IVF Tax Deductions USA 2026: How to Save Thousands on Your Taxes

Published: January 2026 · 10 min read

7.5%

AGI Threshold

$3,000-$8,000

Avg Tax Savings

$8,300

Max HSA (Family)

100%

IVF Deductible

Yes, IVF is fully tax-deductible in the USA as a qualified medical expense. With IVF costing $25,000-$35,000 per cycle, claiming deductions and using HSA/FSA accounts can save you $3,000-$8,000+ in taxes. This guide explains exactly what's deductible, how to claim it, and strategies to maximise savings.

Is IVF tax deductible in the USA?

Yes, IVF is 100% tax-deductible as a medical expense under IRS rules. You can deduct IVF treatment costs, medications, testing, travel, and related expenses. Requirements: (1) Must itemize deductions (vs standard deduction), (2) Total medical expenses must exceed 7.5% of your AGI (Adjusted Gross Income), (3) Only the amount ABOVE 7.5% is deductible. Example: $100,000 AGI with $30,000 IVF costs = $22,500 deductible (saves $3,000-$8,000 depending on tax bracket).

Can I use my HSA or FSA for IVF?

Yes, you can use HSA (Health Savings Account) or FSA (Flexible Spending Account) pre-tax dollars for IVF treatment, medications, and all related expenses. 2026 limits: HSA $4,150 (individual) or $8,300 (family), FSA $3,200. Benefits: Reduce taxable income, save 20-35% depending on tax bracket, no 7.5% AGI threshold required. All IVF expenses are HSA/FSA eligible including ICSI, PGT-A, embryo storage, and travel.

What IVF expenses are tax deductible?

Tax-deductible IVF expenses include: all IVF treatment costs (retrieval, transfer, monitoring), fertility medications, ICSI/PGT-A/embryo freezing, doctor visits and consultations, fertility testing (AMH, semen analysis), travel to clinic (mileage $0.21/mile or actual costs, parking, tolls, lodging), and medical insurance premiums (portion not already deducted pre-tax). NOT deductible: childcare during treatment, work clothes, regular food, non-medical supplements.

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Spreadsheet template to track all deductible expenses and calculate your tax savings automatically.

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What IVF Expenses Are Tax Deductible?

The IRS considers IVF a qualified medical expense for treating infertility. Nearly all IVF-related costs are deductible:

DEDUCTIBLE: IVF Treatment Costs

  • • Initial consultation and fertility testing (AMH, FSH, semen analysis)
  • • All monitoring appointments and ultrasounds
  • • Egg retrieval procedure and anaesthesia
  • • Embryo fertilisation and culture
  • • Embryo transfer procedure
  • • ICSI (Intracytoplasmic Sperm Injection)
  • • PGT-A genetic testing
  • • Assisted hatching
  • • Embryo freezing and storage fees
  • • Frozen embryo transfer (FET) cycles
  • • Egg or sperm freezing for fertility preservation

💊DEDUCTIBLE: Medications

  • • All fertility medications (Gonal-F, Menopur, Follistim, etc.)
  • • GnRH antagonists (Cetrotide, Ganirelix)
  • • Trigger shots (Ovidrel, Lupron)
  • • Progesterone support (Endometrin, Crinone, PIO)
  • • Birth control pills for cycle regulation
  • • Antibiotics prescribed for IVF
  • • Prenatal vitamins prescribed by doctor

🚗DEDUCTIBLE: Travel Expenses

  • • Mileage to/from clinic ($0.21 per mile for medical, 2026 rate)
  • • OR actual car expenses (gas, oil) + parking & tolls
  • • Public transportation (bus, train, taxi, Uber)
  • • Lodging (if clinic is far from home, reasonable amount)
  • • Meals are NOT deductible (unless overnight travel for medical care)

🏥DEDUCTIBLE: Other Related Costs

  • • Donor egg/sperm costs
  • • Gestational carrier/surrogacy medical costs
  • • Acupuncture for fertility (if prescribed by doctor)
  • • Medical insurance premiums (portion covering medical expenses, if not already deducted pre-tax)
  • • Legal fees for surrogacy or donor contracts (medical portion only)

NOT DEDUCTIBLE

  • • Over-the-counter vitamins/supplements (unless prescribed)
  • • Gym memberships or exercise classes
  • • Special foods or organic diet
  • • Childcare during appointments
  • • Work clothes
  • • Therapy/counselling for non-medical stress management (medical psych treatment IS deductible)
  • • Cosmetic procedures

Requirements to Claim IVF Tax Deductions

1. You Must Itemize Deductions

To claim medical expenses, you must itemize instead of taking the standard deduction:

  • 2026 Standard Deduction: $13,850 (single), $27,700 (married filing jointly)
  • • Only itemize if total itemized deductions (medical + mortgage interest + state taxes + charity) exceed standard deduction
  • • Use IRS Form Schedule A to itemize

2. Medical Expenses Must Exceed 7.5% of AGI

You can only deduct the amount ABOVE 7.5% of your Adjusted Gross Income:

Example:

• Your AGI: $100,000

• 7.5% threshold: $100,000 × 0.075 = $7,500

• Total medical expenses: $30,000 (IVF)

• Deductible amount: $30,000 - $7,500 = $22,500

3. Expenses Must Be in the Tax Year You Claim

  • • Deduct expenses in the year you PAID them (not when service was provided)
  • • If you paid with credit card in December 2025, deduct on 2025 return (even if you pay card bill in 2026)
  • • If insurance reimbursed you, subtract reimbursement from deductible amount

When Itemizing Doesn't Make Sense

If your AGI is very high or IVF costs are relatively low, you may not benefit from itemizing. Example: $200,000 AGI with $20,000 IVF costs. Threshold is $15,000 (7.5%), so only $5,000 is deductible. With other deductions, you may still benefit, but consult a tax professional.

How to Claim IVF Tax Deductions (Step-by-Step)

1

Gather All Receipts & Documentation

Collect: clinic invoices, pharmacy receipts, mileage log, credit card statements, cancelled checks, insurance EOBs (Explanation of Benefits). Keep for 7 years.

2

Calculate Total Medical Expenses

Add up ALL medical expenses for the year (IVF + doctor visits + prescriptions + dental + vision + etc.). Include all family members.

3

Subtract Insurance Reimbursements

Deduct only what YOU paid. If insurance reimbursed $5,000 of a $30,000 bill, you can only deduct $25,000.

4

Calculate 7.5% AGI Threshold

Find your AGI (line 11 of Form 1040). Multiply by 0.075. This is your threshold.

5

Complete IRS Form Schedule A

Enter medical expenses on Schedule A, Line 1-4. The form will calculate your deduction automatically (total minus 7.5% AGI).

6

File Your Tax Return

Attach Schedule A to Form 1040. You don't need to submit receipts, but keep them in case of audit.

Tax Software Makes It Easy

TurboTax, H&R Block, and other tax software will walk you through itemizing medical expenses with simple questions. Just have your receipts organised. For complex situations (self-employment, large deductions), consider hiring a CPA.

Using HSA/FSA for IVF: Maximum Tax Savings

HSA and FSA accounts offer even better tax benefits than itemised deductions because there's NO 7.5% AGI threshold, and contributions reduce your taxable income.

HSA (Health Savings Account)

2026 Contribution Limits:

  • • Individual: $4,150
  • • Family: $8,300
  • • Age 55+: Add $1,000 catch-up

Benefits:

  • • Triple tax advantage: deductible going in, grows tax-free, withdrawals tax-free for medical
  • • Rolls over year to year (no "use it or lose it")
  • • Can invest funds for growth
  • • Portable (keep if you change jobs)

Requirements:

Must have High Deductible Health Plan (HDHP): $1,600+ individual, $3,200+ family deductible (2026)

FSA (Flexible Spending Account)

2026 Contribution Limit:

  • • $3,200 maximum

Benefits:

  • • Pre-tax contributions reduce taxable income
  • • Available immediately (can spend before fully contributed)
  • • No HDHP requirement

Drawbacks:

  • • "Use it or lose it" (forfeit unused funds, though some employers allow $640 carryover or 2.5 month grace period)
  • • Employer-sponsored only
  • • Cannot have FSA and HSA simultaneously (Limited Purpose FSA okay for dental/vision only)

HSA/FSA Strategy for IVF

  1. 1. Max out contributions BEFORE starting IVF (if possible)
  2. 2. Time IVF expenses to match FSA plan year (avoid forfeiture)
  3. 3. Pay with HSA/FSA debit card directly or reimburse yourself
  4. 4. Both partners can contribute if both have accounts
  5. 5. Use HSA for IVF even if you pay out-of-pocket first (reimburse yourself later, no time limit)
  6. 6. Save receipts (needed for reimbursement and in case of audit)

Tax Savings Example (HSA)

• Contribute $8,300 to family HSA (max)

• Use for IVF medications ($5,000) + treatment ($3,300 remaining)

• Tax savings: $8,300 × 24% (tax bracket) = $1,992 saved

• Plus 7.65% FICA (if self-employed) = $2,627 total saved

Real Tax Savings Examples

Example 1: Moderate Income, Large IVF Expenses

Scenario:

  • • Married filing jointly
  • • AGI: $100,000
  • • IVF costs: $35,000 (2 cycles)
  • • Other medical: $3,000
  • • Tax bracket: 22%

Calculation:

  • • Total medical: $38,000
  • • 7.5% AGI threshold: $7,500
  • • Deductible: $38,000 - $7,500 = $30,500
  • • Tax savings: $30,500 × 22% = $6,710

Result: $6,710 federal tax savings + state tax savings

Example 2: High Income, Itemising Already

Scenario:

  • • Married filing jointly
  • • AGI: $250,000
  • • IVF costs: $40,000
  • • Other medical: $5,000
  • • Already itemising (mortgage interest $25,000, state taxes $10,000)
  • • Tax bracket: 32%

Calculation:

  • • Total medical: $45,000
  • • 7.5% AGI threshold: $18,750
  • • Deductible: $45,000 - $18,750 = $26,250
  • • Tax savings: $26,250 × 32% = $8,400

Result: $8,400 federal tax savings

Example 3: Using HSA to Maximise Savings

Scenario:

  • • Married filing jointly
  • • AGI: $150,000
  • • IVF costs: $30,000
  • • HSA contribution: $8,300 (max family)
  • • Tax bracket: 24%

Strategy:

  • 1. Contribute $8,300 to HSA (pre-tax) → saves $1,992 (24% bracket)
  • 2. Use HSA for $8,300 of IVF costs
  • 3. Itemise remaining $21,700 of IVF costs:
  • • 7.5% AGI: $11,250
  • • Deductible: $21,700 - $11,250 = $10,450
  • • Saves: $10,450 × 24% = $2,508

Total savings: $1,992 + $2,508 = $4,500

Record-Keeping Tips for IVF Tax Deductions

What to Keep

  • Clinic invoices: Itemised bills showing each service and date
  • Pharmacy receipts: All fertility medication receipts
  • Credit card/bank statements: Proof of payment
  • Insurance EOBs: Shows what insurance paid vs what you paid
  • Mileage log: Date, destination, miles for each medical trip
  • Travel receipts: Hotel, parking, tolls if applicable
  • Cancelled checks or payment confirmations

Digital Organisation System

  1. 1. Create "IVF Tax 2026" folder on computer or cloud
  2. 2. Scan/photograph every receipt immediately
  3. 3. Create subfolders: Treatment, Medications, Travel, Insurance
  4. 4. Use spreadsheet to track: Date, Vendor, Description, Amount, Category
  5. 5. Back up to cloud (Google Drive, Dropbox) and external drive

Mileage Log Template

DateDestinationPurposeMiles
1/15/26ABC Fertility ClinicBaseline ultrasound24
1/20/26ABC Fertility ClinicMonitoring visit24

Total miles × $0.21 (2026 medical mileage rate) = deductible amount

How Long to Keep Records

Keep all IVF tax records for at least 7 years. The IRS can audit returns up to 3 years back (6 years if substantial underreporting), but 7 years provides a safety margin. Store both digital and physical copies.

Strategies to Maximise Your IVF Tax Savings

1. Time Expenses Strategically

If possible, bunch IVF expenses into one tax year to exceed 7.5% AGI threshold. If you're close to the threshold in December, consider prepaying January appointments or medications.

2. Max Out HSA/FSA First

HSA/FSA dollars have NO 7.5% threshold, so they're better than itemised deductions. Contribute the maximum allowed BEFORE paying out-of-pocket for IVF.

3. Both Partners Contribute to HSAs

If both partners have HSA-eligible health plans, you can each contribute the family maximum ($8,300 each = $16,600 total), doubling your tax-advantaged savings.

4. Include ALL Medical Expenses

Don't forget non-IVF medical expenses when calculating deductions: dental work, vision care, therapy, prescriptions, insurance premiums. Every dollar counts toward exceeding the threshold.

5. Deduct Travel Even for Short Trips

Track every clinic visit mileage. At $0.21/mile, a 20-mile round-trip × 15 appointments = $63 deduction. Add parking ($5/visit × 15 = $75). These add up!

6. Consult a Tax Professional

For large IVF expenses ($30,000+) or complex situations (self-employment, multiple states, donor situations), hiring a CPA familiar with medical deductions can maximise savings and avoid mistakes. Cost: $300-$1,000, often pays for itself.

Summary: Maximising Your IVF Tax Savings

IVF is 100% tax-deductible, and with costs averaging $25,000-$35,000 per cycle, you can save $3,000-$8,000+ through itemised deductions and HSA/FSA strategies. The key is careful record-keeping, understanding the 7.5% AGI threshold, and maximising pre-tax accounts.

  • Nearly all IVF expenses are deductible (treatment, medications, travel)
  • Must itemize deductions and exceed 7.5% of AGI to claim
  • HSA/FSA provide better tax benefits (no threshold required)
  • Keep detailed records for 7+ years
  • Time expenses strategically to maximise deductions
  • Consult a tax professional for large expenses

Track Your IVF Expenses Automatically

IVFPath helps you track all your IVF expenses by category, generate tax reports, and organise receipts for filing. Simplify your tax preparation and maximise your deductions.

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Download: IVF Tax Deduction Checklist

Complete checklist of deductible expenses, calculation worksheet, and mileage log template.

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Frequently Asked Questions

References

Tax information based on IRS Publication 502 (Medical and Dental Expenses), IRS Publication 969 (Health Savings Accounts), and IRS Form 1040 Schedule A instructions (2026 tax year). HSA/FSA contribution limits from IRS Revenue Procedures. Consult a qualified tax professional for personalised advice. This article is for informational purposes only and does not constitute tax advice.