Medical alert systems typically range in price from $20-40 monthly. Many Medicare Advantage plans cover these devices while Medicaid may assist in covering them as well. Budget for one-off fees when shopping around, while monthly service fees must also be carefully taken into account. Itemize Your Deductions As some seniors may find the cost of medical alert systems prohibitive, others may be eligible to claim them as a tax deduction. To do so, users should submit invoices detailing equipment purchases, installation fees and monthly monitoring charges; as well as provide receipts and invoices documenting these items purchased and itemize deductions on Schedule A of their tax returns. Often long-term care insurance plans cover this expense in part; Medicare Advantage waivers or non-Medicare assistance programs may provide financial support too. Safety for older adults living alone or suffering from chronic health conditions that diminish balance is of great concern, so medical alert systems offer family peace of mind that should an emergency arise, help can reach them even if they cannot get to the phone or door themselves. Tax-deductibility of medical alert systems requires itemizing deductions that exceed 7.5% of adjusted gross income (AGI). Personal medical alert systems and the costs associated with health information plans that store records may also qualify as tax deductions; for further guidance please contact a qualified tax professional and refer to IRS Publication 502. Tax-Advantaged Accounts Although medical alert systems aren't specifically listed as eligible deductions on your itemized tax return, the IRS allows seniors to deduct expenses related to maintaining independence and safety as part of itemized deductions. Medical information storage costs also qualify for deductions. Before investing in one, be sure to speak to a tax professional and consult IRS publication 502 for a complete list of expenses eligible for deduction. As you shop around for service providers, be sure to ask what their base monthly fee entails so it fits with your budget. Add-ons and extras may vary significantly between providers; their impact should also be taken into consideration as may cancellation fees, which could become expensive should you switch providers or decide not to renew. Tax-advantaged accounts are designed to encourage saving for specific expenses or goals such as retirement, education costs or healthcare costs. They offer tax advantages like deductible contributions, deferred earnings and tax-free withdrawals - so if you don't already use one it might be wise to explore options such as 529 college savings plans, health savings accounts (HSAs), individual retirement arrangements (IRAs). A tax advisor can assist in selecting an ideal option suited for your unique financial circumstances. Medicare Medical alert systems provide seniors living alone with peace of mind at an affordable price, yet can add up quickly in monthly monitoring fees that may or may not be covered by their senior health insurance plans. Some long-term care and Medicare Advantage plans cover them however and the costs may even be tax-deductible! As part of their tax filing preparations, individuals must collect receipts and invoices related to equipment purchases, installation fees and monitoring charges for medical alert systems. Doing this will demonstrate their expenses are legitimately related to medical care needs - these documents will allow one to claim medical alert system expenses as medical expenses on Schedule A of their annual tax returns. Non-Medicare members or those enrolled in comparable health plans who wish to enroll can use the Special Enrollment Period (SEP) to secure premium Part B and Part A coverage. This SEP begins the month after an individual notifies Social Security of their intention and ends six months later; those eligible include volunteers abroad, TRICARE beneficiaries or people currently in prison - for more information visit this CMS resource page. Insurance Similar to many medical devices, medical alert systems do not fall within the IRS' list of tax-deductible expenses; however, if you itemize deductions and your physician has prescribed it as a way to prevent serious injuries caused by unavoidable falls, its monthly fee may be eligible for deduction. Consult a tax professional and review IRS Publication 502 for further guidance regarding potential deductions related to home-based emergency response systems. If you don't qualify to itemize, funds from an employer-sponsored flexible spending account (FSA), health savings account (HSA), or other tax-advantaged accounts may still be used to cover the system and related fees. non removable tracking bracelet for dementia patients Furthermore, check with your plan administrator or policy documents to determine if long-term care insurance covers it as well. When purchasing a medical alert system, try to avoid long-term contracts as much as possible. When possible, opt for short-term agreements so you can return it if it doesn't meet your needs; most medical alert companies provide trial periods so you can evaluate both equipment and service prior to signing a contract; some even offer money-back guarantees in the case of dissatisfaction; always read through any terms and conditions carefully as you may incur cancellation fees or refund fees in some instances. My website: https://getfamilyr.com/dementia/