Sole proprietors can deduct what percentage of health costs paid from their earnings?

Sole proprietors can indeed deduct 100% of their health insurance premiums from their taxable income, which significantly benefits them by reducing their overall tax liability. This deduction is particularly valuable because it allows sole proprietors to align the treatment of health insurance with that of other business expenses, thereby supporting their financial stability and ensuring that they can effectively cover necessary health costs.

It's important to note that this deduction is specifically for health insurance premiums and not for other health-related expenses. This means that while the deduction can cover the premiums paid, any out-of-pocket medical costs or other expenses would not qualify for this particular deduction. This policy also serves to encourage self-employed individuals to invest in their health coverage, ensuring they are not left vulnerable without insurance.