<p>We're knee-deep in the CSS. PI-130C on the Parent's Income section asks about adjustments to parents gross income, and specifies "self-employed health insurance deduction" as an adjustment. Our family is covered by a COBRA plan since my husband was laid off back in July '08. We pay the full monthly premium. My husband is not considered a full-time employee of his current company (he's a consultant), so COBRA is our only option. Does that qualify for the CSS "self-employed health insurance deduction?"</p>
<p>Sorry for the specific question. Our taxes are so complicated this year, and we'll have two in college so I want to do this right. We'll have to file corrected FAFSA and CSS after we file our returns in February.</p>
<p>Self employed insurance is a pre AGI deduction on the tax return which lowers the AGI. As your COBRA payment will not be reported on your tax return as a self employed insurance deduction you probably cannot report it as one. Also it may be something that is added back to the AGI to arrive at income (like IRA contributions) when CSS calculates whatever their equivilant of the EFC is. If that is the case (and I am just guessing it may be) you probably would not want to report them as a self employed health insurance deduction and have them added to your AGI.</p>
<p>No, this question corresponds to line 29 on your 1040.</p>
<p>The self-employed health insurance deduction is for self-employed or S-corps. The insurance must be established by the business. So, although your husband is currently self-employed as a consultant, his insurance is not under his business. </p>
<p>When you fill out your 1040, your Cobra payments will go on schedule A (itemized deductions) under medical expenses. On the CSS, you will put unreimbursed medical expenses, including Cobra payments on line PE125 (at least that was what the line # was last year)</p>
<p>OOps it took me so long to figure out how to explain this that swimcats beat me to it.</p>