Are Medical Expenses for Having a Baby Tax-Deductible? | Budgeting Money

Are Medical Expenses for Having a Baby Tax-Deductible?

Are Medical Expenses for Having a Baby Tax-Deductible?
Written By
Fraser Sherman
Fraser Sherman
Oct 9, 2012
2 minute read

The federal government knows having babies isn't cheap. The medical bills that come with pregnancy and childbirth are a legitimate tax deduction, just like your other medical expenses. Some spending you might think qualifies isn't deductible under federal rules, however. The rules for claiming the deduction also limit how much, if any, pregnancy-related costs you can write off.

Deductible Expenses

You can deduct all the pregnancy-related physical exams, medical tests, prescription drugs and hospital and doctor visits you pay for. This includes visits to Christian Science practitioners, chiropractors and acupuncturists. If you only suspect you're pregnant and you buy a test kit to confirm it, that's a valid write-off too. You can also deduct the costs of getting an abortion, if that has to be done, or for fertility treatments to make the pregnancy possible.

Nondeductible

You cannot take a write-off for nonprescription drugs of any sort: If it's an over-the-counter medicine, it's not deductible. There's also no deduction for all the little extras that make motherhood easier: Maternity clothes, diaper services, babysitting, nanny care or hiring household help when you're too busy with baby to clean. Nutritional supplements are generally on the Internal Revenue Service's No list, but you can write them off if your doctor explicitly recommends you take them during pregnancy.

Transportation

Travel for medical care is a legitimate tax write-off. Trips you take to ob/gyn appointments, for example, are deductible, whether you get to your doctor by a bus, train, plane or car. If you use a car, you may use the standard mileage rate to calculate your deduction: As of 2012, the rate for medical purposes is 23 cents per mile. Deductible travel expenses also include ambulance costs and the cost of a nurse traveling with you if you're too sick to go alone.

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Filing

You can only write off pregnancy-related and other medical expenses if you itemize deductions on Schedule A. Before claiming the deduction, subtract for any insurance or other reimbursement. Then calculate 7.5 percent of your adjusted gross income: If your AGI is $80,000 a year, for example, 7.5 percent of your AGI is $6,000. Subtract that from your total allowable medical expenses and whatever remains is deductible. If it's under that amount, you can't write off anything.

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Fraser Sherman

A Durham, NC resident, Fraser has written about law, starting a business, balancing your budget and fighting evictions, among other legal and financial topics.

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