Tax Benefits for Teachers: Maximizing Your Savings
As a teacher, you may be wondering what tax benefits you are eligible for. In this blog post, we will discuss the tax deductions and credits available to teachers.
How much can teachers write off in taxes for the 2022 Tax Year?
Teachers are allowed to deduct unreimbursed expenses related to their job as an educator. The maximum amount that teachers can deduct is $300. Married to another teacher? If you are filing jointly, you can both claim the $300 deduction for a max of $600. You can't split the $600 any way you want (Spouse A spent $100 and Spouse B spent $500) - each spouse can only use $300.This also means that if you spend more than $300 on eligible expenses, you can only deduct up to $300 on your tax return.
How do I qualify for the Educator Expense Deduction?
If you worked as a classroom teacher, out-of-classroom instructor, guidance counselor, school principal, assistant principal, or other school support staff for students in kindergarten through 12th grade, you can claim this deduction. If you worked at a public, private, or religious elementary or secondary school for at least 900 hours, you can claim this deduction.Note, if you are homeschooling your child, you cannot claim this deduction. You also cannot claim the deduction if you work in a college or a post-secondary school.
The last requirement is that you spent money on qualified educator expenses. What are qualified educator expenses, you ask?
What expenses can teachers claim on taxes?
Eligible expenses that can be claimed as unreimbursed expenses by teachers include:
If you received reimbursement for the supplies you purchased, you cannot claim the deduction. If a school district, the school itself, a teacher's union, the Parent-Teacher Association (PTA), or someone else paid you for the money you spent on classroom materials, you cannot deduct it from your tax return. - Classroom supplies such as pencils, paper, and books
- Educational materials and books for students
- Physical education equipment (for gym teachers)
- Computer equipment and software
- Any item that is helpful to the students and the classroom
- Home office expenses if the teacher uses a dedicated home office for work-related purposes - your kitchen table doesn't count!
- The home office expenses are only deductible on your state taxes for Alabama (AL), Arkansas (AR), California (CA), Hawaii (HI), Minnesota (MN), New York (NY), Pennsylvania (PA)
It is important to keep accurate records and receipts for all eligible expenses in order to claim them on your tax return.
Is there anything else I can claim as an expense?
After the pandemic, the Tax Relief Act of 2020 made a provision for educators to deduct expenses tied to the prevention of spreading COVID-19. Common sanitizing items you can deduct are:
- Face masks
- Disposable gloves
- Disinfectants
- Hand soap and sanitizers
- Air purifiers
- Items recommended by the Center for Disease Control (CDC)
Can you write off Teachers Pay Teachers (TpT) on taxes?
If a teacher purchases educational materials from Teachers Pay Teachers, they may be able to deduct the cost of those materials as an unreimbursed expense. However, it is important to keep detailed records and receipts to substantiate the expenses in case of an audit.
Takeaways
Teachers and other educators are eligible for the tax benefit of the Educator Expense Deduction which includes a $300 deduction for unreimbursed expenses. By keeping detailed records and receipts, teachers can maximize their tax savings and reduce their overall tax liability.
As a teacher, you work hard every day to educate and inspire the next generation. The last thing you want to worry about is navigating the complex world of taxes. That's why we strongly recommend using our comprehensive tax service - BYB Tax.
Our team of experts will help you file your taxes accurately and on time, ensuring that you receive the maximum possible refund. By using our service, you can focus on what you do best: teaching. Don't let tax season stress you out. Let us take care of the details so you can get back to doing what you love.
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Written by Keturah Miller, PSM I
Photo credit: Katerina Holmes, Tim Gouw, Antoni Shkraba
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