Disability insurance

Started by anbuitachi
Get help with your application

Use all the free resources available to you from SDN: articles, guides, expert advising, forums discussions, and school research.

Browse articles Compare schools My application plan Read Interview Feedback
Practice for interviews Ask an Advisor
SaltyDog said:
It's not that simple. If you time your deduction right , you can make it appear that you paid with pre-tax dollars for the current year.

Like I originally said, consulting with a CPA about this a good idea before you decide to do it.
Click to expand...
The agent selling the policy should know the details of the tax implications. Just make sure you clearly understand how the policy is written. Salesmen lie to earn a commission.
 
CommonMan said:
The agent selling the policy should know the details of the tax implications. Just make sure you clearly understand how the policy is written. Salesmen lie to earn a commission.
Click to expand...
Agreed, there is lying and fraud in every occupation, none are exempt for sure. As for the tax issues, if you pay the premium with after tax dollars then the claim time benefits will be tax free. If you pay the policy with pre-tax dollars then you will have a taxable benefit at claim time. The other option I have seen from some Tax Lawyers and CPA's is if you are a business then you can establish a disability reimbursement plan but you should talk to your CPA or Tax Attorney for details and functionality.
 
You must log in or register to reply here.