Creekview Nursing and Rehabilitation Looks to Save You Money With the Top Tax Deductions for Seniors
Tax time is just around the corner, and if you haven’t filed your taxes yet, the Creekview Nursing and Rehabilitation wants to save you some money with these senior tax tips, as getting older qualifies you for additional benefits.
- Take advantage of the standard deduction
The recent tax reform law roughly doubles the standard deduction, and tax experts say around 90 percent of all taxpayers should take the standard deduction. Additionally, if you are 65 or older during the tax year, you’re entitled to a larger standard deduction.
2. Property tax breaks
If you own your home and are over a certain age, you may qualify for property or school tax exemptions
3. Savings on retirement plan contributions
If you’re over 50, you are allowed to contribute $1,000 more to your IRA. For employees over 50 contributing to a 401(k), you can defer paying income tax on $6,000 more than younger workers.
4. No early withdrawal penalties from retirement plans
If you need to withdraw funds from your IRA or 401(k), you may be able to do so without the standard 10 percent penalty. IRA withdrawals are allowed at age 59 1/2, and one can take money out of a 401(k) account penalty-free if a person is 55 and the account they withdraw from is the one associated with their most-recent job.
5. Medical expenses
Medical bills can be a senior’s greatest yearly expense. Fortunately, many parts of this category — including insurance premiums — can be deducted. The rules are complicated, so it’s best to check with a tax professional if you think you would benefit from these deductions.
Don’t miss the deadline!
However, be sure to file (or request an extension) by the April 15 deadline! Remember, changes in tax laws made in 2018 go into effect for this tax season, so be sure to give yourself enough time to get your taxes prepared and filed. A little knowledge ahead of time can either save you big bucks or entitle you to a larger refund!
To learn more about Creekview and what they offer, visit us in person or on our website: http://creekviewnursing.com
