2025 Tax Deductible Limits Long-Term Care Insurance
Summary
“The 2025 deductible limits are significant and few people, especially small and mid-sized business owners, are aware that premiums paid for long-term care insurance may be tax deductible.”The just announced 2025 limits for an individual age 70 or more is $6,020, according to AALTCI. “Most policies are purchased by couples which means they could deduct up to $12,040 next year depending on their age,” Slome explains.Only long-term care policies that meet the federal government’s tax-qualified requirements qualify for a potential tax deduction, the long-term care insurance expert notes. “That’s when income levels enable more people to reach the required health expense threshold to make premiums deductible,” Slome acknowledges. “That potential tax deduction can be a huge benefit after retirement and something seniors should take into consideration when looking into their long-term care protection options.”2025 Maximum Deduction Limits Long-Term Care InsuranceThe following are the new 2024 deductible limits per-individual (2023 limits in brackets):Attained Age Before Close of Taxable Year 2025 Limit (2024)40 or less $480 ($470)More than 40 but not more than 50 $900 ($870)More than 50 but not more than 60 $1,800 ($1,7,60)More than 60 but not more than 70 $4,810 ($4,710)More than 70 $6,020 ($5,880)The American Association for Long-Term Care Insurance advocates for the importance of planning and supports insurance and financial professionals who provide long-term care financing solutions. Call 818-597-3227 to connect with a long-term care insurance professional who can provide no-obligation quotes for coverage.