Why aren't my insurance expenses split out between the different types?
Often times a single insurance payment will encompass multiple types of insurance. For instance, a payment to State Farm might include Auto and Worker's Comp insurance. And the information on your bank statement often does not provide that detail.
So if your insurance payment includes any Non-deductible insurances (meaning you can't write them off through your business), when reviewing your transactions, create a Split ( covered in this article) so we can separate the payment into the different insurance categories.
Examples of deductible insurances are:
- Employee Health (in certain cases)
- Workers Comp
- Professional Liability
- Auto Insurance for business car
Examples of non-deductible insurances include:
- Umbrella policies