover parts of his bills. I have depleted my savings account to zero and only had enough for my rent and car payment this month (oh yeah, and more than half of the water bill he’s supposed to be in charge of); none for the cable, my health insurance, my phone, my car insurance, etc.I don’t know what I’m going to do about those.

I have been going to the doctor for migraine attacks and daily, chronic headaches. I pass out and have really scary “attacks” that stress me out beyond belief. I’m going through all kinds of health tests and discovering my body’s own weaknesses. I’m honestly having the worst time trying to deal with all of this on my own and also act like a mother to him.

I don’t know what to do! I love him, we never fight, and he tolerates my sickness. The only thing that is making me unhappy is him not working and not being financially stable. I don’t even care if it’s not a well paying job, I just want him working so I know he will be fine if I all of a sudden can’t work. I can’t sit around and watch television all day, every day, spending my days off wasting away in front of the tube. When I try to tell him this he just blows me off. Please someone give me advice! :’(

Roosevelt Shands

richardnday asked:

RichDayHealthPlans.com Health Savings Account type plans offer solutions to the rising health care costs. Insure yourself and your family for less cost, less risk, and more stable premiums. Learn about the components that make up HSA plans.

Scott Cedars