For everyone
1. Health insurance. We have taken another pass at the health insurance tax categories to try to make them clear. The tax categories for health insurance now are:
- Pre-tax. This means the health insurance reduces taxable wages for both income tax and FICA purposes. This will apply to a majority of today’s employer-provided health insurance and we select this category by default.
- Pre-tax, FICA-taxable. This means that the health insurance reduces taxable wages for income tax purposes but not for FICA purposes.
- Self-employed. These are health insurance premiums paid by a self-employed individual, or partnership. They are subtracted from income “above the line” for federal income tax purposes, and also for self-employment tax purposes.
- After-tax. These are out-of-pocket payments of health, dental, and vision premiums that are not payroll deductions. These are treated as medical expenses, subject to the 7.5% AGI threshold. This means that they are not deductible for most individuals, either because the taxpayer uses the standard deduction and does not itemize, or because their medical expenses are less than 7.5% of their Adjusted Gross Income, or both.
2. Minimum wage. We updated the minimum wage rates that have changed since our last update. Those include rates in Alaska, D.C., and Oregon.
State specific
California
- Self-employment income. Entries in the new self-employment income field are now included in guideline income.
- Wages. You can now specify that wages are self-employment income in the FLS Style screen using the “show more” option.
- Overnights calculator. We have now restored the overnight calculator that we inadvertently removed. You can find this calculator on the line where you enter information about each child, as shown below.
Florida
- Arrears. We have updated the child support arrears rate to the 7/2026 rate.
New Jersey
- Appendix IX-E. We updated Appendix IX-E to the new June, 2026 rules.
- Appendix IX-H. We updated Appendix IX-H to the new June, 2026 rules.
- Child Care. We fixed a rounding issue on line 8 of New Jersey Child Care Cost Worksheet.