Double Check That Post-Tax Dollars Are Being Deducted from Your Paycheck for Your Partner’s Medical Insurance

With tax season now beginning, I was reminded the other day by a client that same-sex partners need to carefully review their pay stubs. If your company provides medical insurance to your partner through your policy, those health insurance premiums must be deducted from your paycheck as post-tax and not pre-tax dollars. Even if you are legally married, health insurance benefits for your same-sex partner/spouse are taxable to you, the employee, as income. That is because same-sex marriages are not recognized by the federal government.

Mistakes do happen, so it is critically important for you to verify that your partner’s premiums are not deducted from your paycheck as pre-tax dollars – or you may find yourself owing the government what could amount to a heavy chunk of back taxes. Your own insurance premiums should be deducted from your paycheck as pre-tax dollars, however, because they are not taxable as income to the employee.

If you plan to prepare your income tax returns yourself, it is wise to consult with an accountant before doing so to be sure you understand the tax laws concerning same-sex couples.

[Disclaimer: This is NOT tax advice. I am NOT an accountant nor am I a tax attorney].


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