The April 15th tax deadline is getting closer, and you may be finalizing your tax returns. When you’re looking at potential deductions, did you know that hearing aids could be tax deductible?
If you itemize medical deductions on your federal income taxes, you could deduct your hearing aids. It can be a great way to save money on life-changing investment you’ve made. Here’s how to save money on taxes with hearing aids.
Do you plan to itemize your medical expenses for the 2018 tax year? This is the first step you must take before you can deduct the cost of your hearing aids. If your total out-of-pocket healthcare expenses exceeded 7.5% of your adjusted gross income (AGI) in 2018, you can itemize any expenditures above 7.5% on your tax return. Perhaps you had a few large healthcare expenses in 2018; by itemizing them you’ll increase your tax deduction. Some expenses you could itemize include:
NOTE: The threshold for healthcare expenses relative to AGI increases to 10% for the 2019 tax year. To see if itemizing your medical expenses makes sense of the 2018 tax year, we recommend speaking to a financial or tax advisor.
Once you’ve started itemizing your medical expenses, you can deduce a variety of hearing-related expenses. As long as you still have the receipts, this can include?
Keep in mind the following:
If you’ve decided that you’re going to upgrade your hearing devices in 2019, why not consider donating your old hearing aids? These donations could be eligible for a deduction on your 2019 taxes if you donate through charities like the Lion’s Club’s HARP Program. Your deduction would be dependant on the value of your hearing aids at the time of donation.
Hopefully this has shown you how to save money on your taxes with hearing aids. To maximize your savings, we recommend speaking to a tax advisor. If you’re already thinking ahead to your 2019 tax returns, start keeping all of your receipts from now. And when you’re ready to book in your annual hearing assessment, come in and visit the team at Clear Wave Hearing. Call us on (507) 208-7002 or click here to request an appointment today.