News: Gluten Free with a Tax Deduction

I just finished reading an article from Huffington Post writer Manisha Thakor, a personal finance expert. The article lists 5 health care expenses that can be paid for using a health care flexible spending account (FSA). The 5 little known tax free health care expenses are:
1) Acupuncture treatments;
2) Doctor ordered weight loss programs;
3) Gluten-free food items;
4) Mileage to/from medical appointments; and
5) Smoking cessation programs

That's right, like I stated in a previous post, you can deduct the extra costs associated with buying gluten free foods from your taxes. The catch is that you need to do some leg work in figuring out the cost difference between a GF product and a non-GF product. If there is a product that is strictly GF and you can't buy a non-GF version then you can deduct the entire price of the good. Just make sure that you hang on to your receipts. The previous post gave ideas on how to keep track of what you spend. I'm an Excel nerd so Hubby and I will be using that when we start keeping track of our GF purchases next year.

If you're already using an FSA, great!! If you're not, I highly suggest using one. It took me a few years to jump on the bandwagon but I find it to be really helpful and extremely easy to use. Take a look at what you've spent on your doctors visits, prescriptions, and any other related medical expenses and you'll likely find that you've been spending a decent amount of change on those things. Well, since you have to pay for them anyway, why not get a tax break on them too? Don't you want to actually keep some of the money you work so hard for? I know I do.

I would like to say that there isn't any fine print to this plan but there is. The fine print says that for over-the-counter (OTC) medications your doctor must give you a prescription for it to be covered. Also, starting in 2013 there will be a $2,500 maximum contribution cap to program. Meaning that you can't contribute more than that. That's ok. Because I won't turn down a $2,500 tax break. I hope you won't either. If your company offers a debit card, take it. There aren't any forms to fill out and submit. Your funds go directly into the account and you simply swipe your card to use them. That's it. Keep your receipts and itemized bills just in case a charge is disputed but over all it's a very easy system to use.

The main points here are:
1) Sign up for an FSA account;
2) Keep track of the cost difference between GF products and non-GF products;
3) Use your FSA account to purchase GF food items; and
4) Take the tax credits where you can get them and enjoy the savings!

Have a wonderful weekend!!