Is Supplemental Life Insurance Pre-Tax?

1. 

   61667 POINTS

   view profile
   Steve Savant

   Syndicated Financial Columnist, Host of the weekly talk show Steve Savant's Money, the Name of the Game, Scottsdale Arizona

   Life insurance can not be deducted or purchased pretax. There are some pretax qualified plans that allow a percentage of the annual contribution to use life insurance: participating whole life (49.5%) and universal life (25%). Life insurance as a TAMRA compliant non-modified endowment policy can serve as a supplemental income plan in tandem with qualified plans.

   Answered on August 21, 2013

   flag this answer
Did you find these answers helpful?
Yes
No
Go!

Add Your Answer To This Question

You must be logged in to add your answer.