Post-divorce, my wife will pay me for half the health insurance cost for our kids. Let’s say for simplicity the cost of the insurance for the kids is $200 per month, so an even split would be her paying me $100 each month.
The issue is I pay the $200 premiums in pre-tax dollars, so having her pay me $100 in post-tax dollars doesn’t seem fair for her. For example, let's say her marginal tax rate is 30%, she'd in effect have to use $130 in income per month to pay me $100. So how do I figure out what she should pay? It seems like there should be a simple mathematical answer here, but I can't seem to figure it out.
Thanks!
The issue is I pay the $200 premiums in pre-tax dollars, so having her pay me $100 in post-tax dollars doesn’t seem fair for her. For example, let's say her marginal tax rate is 30%, she'd in effect have to use $130 in income per month to pay me $100. So how do I figure out what she should pay? It seems like there should be a simple mathematical answer here, but I can't seem to figure it out.
Thanks!
Statistics: Posted by Messner8000 — Wed Aug 14, 2024 10:59 am — Replies 0 — Views 29