Do this now in case the medical deduction tax break disappears

Personal Finance


The average price for the insurance depends on your age and the level of coverage. A typical couple who are both age 60 pay about $100 to $150 a month for each policy, according to data released earlier this year by the American Association for Long-Term Care Insurance.

In that case, the total annual outlay would be $2,400 to $3,600. With the cap for 60-year-olds at $4,090 per person, a few months of 2018 premiums would give them a bigger tax break — again, assuming they are using the medical expense deduction.

It’s also worth noting that some states now allow tax deductions for long-term care premiums, even if the federal government ends up doing away with it.

Also, if your medical expenses are close to the 10 percent-of-income threshold, you can potentially make other medical-related purchases in 2017 if you know they would qualify for the deduction.

“People accelerate certain expenses all the time so they can take the deduction in a certain year,” Eagan said.



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