What Qualifies as a Medical Deduction?

What Qualifies as a Medical Deduction?

With COVID upon us and tax season coming up, you may be wondering if you can get any tax money back for all those dizzyingly exorbitant medical expenses you may have had. The answer, as it is with so many tax questions, is “it depends.” The deductibility of your medical expenses depends on: Whether your medical expenses exceed the “AGI floor” (more on that below)Whether you itemize your deductionsThe types of medical expense(s) you have incurred We’ll tell you right now that, sadly, unless you’ve had a major medical expense in 2020, you will likely be unable to deduct any…
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Paying Estimated Taxes in 2021

Paying Estimated Taxes in 2021

Whether you’ve been paying estimated taxes for years or you’re entirely new to the idea, now is a great time to review the details. Let’s start with some basics: Your estimated taxes are paid using form 1040-ES. The form has four stubs because there are four payments to make every year.If you are an employee, you make less than $100,000 per year, and you don’t own a business, then it’s very likely that you won’t have to pay estimated taxes.If you are an employee who earns RSUs, check out our post.If you own a business, and if it’s made income…
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Help, I Missed an Estimated Tax Payment! What Should I Do?

Help, I Missed an Estimated Tax Payment! What Should I Do?

This article is for only those individuals who pay estimated taxes: Business owners, self-employed people, and others whose income situation necessitates quarterly payments. If you’re a US Citizen or resident who owed no tax on your last tax return (which covered a 12-month period), then no need to worry about estimated taxes this year. Many employees and college students fall into this category of not having to pay estimated taxes. So, you missed a deadline in filing your 1040-ES, the (tiny) form that you mail to the IRS with a check four times a year, or that you pay online.…
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