Are there any expenses that we incur due to diabetes that we are able to use as a deduction on our Federal taxes???
i'm not sure about in the states(i'm in canada), but my mom always put the slip she gets when she buys my supplies(even though its partly covered by my work insurance) and puts it in her taxes. but she sends hers to an accountant cuz she's self employed. i would call an accountant and ask what medical expenses you can claim.
If I'm remembering right, you can claim medical expenses in the US if it's 7% or more (I think...) of your annual income. But, it means saving every receipt. A couple of years, I tried it and never got that high.
The easier ways of getting around paying income tax on the money you spend on diabetes (or medical supplies in general) is to use a Flexible Savings Account (if your employer offers it.) Or you have to do as Sarah said and save all receipts, which is not that hard as long as you know to do it and just have a file that they all go into over the course of the year.
If you have an FSA - that is pretax dollars that you can apply toward co-pays, scrips, OTC meds, vision, dental, etc. You have to submit receipts and then are reimbursed for them. The only downside is that you will lose any money that you don't claim for reimbursement (so if you put in $4000 and only submit claims for $3500, you forfeit the $500 at the end of the year.)
Probably your best bet is to talk to an accountant.
Really!?!?
i know my mom uses a flex card, i don't think she knew that... thanks for the info!
Our accountant also told us that you can use the milage to and from all dr appts, pharmacy, anything medical related. It is for your whole family--not just one person.
Well i know here in canada that we can claim all of our medical expenses but like already stated you have to keep your reciepts from the yr & when you file your income tax your medical expenses would need to be 3% of your yearly income, but that will include things like special groceries that you have to buy to your D you again have to keep all your reciepts and highlight the items you had to buy special as part of your diet for your D. I have always done my personal taxes through H&R Block & this is part of the info that they have given me over the past yrs & last yr when I filed I was given a return of over $1800 because I did keep track of everything D related but it took a lot of work though.
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Really!?!?
i know my mom uses a flex card, i don't think she knew that... thanks for the info!
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I think if you have a flex card, then it only allows you to charge medical related expenses (so for example at Target, she can pay for health care items with the flex card, and then would pay for your paper towels, windex, etc. with a regular debit card). If using the flex card, I don't think you have do do receipts because it is tracking it automatically. :)