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Itemized deductions are tax savers, too. Be sure to deduct all you have coming to you. To claim certain types of itemized deductions, your total expense must be more than a "floor" amount set by law. For instance, your medical expenses must exceed 7.5% of your AGI. Your unreimbursed employee business expenses and other miscellaneous expenses combined are deductible only to the extent they exceed 2% of AGI. One way to deduct more in these categories is to "bunch" two years of expenses into one year by:
If your total itemized deductions are equal to or slightly less than the standard deduction, bunching other deductions not subject to the floor can give you a tax benefit. Consider taking a standard deduction every other year and bunching expenses to get the largest itemized deduction the other years. Consider this:
Most of these items rob Peter to pay Paul - they will reduce the tax you pay this year at the expense of paying more of next year's taxes. These tactics will have to be repeated next year to get a normal deduction.