Do you pay Health Insurance out of your profits?

Quote from GreenTraderTax:



Thanks. Yes, the trading account should be in the name of the entity, so you need to close and reopen accounts.

Note. Brokers technically should charge higher "professional" data feed fees for Nasdaq market information. Individual traders qualify for the lower "non-professional" rates. If you have a single member LLC or a husband wife partnership, you may be able to still get the lower non pro rates. My October 2003 article for Active Trader magazine is on the Nasdaq data feed fee rules.

A husband wife partnership can leave the brokerage accounts in their individual names and report them on the partnership return.

Robert Green, CPA
GreenTraderTax.com
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I read your Active Trader Magazine article and I think it was very well done.

I'm considering the husband/wife partnership so we may gain some tax advantages. For our trading account, will we have to open a new one in the partnership's name and EIN?

Kavon
 
Quote from marketsurfer:

medical savings accounts are one way around this situation. High deductible insurance balanced with savings just in case.

best,

surfer
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hey surf,

do you have a link for these med savings accts?

thanks,
-b
 
I'm having some dificulty getting permanent health insurance in Texas. As my wife and I run a small business, we are able to get it through a purchasing coop. However, we apparently picked the wrong company (Aetna) who keeps finding reasons (that are incorrect) we are not a small business or otherwise not qualified.

The latest is that my wife and I are not employees! This even though the Texas law setting this coop arrangement up defines us as employees. It is obvious to me they will continue to find ways to delay in the hopes we give up. At this point we may do this.

The agent suggested a fairly new company, HealthMarket.
Does anyone know of them and what do you think?

DS
 
I'm planning to quit my job and start trading full-time. Can I continue getting health insurance under COBRA for the next year so?

Thanks,

Chinook
 
Cobra is good for 18 months regardless of being laid off or resigning. Sometimes a company will subsidize as part of severance. For individuals COBRA is usually a better deal.
Family COBRA can be expensive. Good luck.

ebo
 
Quote from marketsurfer:

sure bro. sorry for taking so long to get back to you. these guys will hook you up :

www.ehealthinsurance.com

look under the "golden rule" company to start.

surfer :D
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The recent legislation greatly expanded MSAs, however it doesn't look like much will be on offer until after the first of the year. The one MSA that popped up on ehealthinsurance.com doesn't really appeal to me. Ideally, I would like a $5,000 deductible and $0 above that.

I have a feeling these are going to be big next year. For many people, it's too good of a deal to pass up, plus companies will probably like it so they can more easily layoff these costs onto employees. However, some of the criticism will come to pass which will cause political headaches down the road. I wouldn't be surprised if they become mandatory at some point with government subsidizing the poor, a few countries in Asia already do this.
 
I pay about $90/month for a $5000 deductible PPO. Would be much less except that my wife is a smoker and I was honest on the application. I've got an appeal in since she doesn't smoke in the house or car. My wife gets her insurance through her employer, but it was not worthwhile adding me.

One advantage of a PPO plan, at least with my Blue Cross plan, is that even though I haven't hit my deductible, all the charges are negotiated down by Blue Cross before I get a bill. The amount of the markdowns are jawdropping sometimes. If I were uninsured I would be paying "sticker".

My experience with COBRA is that I wanted to get my own insurance ASAP. It's not cheap, especially since employer sponsered plans typically have low deductibles and copays. Probably not necessary for a younger person.
 
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