Advise on structing family insurance

I run a small business that myself and my wife run full time. We have no other income.

Myself and my wife have a baby on the way in 2025. I’m currently working on structuring both our business and health insurance in the most efficient way possible, and I’ve come up with a plan that I’d like feedback on to ensure it’s structured correctly.

In 2024, She earned roughly $18,000 via 1099 from the LLC, and I’ll take out around $50,000. For 2024, we both pay for healthcare separately.

The plan I’m proposing, however, is for 2025. In 2025, the goal is to simplify things. Sarah will take no salary, and we will establish a joint healthcare plan.

Specifically, I aim to get an HDHP (High Deductible Health Plan) with an HSA (Health Savings Account), and I plan to contribute the maximum of $8,550 to the HSA. With my wife earning $0 and my income being roughly $60,000 for the year, we will file jointly.

Under this setup, I should be able to deduct $8,550 from my taxable income, reducing my tax liability to $51,450. I can then use the HSA to pay the max out-of-pocket deductible for the HDHP, which I expect to be around $7,500.

I’ve already identified a qualifying HDHP family plan option on Healthcare.gov, so from what I can tell, this appears to be the most effective way to structure our family and business in 2025 from a tax perspective. Additionally, the HSA has the advantage of rolling over, which adds flexibility and long-term savings.

From all the research I’ve done, this structure should work, but I wanted to double-check to see if there’s any flaw or issue I might have missed. While I know these strategies are common among professionals, it feels a bit complex for someone like me who’s still learning the ropes. The LLC is a passthrough.

submitted by /u/Dwman113
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