This text is posted with permission from our associate Solo Well being Collective. Be taught extra about Solo at: https://freelancersunion.org/solo
Freelancers and impartial contractors typically wrestle to search out an reasonably priced, high-quality well being plan. Conventional plans could be costly, lack flexibility, or provide minimal advantages for self-employed people. Freelancers Union associate, Solo Well being Collective, is a singular well being plan designed particularly for freelancers, solopreneurs, and small enterprise homeowners. Right here’s the way it can present important tax benefits—and why it’s a fantastic possibility for impartial professionals.
Tax Benefits for Freelancers
One of many largest advantages of enrolling in Solo Well being Collective is the potential for important tax financial savings. Right here’s how:
Deductible Well being Insurance coverage Premium
As a self-employed particular person, your medical health insurance premiums are sometimes tax-deductible as a enterprise expense. This implies you possibly can decrease your taxable revenue whereas sustaining needed protection.
Well being Financial savings Account (HSA) Contribution
Solo Well being Collective gives HSA-compatible high-deductible well being plans (HDHPs). HSAs present highly effective tax advantages:
- Contributions are tax-deductible (or pre-tax if made by means of payroll).
- Funds develop tax-free by means of investments.
- Withdrawals for certified medical bills are tax-free, offering long-term saving
Deductible Medical Bills
Many freelancers don’t notice that out-of-pocket medical bills—together with deductibles, copays, and sure procedures—may be deductible in the event that they exceed a proportion of your adjusted gross revenue (AGI).
***at all times seek the advice of a tax skilled to substantiate eligibility and compliance based mostly in your revenue, state, and so forth.
Tailor-made for Unbiased Professionals
Not like conventional insurance coverage that cater to bigger teams, Solo Well being Collective is structured to fulfill the wants of self-employed people. It operates as a self-funded well being plan by means of a captive insurance coverage mannequin, which suggests members achieve entry to group buying energy, decrease prices, and strong advantages.
Key benefits embrace:
- Reasonably priced, predictable pricing in comparison with different conventional well being plans
- Entry to a nationwide PPO community by means of MultiPlan PHCS, guaranteeing high quality care anyplace within the U.S.
- HSA-compatible plan choices, permitting members to save lots of pre-tax {dollars} for medical bills.
Freelancers face distinctive challenges in relation to well being protection, however Solo Well being Collective gives an progressive answer that mixes affordability, flexibility, and tax benefits. By establishing your plan with Solo, you not solely achieve entry to a high-quality healthcare plan but in addition unlock potential tax financial savings that may make an actual affect in your monetary well-being.
Wish to be taught extra? Go to Solo Well being Collective’s web page to discover your choices or schedule a one-on-one session with their assist workforce to reply your questions and be taught extra in regards to the plan.
