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Your email address will not be published.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 →
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 →
Social Security number spousal

15 Tips to Protect Your Social Security Number From Scams

Leave your card at home Leave your Social Security card at home. Also, don’t enter…

Read More →
cheap

NEW: 5 Cheapest States for Retirees This Year

Mississippi Mississippi wins against Arkansas when it comes to the average cost of owning a…

Read More →
housing withdrawing money from your retirement account

5 Tips You Need to Know When Withdrawing Money from Your Retirement Account

Since you’ve become a part of the workforce, all that you heard was accumulate, accumulate,…

Read More →
money million

11 Ways Boomers Waste Money in Retirement

Financially supporting your adult kids I know it can be quite difficult for young adults…

Read More →
An older couple sits at a kitchen table reviewing financial documents, with a magnifying glass and a calendar visible nearby.

The Hidden Costs of Retirement Nobody Talks About

Family and Life Events: The Unplannable Expenses Not all hidden costs are found on a…

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 →
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.