Your golden years are your best years! Make them shine!

  • Home
  • Personal Finance
  • Retirement Life
  • Saving & Spending

Could You Qualify For the New $25,000 Health Care Tax Deduction Coming in 2026?

December 8, 2025 · Personal Finance
health
Photo by Natali _ Mis From Shutterstock

How the Proposal Would Change Current Law

Under current tax rules, medical expenses are deductible only if:

  1. The taxpayer itemizes deductions, and
  2. Medical spending exceeds 7.5% of AGI

For example, a household earning $100,000 per year must spend more than $7,500 on qualifying medical costs before any portion becomes deductible—and only the amount beyond that threshold counts. This restriction makes the current medical deduction inaccessible for most taxpayers.

Hawley’s plan would eliminate both of these limitations:

  • The deduction would be available to all taxpayers, including those who take the standard deduction.
  • Taxpayers could deduct up to $25,000 per person, regardless of income level or percentage thresholds.
  • Qualifying expenses would include health insurance premiums paid directly by households, not just traditional medical services.

This structure would dramatically broaden eligibility and could allow some households to shield tens of thousands of dollars in income from federal taxation.

Pages: 1 2 3 4 5 6 7 8

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Latest Posts

  • Is the Nipah Virus Coming to the USA? Here's What Officials Say
  • taxes Are Trump’s $2,000 Stimulus Payments Coming in 2026?
  • happy retirement, retirement investment 10 Most Affordable U.S. Places to Retire in 2026
  • social security numbers, downside When Will Your Social Security Checks Arrive? (What Beneficiaries Should Know)
  • Things Seniors Should Always Get from Costco 8 Kirkland Products That No Longer Feel Like a Costco Bargain
  • medicare Medicare Costs Are Rising in 2026 — Here's What to Expect
  • save money on healthcare Could You Qualify For the New $25,000 Health Care Tax Deduction Coming in 2026?
  • Medicare open enrollment Missed the Medicare Deadline? Your Options Aren't Over Yet
  • stimulus check Trump Promises $2,000 Tariff Checks: Could You Qualify?
  • social security changes 5 Social Security Changes Coming In 2026

Newsletter

Get retirement tips and senior living advice delivered to your inbox.

Related Articles

strategies for baby boomers

Planning a Secure Retirement? Top 4 Strategies for Baby Boomers

These are the best strategies for baby boomers when they want to have the retirement…

Read More →
Tax Cut state

Tax Cuts in 2023: 6 Surprising Ways It Affects Retirees

New 401(k) limits The most popular ways Americans can save up for their senior years…

Read More →
housing withdrawing money from your retirement account

The Housing Market Crash of 2025: Experts Verdict

Considering that interest rates are still quite high and the inventory is still quite low,…

Read More →
social security

9 States to Live on Your Social Security Check Alone

3. Alabama As the song says, “Sweet Home Alabama,” this is one of the states…

Read More →
tax-saving strategies

4 Tax-Saving Strategies for the 2025 Bracket Update

You need to hear about these tax-saving strategies! This year comes with new tax changes,…

Read More →
Tax Refund

7 Ways to Maximize Your Tax Refund in 2023

#3 Include All Healthcare Spending in One Year For many taxpayers, healthcare costs can be…

Read More →
tax

5 Tax Records Seniors Should NEVER Throw Out

3. Acquisition costs for property It is essential to keep any records that are related…

Read More →
Savings

10 Huge Mistakes That Will Drain Your Savings

Could These Spending Habits Be Ruining Your Future? We all know that saving money is…

Read More →
states, social security

10 States Where You Can Get the Most Social Security

5. New Jersey New Jersey is at the top of the list when it comes…

Read More →
Retired in USA

Your golden years are your best years! Make them shine!

Inedit Agency S.R.L.
Bucharest, Romania

contact@ineditagency.com

Explore

  • Terms and Conditions
  • Privacy Policy
  • Do not sell my personal information
  • Subscribe
  • Unsubscribe
  • Contact
  • CA Privacy Policy
  • Request to Know
  • Request to Delete

Categories

  • Enjoying Retirement
  • Personal Finance
  • Saving & Spending

© 2026 Retired in USA. All rights reserved.