​Some FAQS about Deductible Medical Expenses

If you’re a human person living in the U.S., there’s a good chance you’ll incur health expenses at some point.

Some of those expenses might be tax deductible. But it probably won’t surprise you to learn that the IRS has a ton of rules around what does and doesn’t qualify. (For instance, here’s a 28-page booklet about medical and dental expenses.)

A few things to keep in mind:

• For you to be able to deduct qualifying medical expenses, they need to be more than 7.5% of your adjusted gross income.
• You’ll need to itemize your deductions to claim medical expenses.
• If any of your expenses are paid or reimbursed under a health savings account, health flexible spending arrangement, Archer medical savings account, or health reimbursement arrangement, you can’t deduct them.

Speaking of HSAs, FSAs, Archer MSAs, and HRAs, the IRS released a slug of frequently asked questions “related to nutrition, wellness, and general health.” The FAQs aim to address which expenses are payable or reimbursable under those various accounts and arrangements.

Here are a few highlights from the 14 FAQs:

• Most exams — including eye and dental — are payable or reimbursable.
• Most costs — like weight-loss treatments, therapy, and addiction treatments — must be related to a disease or medical condition that a physician diagnosis.
• The costs for over-the-counter meds and menstrual care products are usually payable or reimbursable.

There are certain exceptions and caveats, so make sure to read the whole list. And you can find additional information here.

If you have questions about your deductible medical expenses, reach out to us.