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Tax Deduction Consulting: Archer MSA Deduction Billings MT

When you receive a distribution from an Archer MSA, it is also not taxed as long as it pays for a qualified medical expense. A qualified medical expense is one that may be deducted as a Medical deduction on an itemized return.

John Shellenberger
P.O Box 4758
Bozeman, MT
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Company: Estate Conservation Associates
Education
Franklin & Marshall College A.B.
Stanford University M.A.
Years Experience
Years Experience: 34
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Supplemental Medicare Insurance,College Planning,401k Rollover From Employer,Income for Life/ Preserve Principal,Medicare Planning,Annuities,Alternative Asset Class Planning,Investment Consulting & Allocation Design,Insurance & Risk Management Planning,Retirement Income Distribution Planning,Education Funding & Financial Aid Planning,Fee-Only Comprehensive Financial Planning,Long-term Care Insurance,1031 Exchanges,Wealth Engineering,Stock Market Alternative,Wealth Management,Life Insurance,Inves

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H&R Block Inside Russell Square Shopping Center
(406) 251-6020
1132 SW Higgins Ave Ste 210
Missoula, MT

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Jacobson John W CPA
(406) 896-2400
401 N 31st St Bsmt
Billings, MT
 
Sullivan Income Tax Plus
(406) 652-7999
645 Grand Ave Ste E
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Albright Tax & Bookeeping Service
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1643 24th St W
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Campbell and Associates,CPAs
(406) 728-9288
2505 S Russell
Missoula, MT
 
H&R Block
(406) 727-3577
7353 Goddard Dr Bldg 1150
Malmstrom Afb, MT

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H & R Block
(406) 248-7147
38 Grand Ave
Billings, MT
 
Montana Professional Services
(406) 252-5543
1127 Alderson Ave Ste 208
Billings, MT
 
Stevenson Mark E CPA
(406) 656-7359
2222 Broadwater Ave
Billings, MT
 
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Tax Deduction Consulting: Archer MSA Deduction

Archer MSA Deduction

An Archer MSA is a Medical Savings plan that has several tax implications. The Archer MSA deduction is taken even for taxpayers who do not itemize their deductions.

Archer MSA Deduction

An Archer MSA, or Medical Savings Account, is a tax exempt trust or custodial account that is set up with a United States bank or insurance company to allow money to be set aside to pay future medical expenses. The contributions that are made to the Archer MSA are deducted from your taxable income on Form 1040. This can be done even if you do not itemize the deductions. Also, any interest or other income from the Archer MSA is tax free.

When you receive a distribution from an Archer MSA, it is also not taxed as long as it pays for a qualified medical expense. A qualified medical expense is one that may be deducted as a Medical deduction on an itemized return. If you do not take distributions from the account, they remain in the account from year to year. They are portable and you can take them with you when you switch employers or even if you leave the work force all together.

Before you can be eligible for an Archer MSA, you must have a HDHP. This is a high deductible health plan which is a plan that has a higher than ordinary deductible and a limit on yearly benefits. The HDHP is an innovative type of Health Insurance designed to deal with rising health costs and health insurance premiums by providing affordable health coverage for healthy workers. The premiums for the HDHP are low, but the deductible, or amount paid by the insured before coverage kicks in, is very high. The purpose of the Archer MSA is to set aside funds to cover this deductible or pay for expenses that exceed the yearly limits.

If you are an employee of a small employer who maintains a HDHP for you or your family, you can establish an Archer MSA. A small employer is defined as one that has less than 50 employees during the year. Self employed workers may start an Archer MSA ...

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