going to the doctor or dentist is already painful enough but paying the bill even with Canada's supposedly free health care that hurts even more but here's the good news the CRA lets you claim some of those costs on your taxes today I'll walk you through five common medical expenses you might not know you can claim to keep more of your money in your pocket but first let's go over how medical expense claims work in Canada claiming medical expenses here a tax return is a bit tricky but I'll walk you through step by step plus I'll show you some smart ways to maximize a refund the medical expense tax credit or the Mec allows Canadians to claim eligible out-of-pocket medical expenses on their tax return to claim it you must enter medical expenses online 33099 or 33199 of your tax return depending on who the expense is for if it's for yourself your spouse or common law partner or children under 18 you enter it on line 33099 and if it's for other dependents like adult children parents grandparents or siblings who rely on you support you must enter it on line 33199 and here's where it gets a little tricky you can claim only the portion not reimbursed by insurance and must subtract the lower of 3% of your net income or $2,759 that's for 2024 expenses I'll show you an example how that works meet Jessica who earns $50,000 of income and had $2,500 in medical expenses in 2024 3% of her $50,00 $ an income is $1,500 so that mean her eligible claim is $2500 minus $1,500 she can claim $1,000 as a non-refundable credit reducing her taxable income later in this video I'll go over some Advanced strategies to help families maximize their medical expense claims but first let's break down some common medical expenses you can claim starting with prescribed drugs and medications these can be a major expense but you may be able to recoup some of these costs at tax time the C allows you to claim eligible prescription drugs and medications as medical expenses these must be prescribed by a licensed Medical Professional and dispensed by a pharmacist over the- counter medications such as vitamins and supplements even medical marijuana is covered but with conditions you need a valid medical document from a healthcare provider and must purchase it from a licensed producer so here's an example Sarah earns $60,000 annually and spends $3,000 on prescribed medications her deduction calculation looks like this 3% of her income $60,000 is $1800 so her eligible claim is $3,000 minus $1,800 which is now $1,200 so Sarah can claim $1,200 in medical expenses on her tax return keep track of your Pharmacy receipts and your prescriptions which is the key to maximizing your claim dental and vision care for high earners dental and vision expenses can add up quickly but many of these costs are tax deductible in Canada you can claim eligible expenses for services provided by licensed professionals including dentists orthodontist optometrist and opthalmologists covered expenses include routine checkups fillings root canals gum surgery braces and prescription eyewear however purely cosmetic procedures such as teeth whitening and non-prescription sunglasses do not qualify so meet Alex who's a high earner who makes $150,000 per year and this year he spent $3,100 on dental work and new prescription glasses for his dental procedures he spent $2,500 and his new glasses he spent $600 for total medical expenses of $3,100 to determine how much he can claim Alex must subtract the lesser of 3% of his income which is $150,000 time 3% which is $4,500 and the set threshold amount for 2024 which is $2,759 since 2759 is a lower of those two amounts Alex subtracts that from his total medical expenses therefore he can claim $3,100 minus $2,759 which is $341 and here's a pro tip higher income earners often need larger medical expenses to qualify for a claim so you can consider timing major procedures within the same 12-month period to maximize deductions for example you might consider getting laser eye surgery during the same 12 months where you get a root canal before we go to our next expense if tax savings are on your mind check out our guide on seven powerful income splitting strategies to legally reduce your tax bill get your free guide on our website the link is in the description medical travel EXP expenses if you need to travel for medical care you may be able to claim your travel cost as a medical expense this applies if you have to travel at least 40 km one way to access medical services not available near your home if you travel over 80 km you could also claim meals and accommodations in addition to Transportation costs eligible travel expenses include public transportation such as bus train taxi flights or more and vehicle expenses such as fuel parking and maintenance you can also claim lodging if it's a hotel state or Airbnb and meals when it's required for an extended state so meet Jennifer who earns $555,000 and has to travel 100 km round trip for weekly Medical Treatments over a period of 3 months and she spends on gas and parking $800 meal in accomodations $1,500 so her total trial expenses is $2,300 to calculate her claim will take 3% of her income of $55,000 which is $1,650 and take her expenses which is $2,300 in mon minus that which equals to $650 so Jennifer can claim $650 of expenses on her tax return and here's a pro tip if a medical practitioner certifies that you need assistance while traveling you can also claim the travel cost for an accompanied person keep detailed records of your trips including receipts and medical appointment confirmations Private health insurance premiums if you pay out of pocket for Private health insurance you may be able to deduct premiums from your taxable income this includes plans that cover medical dental vision prescription drugs and hospitalization however note that employer paid premiums do not qualify unless they are included as taxable income on your T4 slip premiums for self-employed individuals can also be claimed as long as they cover eligible expenses and are not reimbursed by an employer family plans may allow you to claim premiums for your spouse and children which can help maximize deductions meet Mark who earns $90,000 and pays $3,500 annually for Private health insurance 3% of his income is $2,700 so his eligible claim is $3,500 minus that which is $800 so Mark can deduct $800 from his taxable income if you're paying for a mix of private and employer sponsored insurance check which portion of your premiums is eligible and make sure you keep records of your payments medical devices and Equipment these can be costly but many of these expenses qualify as tax deductible medical expenses you can claim things like wheelchairs hearing aids insulin pumps CPAP machines Prosthetics and orthoped braces and in some cases home modifications such as wheelchair ramps or stairlifts are also eligible some medical devices require a doctor's prescription to qualify so it's essential to keep a record of both the prescription and the receipt and if the device requires ongoing maintenance for example batteries for hearing aids or CPAP filters these costs may also be deductible so here is Emily who earns $65,000 and buys a cpat machine for her sleep apnea which costs $2,500 3% of her income is $65,000 * 3% which is 1,950 so her eligible claim is 2500 minus that amount which is $550 Emily can claim $550 on her return while this amount may seem small combining it with other medical expenses could increase her total deduction if you're making a large purchase for medical reasons make sure it's on a cra's list of eligible medical devices to confirm that it qualifies maximizing Family Medical expense writeoffs if you have a family properly claiming medical expenses can make a big difference in your tax return the CRA allows you to combine medical costs for your spouse and dependents but knowing who should claim them can significantly impact your savings let's look at how Richard and Pauline a Canadian couple with two children optimize their tax returns by making smart choices when filling out their medical expense claims by choosing the right person to claim they can reduce their overall tax bill Richard and Pauline have a 16-year-old daughter Jen and a 19-year-old son Rob they had medical expenses of Richard had 2500 Pauline had 2,000 Jen who's 16 had 1,800 and Rob who is 19 had 1300 so for a total it was $7,600 since Jen is under 18 her expenses are combined with Richard and Paul's making $6,300 eligible for line 33099 Rob's expenses must be claimed separately on line 33199 Pauline earns $555,000 so 3% of her $55,000 is $1,650 so her El claim is 6,300 minus 1,650 which is $4,650 Richard only earns $42,000 so 3% of his $42,000 is $1,260 so his eligible claim is 6,300 minus that amount which is $5,040 since Richard can get the higher claim he should claim the full amount so for a pro tip always check who in your family has the lowest income they may get a bigger deduction and by organizing receipts and choosing the right person to claim you can maximize tax savings when filing your return medical expenses tax deductions and wealth building strategies all come down to one thing making smart financial decisions and at blueprint Financial we help you optimize every dollar so you can grow your wealth efficiently if you want a customized financial plan visit our website today and if you love content that helps you keep more money hit like And subscribe it really helps support the channel and thanks for listening