You can’t deduct a flat percentage of your medical expenses ; instead, you can deduct only the portion that exceeds 7.5% of your adjusted gross income (AGI) under current U.S. federal tax rules.

Quick Scoop

Core rule (U.S., current IRS rule)

  • You may deduct unreimbursed medical and dental expenses for yourself, your spouse, and dependents only to the extent they are more than 7.5% of your AGI.
  • That does not mean “7.5% of your medical expenses are deductible.” It means only the amount above 7.5% of AGI is deductible.

Example

  • AGI: 60,000.
  • 7.5% of AGI: 4,500.
  • Total qualified unreimbursed medical expenses: 15,000.
  • Deductible amount: 15,000 − 4,500 = 10,500.

So in this example, 70% of the medical bills end up deductible , but that percentage changes with your income and expenses.

How to think about “what percentage”

Because the law uses a threshold (7.5% of AGI), the effective percentage of your bills that are deductible depends on your situation.

  1. Low medical expenses relative to income
    • If your medical bills are less than or close to 7.5% of AGI, you may get little or no deduction.
  1. High medical expenses relative to income
    • If your medical bills are far above 7.5% of AGI, a large share of them could be deductible (as in the 15,000 vs. 60,000 AGI example).
  1. Itemizing requirement
    • You only get this break if you itemize deductions on Schedule A and your total itemized deductions exceed the standard deduction.

Mini table: threshold vs. deductible amount

AGI 7.5% threshold Medical expenses Deductible amount Approx. % of expenses deductible
40,000 3,000 10,000 7,000 70%
50,000 3,750 6,000 2,250 37.5%
80,000 6,000 10,000 4,000 40%
(Examples adapted from current tax guides explaining the 7.5% threshold.)

Fast checklist (for your own situation)

  1. Find your AGI (line 11 of Form 1040).
  1. Multiply AGI by 7.5%.
  2. Add up all qualified, unreimbursed medical and dental expenses for the year.
  1. Subtract the threshold in step 2 from step 3.
    • If the result is positive, that’s your potential medical expense deduction.
    • If zero or negative, you effectively get no medical deduction.

Important notes

  • Expenses paid by insurance or with FSA/HSA funds are not deductible again.
  • Some states use different thresholds or offer their own medical-expense credits or deductions.
  • Always check the latest IRS Publication 502 or talk to a tax professional for your specific return.

In one line: Medical expenses are deductible only to the extent they are more than 7.5% of your AGI , not as a fixed percentage of every dollar you spend.

Information gathered from public forums or data available on the internet and portrayed here.