Herman is covered by a cafeteria plan by his employer. his adjusted agi is $100,000. he paid unreimbursed medical premiums in the amount of $10, 500 and he itemizes deductions. what amount will herman be able to deduct for his medical insurance premium expenses

Explanation:

Adjusted Gross Income= $100,000

Unreimbursed medical premium= $10,500

Amount deductable for his medical insurance premium should be equal to 7.5% of the AGI.

7.5% of AGI

7.5/100*$100,000

0.075*100,000

=$7,500 medical insurance expenses

Total medical insurance premium deductable is

$10,500-$7,500

=$3000

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