California currently has a Standard Medical Expense deduction of $120 per month under a project scheduled to last until September 30, 2025. This means that households with an elderly or disabled get a standard medical deduction amount of $120 per month if they can verify at least $35 per month of medical expenses.
Effective October 1, 2024, the Standard Medical Expense deduction will increase to $150 per month. This means that households with an elderly or disabled member and between $35 and $185 of medical expenses per month will get a standard $150 per month deduction. Households with over $185 in medical expenses will be able to deduct their actual medical expenses.
To pay for this increase in the Standard Medical Expense deduction, the Standard Utility Allowance offset will increase from $3 to $4 per month for all households starting October 1, 2024.
Failure to verify medical expenses is not a basis to deny or discontinue a case. If a household does not verify medical expenses, they will not get the medical expense deduction. The county must help applicants and recipients to get verification.
Eligible households must be informed about the new medical expense dedication amount and how to claim the medical expense deduction at both application and recertification. (ACL 24-59, August 16, 2024.)