Medical Expense Tax Deductions: Rules, Eligible Costs, and Tips

You can deduct medical expenses exceeding 7.5% of Adjusted Gross Income (AGI). Example: AGI $50,000 → threshold $3,750; expenses above that are deductible.

Deductible Expenses

• Doctor visits, hospital stays, prescriptions
• Dental, vision, hearing aids
• Long-term care
• Medical travel
• Health insurance premiums (including Medicare, private)

Non-Deductible

• Cosmetic surgery
• OTC meds (unless prescribed)
• Gym memberships, vitamins, supplements
• Funeral expenses

Tips

• Keep all receipts and credit card statements.
• Use HSA/FSA funds for tax-free spending.
• Self-employed may deduct as business expense.
• Consult a tax advisor for complex situations.

Proper deduction reduces taxable income and saves money.