Definition

Able to be subtracted or taken away, often referring to amounts that can be deducted from taxes or expenses.

Example

Many medical expenses are deductible on your tax return.

Conversation

Have you looked into your tax return yet this year?

Not really, I’m still figuring out what’s deductible.

You should definitely check for any deductible expenses, it can save you a lot.

Good idea! I’ll make a list to see what I can include.

Synonyms & Antonyms

Definition

An amount that must be paid by the insured before an insurance company will pay a claim, or an expense that can be subtracted from taxable income.

Example

The deductible on my health insurance plan is $500, meaning I have to pay that amount before my insurance starts covering costs.

Conversation

I just found out my car insurance has a high deductible.

Really? What does that mean for you?

It means I'll have to pay a lot out of pocket before they cover anything.

Root Explanation

Deductible → It is formed from "deduct" (from Latin "deducere", meaning to lead away) and the suffix "-ible" (meaning capable of being). The word "deductible" refers to an amount that can be taken away or subtracted from a total, particularly in financial contexts.

Memory Tip

Think of something that is 'capable of being taken away' — 'deduct' means to lead away, and '-ible' means capable of. This helps you remember that deductible refers to an amount that can be subtracted.

Visually Confused Words