Can I Deduct That?

By Diamond Womack

“Can I deduct my student loan interest?”

This is a question we get all the time. And the short answer is: yes—but it depends on your income.

If you’re single (or a single mom, or just filing solo), the student loan interest deduction starts phasing out at $80,000 of income. For married couples filing jointly, that phase-out begins at $165,000.

Now, if you’re under that threshold, you might be eligible to deduct up to $2,500 in student loan interest you paid during the year. I always say: bring the form. We’ll plug it in and see if it helps reduce your taxable income. If it works—awesome. If not—no harm done. But hey, every little bit helps, right?

Is My Home Office Deductible?

Ah, the ol’ home office question. The answer here is yes and no (I know, not super satisfying, but hear us out).

If you run a profitable business or rental property, then yes—you can claim a home office deduction. But—and this is important—if your business operates at a loss, the IRS won’t let you take that deduction. So, the rule is: home office deductions only apply when you’re making money.

What Education Credits Can I Get?

There are two main education credits:

• AOTC (American Opportunity Tax Credit) – This one’s for the first four years of college. You can get up to $2,500 per eligible student, per year.
• LLC (Lifetime Learning Credit) – This kicks in after those first four years, and it’s worth up to $1,000 per person, per year.

So, if you’re in school (or helping someone who is), we’ll look at which one applies to you based on where you are in your education journey.

What About Medical Expenses?

Just because you had a rough health year doesn’t mean those expenses are automatically deductible.

Here’s the rule: your medical expenses must exceed 7.5% of your AGI (adjusted gross income) to even start counting. But even then, they only help if all your itemized deductions—think property taxes, mortgage interest, charitable donations, and medical costs—add up to more than the standard deduction.

So, if you’re not sure? Bring the receipts. Let’s total them up and see if it’s worth itemizing.

“I Just Don’t Get Taxes. Can You Explain?”

Of course! Taxes feel overwhelming because they’re a moving puzzle, but here’s the simple version:

You make money. That’s your income. Then you subtract certain deductions and credits—like the ones we’ve talked about. What’s left gets taxed.

Your income puts you in a tax bracket—anywhere from 12% to 32%, typically. If you have a job with a W-2, you’re paying some taxes throughout the year. But that doesn’t guarantee a refund.

Refunds happen when you paid more in taxes than you actually owed. If you didn’t pay enough? You’ll owe come tax time. Kids, education, medical costs, and home deductions can all shift that balance.

The bottom line? Every tax situation is unique. The more you know, the more you can save—or at least avoid surprises. Bring everything to the table: student loans, home office info, medical bills, school expenses… all of it.

Let’s work through it together, one deduction at a time.