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Thursday
Mar162017

Tax Tip: Deducting medical expenses

iStock/ThinkstockThe cost of health care and medicine can add up quickly. But in order for it to be deductible for tax purposes, you have to spend a minimum amount.

"Medical expenses were always subject to a floor," explains tax accountant Janice Hayman. "They had to exceed a certain percent of your adjusted gross income. And recently they had raised that from 7.5 percent to 10 percent."

That means if your adjusted gross income is $45,000, you have to spend $4,500 on medical expenses before a single dollar is deductible.

"With the exception of those 65 or older. However, after Dec. 21, 2016, the 65 and older group also will have to surpass 10 percent of their income before the first dollar of medical is deductible," Hayman says.

That means -- for tax purposes this year -- people 65 and older are still able to deduct a little bit more.

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