Hello community - I have a couple questions about TurboTax's calculation of total medical expenses, regarding both how it's shown in the tool and ultimately on Schedule A. For tax year 2024, for example, I had $3,220 in total out-of-pocket medical expenses (including premiums and anything else applicable, and excluding anything not applicable). But - TurboTax input $960 for some reason into Line 1 on Schedule A - that's the line BEFORE lines 2 and 3, which apply the 7.5% rule. In this case, 7.5% of my income was just over $3,220, so I would not have been able to deduct medical expenses anyway, but it seems to apply some math to the raw number that is supposed to be input into line 1, which (I believe) is incorrect. In other words, $960 doesn't match any single value, subtotal, or anything else related to my actual medical expenses for 2024. And, for this year (tax year 2025), I have entered $4,200 in out-of-pocket medical expenses and $800 in premiums, which should be a total of $5,000 in medical expenses (independent of and before the 7.5% calculation). I also entered my 1095-A info, and paid no other premiums in 2025 other than the $800 indicated above. But, the deductions and credits summary screen shows MORE than my $5,000 - it shows $5,600. I can't figure out what the source of the additional $600 is, and am concerned when I go to finalize, it's going to do the simple line entries on Schedule A incorrectly. All other deductions and credits look exactly correct and match what I entered. I am wondering if someone can explain whether I should be concerned about this and why TurboTax doesn't seem to deal with medical expenses in a straight-forward manner that can be double-checked by the user like everything else. Thank you in advance for your input!
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The discrepancy sounds like it's coming from a carryover of premium payments on your 1095-A. The amount that should be carried over from that form is the total of column C as well as any premium amount that you may have to repay as part of your tax return.
If you have underestimated your income when applying for the marketplace healthcare coverage the premium subsidy that you received may have been more that it was supposed to be. In that case you have to pay extra with your tax return. If you have overestimated the amount that you were supposed to earn during the year then the premium subsidy that you received was not big enough and you will receive a credit on your tax return. These can effect your medical deduction.
The discrepancy sounds like it's coming from a carryover of premium payments on your 1095-A. The amount that should be carried over from that form is the total of column C as well as any premium amount that you may have to repay as part of your tax return.
If you have underestimated your income when applying for the marketplace healthcare coverage the premium subsidy that you received may have been more that it was supposed to be. In that case you have to pay extra with your tax return. If you have overestimated the amount that you were supposed to earn during the year then the premium subsidy that you received was not big enough and you will receive a credit on your tax return. These can effect your medical deduction.
Thank you for leading me to the solution! I see now that the extra amount that TurboTax added to the sum of my out-of-pocket medical expenses was the amount I need to pay back because I got too much premium subsidy during the year PLUS the difference between columns A and C on my 1095-A. That's helpful that the premium subsidy payback amount is considered a medical expense for itemizing deductions and is automatically added - I just couldn't tell what was going on behind the scenes because TurboTax doesn't show or explain that (at least not that I could see). In any case, thanks again! I'll make a note of this for future years.
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