Reference no: EM132787950

Richard, age 50, is employed as an actuary. For calendar year 2020, he had AGI of $120,000 and paid the following medical expenses:

Medical insurance premiums                                                            $7,300
Doctor and dentist bills for Derrick and Jane (Richard's parents)               7,900
Doctor and dentist bills for Richard                                                         5,100
Prescribed medicines for Richard                                                              830
Nonprescribed insulin for Richard                                                               1060

• Derrick and Jane would qualify as Richard's dependents except that they file a joint return. Richard's medical insurance policy does not cover them. Richard filed a claim for $4,800 of his own expenses with his insurance company in November 2020 and received the reimbursement in January 2021. Further, Richard's doctor has recommended that he place an elevator in his personal residence due to his limited physical mobility. The elevator cost $15,000 (including installation) and an appraisal (which cost $200) indicated that the capital expenditure increased the value of the home by $5,000. Richard also paid $4,000 for a rhinoplasty because he thought it made his nose look better.

Porblem 1: What is Richard's maximum allowable medical expense deduction for 2019?