Ah, taxes! Not exactly the most riveting subject matter, but nonetheless, any time there’s potential for saving money, it quite literally may pay to follow along. So we’ll review the facts here, but there’s an important caveat upfront: It’s always a great idea to consult a licensed tax and/or financial professional to help navigate the tax and other, financial implications of a move to a senior living community.
Generally speaking, when it comes to taxes and senior living, the short answer tends to be, “Yes, many senior living expenses are tax deductible,” but within certain parameters. If those parameters (which we’ll cover shortly) are met, then there may be certain tax advantages for senior living residents, although let’s be clear that care and overall lifestyle quality—and not tax savings—remain the foremost factors for deciding whether a senior living community is the right fit for you or a loved one.
Here are some foremost tax deductions for senior living residents, and some key items to consider:
Independent Living
Assisted Living
Memory Care
Itemized deductions
Medical Expenses
