Now I’m thinking about what kind of retirement business can we start, so we can fully write off all these health care costs. Anyone have any ideas?
If you get the tax write off, then maybe you don’t need a new business scheme?
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Not totally sure how the numbers work out in comparison, but it looks like for your personal 1040 itemization, you can only write off what exceeds 7.5% of your income, and then add the other deductions (with limitations). So I see the possibility of it benefitting us somewhat, but then we also have to be careful about what disbursements we get from 401K’s, as it all adds onto AGI and the 7.5% limitation. Definitely if we could find out a way to write the entire thing off without limitations, it would be better. But I’d have to figure out something we can do, and I’m not very imaginative. 
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That $50k number seems absurdly high to me… If you are paying $36k just for the insurance, there should be very little left in the way of deductibles, co-pays, and co-insurance, I would think. Is that really your best option?
Is there consulting work you can do? That seems most likely to quickly generate the $36k in profit to be able to deduct your insurance.
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It is absurdly high, and I sure hope I’m off. But all the expenses really add up. I’m thinking co-pays and deductibles of maybe $1K, vision exams/glasses $1.5K, dental (ugh) at least 4K, prescriptions not covered by insurance $2K, out of network medical expenses 2K. This all adds up to $46.5, and I was putting in a low estimate. It’s not pretty.
I’m not sure what sort of consulting work we can do. All we have ever done is fly airplanes, we’re noncurrent, not interested in teaching/being an examiner/simulator instructor, yuck. I used to be a pretty good waitress, but that’s about it. Honestly, I don’t know what we’re competent to do. We have half a brain left (between the two of us), but that’s about it. That’s why I was looking into something real estate related (but not becoming a realtor, I hate selling things).
You guys are pretty handy… how about becoming a home inspector?
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In terms of real estate, how about something in asset or property management?
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Speaking of vision exams… $80 per exam at Costco and $300 per pair of glasses that have every option offered… photochrome, polished edges, high diopter glass, no line bifocals… once every 2 years is sufficient per my husband (no glasses here). Amy ophthalmologist visits not related to routine vision exams are usually covered as medical.
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$80 is a great deal, and $300 for glasses definitely cheaper. I gotta check them out. Think I paid about $300 for my exam, though they filed it through medical, very little was covered.
Thanks, @BunsenBurner and @sushiritto, those are interesting thoughts, if we could do that as our own business. A friend did say that we should look closer at whether we can do something related to our forestry property, so I should fully investigate that. Maybe we can grow some other cash crops (though NOT marijuana, not a chance)! 
I have my glasses made up at Costco because the savings are huge, but I see eye doctor outside of Costco for the prescription.
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Too much competition in pot growing. And very resource intensive, too! Maybe Christmas trees? Or salal for florists?
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I think we might get off topic but another who was very happy with Costco for eyeglasses. I was also happy with the optometrist. I am extremely picky as I’ve had glasses since I was 5.
Are insurance premiums deductible on income taxes? I didn’t know that.
Getting extremely worried about our healthcare insurance next year. The pricing doesn’t come out until November 1. It’s not the price that has me up at night. Finding a plan that will cover my husband’s Humeria does. It’s only for 9 months. Ugh!
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@deb922 Don’t know if you are old enough, but we have Medicare and AARP supplemental and they pay for my DH Humeria… and now his $150K/year OFev.
Does anyone know much about UITs (Unit Investment Trusts). We met with our FA last night and he was discussing those with us. These were 15 month investment instruments that have a buffer to keep the losses reduced, but also have a cap on the possible gains.
They seem like a good idea to reduce the risk in our portfolio as we age.
IDK if your union would have had a way for you to have set aside money while you and DH were working, in a healthcare fund to pay for the years of your out-of-pocket costs for the insurance before you were 65 and eligible for Medicare primary and other insurance secondary. That is what our uncle did (he was a union electrician) and it enabled him to retire before 65 as he had the fund built up for the years before he and his wife were Medicare eligible.
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I believe that you can add up all your medical expenses (including all premiums, dental, glasses, everything) and deduct what exceeds 7.5% of your AGI if you itemize. But with the standard deduction being so high and the SALT limitation, it can be useless to itemize.
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There was a healthcare option we could have selected while we were working that would allow funds to build up slowly over the years, but it would have meant that we paid out of pocket for more costs at the time and had less comprehensive health care, plus it didn’t cover premiums. The guys who love it are the ones who rarely use healthcare and don’t mind a worse plan, but we have always utilized our healthcare.
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https://www.covenantwealthadvisors.com/post/what-medical-expenses-can-you-write-off-on-your-taxes-this-year * “For example, suppose you have an AGI of $80,000 and medical expenses of $10,000. 7.5% of $80,000 is $6,000, so you can deduct qualified costs above $6,000. You have $10,000 in expenses, so $4,000 is the qualifying amount you can deduct.”*
“Health insurance premiums, as long as you pay them with after-tax dollars. In other words, you can’t deduct expenses that you also use to justify a tax-free health savings account HSA distribution”
As pointed out above, with the current high standard deductible ($29,200 married) and SALT limitations etc…. most couples would still take standard deduction.
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Besides making a fat commission for your FA, how are they any different from a low-cost Index fund?
Depends on what the Trust is comprised of. (It could be more or less risky than your existing portfolio.). What are teh measures of each (standard deviation, beta…)
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