Is Your Elderly Parent a “Medical Dependent”? (Don’t Miss Your Tax Deduction!)
Did you know there’s such a thing as a medical dependent? If you help an elderly parent with medical expenses, you may have one!
“Medical dependent” is a government designation. It allows for a tax deduction for some people who help pay their parents’ medical bills. TheNest.com explains:
This is a little easier than becoming regular dependents. For your parents to be your medical dependents, you must provide at least half their income for the year. It doesn’t matter how much money they make themselves as long as your provide at least half of the money for their medical bills. In this case, you can deduct any of your parents’ medical bills for the year that exceed 7.5 percent of your adjusted gross income.
The article also goes over some other deductions people who help their elderly parents may be eligible for.
For more blog posts about taxes and caregiving, click here.
Leigh Ann Otte is a freelance writer who specializes in health and aging issues. She covers finding and paying for senior care for OurParents. If you have any questions about this post or need help finding senior-care options for a loved one, call 1-866-483-4896 to speak with a care advisor in your area.