I am just at the point where my out of pocket medical costs are at the 7.5% of my AGI. I talked to my dentist who agreed that I would eventually need to crown my last three molars that are currently uncrowned. I've already have paid for two crowns and a root canal, plus two hearing aids and new lenses for my glasses in 2009. Geez, I'm only 52.
I ran the numbers through last years Turbo Tax and I have a 33% off sale going on in my mouth at this point. I'm going to proactively crown the last three, get one paid for from the deductions and hopefully save myself future root canals.
I'm also going to take advantage of some of the energy tax credits. I am getting a wood insert for my fireplace. The tax credit includes the insert, installation costs, liners and facing for the inserts so I will save about $1,000 bucks. The price of the insert is pretty good to begin with, about $500 below list. This is the Vermont Castings Montpelier non-catalytic wood insert.
I'm also having insulation blown into the walls and attic and hung between the exposed joists in the basement. Then there are the two storm doors. We wanted screen doors, but if I get storm doors with screens built in for the summer I can get the tax credit. Plus, again I will save on heating costs and avoid wanting an AC because I can open all the doors in the summer and get a nice cross breaze.
I love saving money on things that will eventually pay for themselves.
My poor brother installed a new furnance, A/C and duct work in 2008. I don't think he got squat for a tax break.