HRA & the Sole Propietor

It seems that only the big get the breaks. Not so with the HRA. A qualifying Sole Proprietor can save a bundle with an HRA.

How? The HRA allows reimbursement for lots of health related expenses: health insurance premiums, glasses, dental work, deductibles, co-pays... and this is only a partial list (see IRS Pub 502 - Health & Medical Expenses)

In a prior blog I mentioned that my wife and I paid over $1200 per month in health insurance premiums. Under an HRA that would be a deductible expense for my business. That would save Federal, State, Local, and self employment taxes. Plus it would not be income to me personally. That's $1200 per month and only a start. It's not a raise but it does save taxes!

That is a good deal. Save money and get health insurance!

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Paul Zane Pilser

Cover via Amazon

A friend ask about the author I referenced, Paul Zane Pilser. I've read two of his books but only after reading the one titled "The New Health Insurance Solution".

For a synopsis of that work check out this you-tube link where he is interviewed and discusses his book.

http://www.youtube.com/watch?v=mh_MGyx9tgc

He'll give more than enough reasons for not seeing government health insurance as a solution.