Teachers can deduct up to $300 for refundable class fees for the 2022 tax year

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Teachers will be able to deduct up to $300 for unreimbursed classroom supplies when filing their 2022 tax returns.


Key points

  • Eligible teachers can get a tax deduction for classroom expenses they purchase themselves.
  • The IRS is increasing the maximum deduction for the 2022 tax year.

As Teacher Appreciation Week comes to an end, it’s a good time to remember that many educators are still using their own money to buy necessary school supplies. Although teachers can benefit from a week of appreciation, many remain underpaid for their hard work.

The IRS recently announced an update that will impact teachers purchasing their own classroom supplies. The maximum deduction for educator expenses will increase for the 2022 tax year. Find out what you need to know about this news.

If you’re a teacher who bought school supplies with your own money, don’t miss the teacher expense tax deduction.

An educator is eligible if they are a K-12 teacher, instructor, counselor, principal, or aide in a public or private school for at least 900 hours during the school year.

The educator expense deduction provides relief

Eligible teachers can get a tax deduction for unreimbursed class fees. In the 2021 tax year, educators could deduct up to $250 each for reimbursable school supplies. However, the IRS has announced changes for the 2022 tax year.

For tax year 2022 (the tax return you will file in 2023)educators will be able to deduct up to $300 each for reimbursable class fees.

Although this is only a $50 increase per educator, it is something to consider.

If you haven’t yet filed your 2021 tax return, the maximum deduction is still $250 per educator.

What educators need to know for the 2022 tax year

Are you new to this tax relief for teachers? Here’s what you need to know. You do not need to itemize your taxes to benefit from this deduction.

Classroom supplies and materials that are not reimbursed by your school are eligible. If you buy items like equipment, books, supplies, or software, keep copies of your receipts so you can take advantage of this deduction when tax season approaches.

  • For the 2022 tax year, individual teachers can deduct up to $300 for out-of-pocket expenses.
  • If you are a married couple filing jointly and you are both educators, you can each deduct up to $300 for a total deduction of $600.

Inflation has had an impact on all of our finances. This is also true for teachers. Hopefully this little tax change will make a difference. The IRS noted that this limit could be increased in $50 increments based on inflation adjustments in future years.

If you’re a busy teacher who regularly buys your classroom supplies with money from your paycheck, don’t miss this tax change as you plan for the upcoming school year.

Another way to keep more money in your pocket is to take advantage of teacher discounts and offers available. You may be able to spend less money on clothing, household essentials, and electronics.

If you’re looking for more ways to save money and better manage your finances, these personal finance resources may be helpful.

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