(Undated) — Older adults have many advantages when it comes to saving tax dollars. Neil Frankel, a longtime CPA with his own practice in New York City, says the standard deduction is higher for people 65 and older.
“If you’re 65 you get $1,850 more in a standard deduction if you are single and you get $1,500 more per person if you are married,” explained Frankel.
Frankel also says one thing that most people don’t know concerns the RMD, or Required Minimum Distribution, that people must take out at age 73 from their retirement accounts. He says only about two-percent of tax-payers know that you can take 100-thousand dollars of that money and directly transfer it into a charity, which in turn would take 100-thousand dollars off your income.
Finally, Frankel reminds 65-and-older adults that the medical insurance premiums taken out when applying for Medicare are deductible as medical expenses.
