Can a nanny (employed by a “small business”) deduct her private health insurance premiums?

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I have been employed as a nanny by a family for almost 2 years, and since the beginning they have established themselves as a “small business” under their family name. I am considered a household employee, and they do not offer a health insurance benefit, so I pay all for my own coverage. I know that if I were self-employed I could deduct my health insurance premiums, but can I do this in my situation? I have tried searching all over the IRS website and cannot find anything!

2 Comments
  1. Reply
    jr
    July 29, 2012 at 2:13 am

    Yes, you can if you itemize. However, sometimes the standard deduction is greater than the itemized deduction. So depending on how much you spent, you may not want to do it.

    edit:
    You may deduct only the amount by which your total medical care expenses for the year exceed 7.5% of your adjusted gross income. You do this calculation on Form 1040, Schedule A in computing the amount deductible

  2. Reply
    the tax lady
    July 29, 2012 at 3:05 am

    You are not self-employed. The ONLY place you deduct your health insurance premiums is on schedule A, less 7.5% of your adjusted gross income and then only if you can itemize.

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