2018 Educator Expense Deduction
The 2018 Educator Expense Deduction is $250.
Effective 2018-01-01Source: Rev. Proc. 2017-58 (IRS)Verified 2026-08-29
Compared with 2017
Every figure on this page is unchanged from 2017.
| Item | 2017 | 2018 | Change |
|---|---|---|---|
| Maximum deduction | $250 | $250 | +$0 (+0.0%) |
Who it applies to
Eligible educators - teachers and other qualified school personnel - who incur unreimbursed classroom expenses in taxable years beginning in 2018.
What changed this year, and why
For taxable years beginning in 2018, the maximum above-the-line deduction for eligible educator expenses under IRC § 62(a)(2)(D) is $250. The deduction covers expenses an eligible educator pays for books, supplies (excluding nonathletic supplies for health or physical education courses), computer equipment (including related software and services), and other equipment and supplementary materials used in the classroom.
Common questions
- What expenses qualify for the educator expense deduction?
- An eligible educator is a person who qualifies under IRC § 62(a)(2)(D). The deduction covers expenses for books, supplies (other than nonathletic supplies for health or physical education courses), computer equipment (including software and services), and other equipment or supplementary materials used in the classroom.
The 900 hour rule, and who counts as an educator
For 2018, an eligible educator is defined as a kindergarten through grade 12 teacher, instructor, counselor, principal, or aide who worked in a school for at least 900 hours during a school year. This definition applies to educators in public and private elementary and secondary schools as determined under state law. If you meet this threshold, you can deduct up to $250 of qualified expenses you paid during the 2018 tax year on line 23 of your Form 1040. The 900-hour requirement must be met in a single school year, and the educator must work in a school that provides elementary or secondary education (kindergarten through grade 12). College professors and other postsecondary instructors do not qualify under this definition, even if they incurred unreimbursed classroom expenses. The hours can be accumulated across any school within the qualifying grade levels, and the educator does not need to work a full-time schedule as long as the 900-hour minimum is satisfied.
An eligible educator is a kindergarten through grade 12 teacher, instructor, counselor, principal, or aide who worked in a school for at least 900 hours during a school year.
2018 Instructions for Form 1040, U.S. Individual Income Tax Return (IRS)
What you may actually deduct
For the 2018 tax year, you may deduct qualified expenses up to $250 if you meet the eligible educator requirements. Qualified expenses are those that are ordinary and necessary, and they must fall into one of two categories. First, you can include amounts paid for professional development courses that are directly related to the curriculum you teach or to the students you teach. Second, you can include amounts paid for books, supplies, equipment (including computer equipment, software, and services), and other materials used in the classroom. An ordinary expense is defined as one that is common and accepted in your educational field. A necessary expense is one that is helpful and appropriate for your profession as an educator, and it does not have to be required to be considered necessary. These definitions set the boundaries for what you may claim; expenses outside these categories do not qualify for the deduction.
Qualified expenses include ordinary and necessary expenses paid: • For professional development courses you have taken related to the curriculum you teach or to the students you teach, or • In connection with books, sup- plies, equipment (including computer equipment, software, and services), and other materials used in the classroom.
2018 Instructions for Form 1040, U.S. Individual Income Tax Return (IRS)
Home schooling and health class supplies are out
Even if you are an eligible educator, not everything you buy counts toward the deduction. The IRS specifically excludes certain categories from qualified expenses. Qualified expenses don't include expenses for home schooling or for nonathletic supplies for courses in health or physical education. This means that if you are home schooling your children, the supplies and curriculum materials you purchase for that purpose do not qualify for the educator expense deduction. Similarly, if you teach health or physical education, supplies that are nonathletic in nature (such as textbooks, diagrams, or written materials) are excluded from the deduction. Only athletic supplies used in those courses would potentially qualify. The exclusion applies regardless of whether the home schooling meets state requirements or whether the health class materials are ordinary and necessary for your teaching duties. The deduction is limited to expenses directly connected with classroom instruction in a qualifying school setting, not instruction provided in a home environment.
Qualified expenses don’t include ex- penses for home schooling or for non- athletic supplies for courses in health or physical education.
2018 Instructions for Form 1040, U.S. Individual Income Tax Return (IRS)
Four amounts that cut the deduction first
Before you calculate your deduction, you must reduce your qualified expenses by certain nontaxable amounts you received. You must reduce your qualified expenses by the following amounts: Excludable U.S. series EE and I savings bond interest from Form 8815, nontaxable qualified tuition program earnings or distributions, any nontaxable distribution of Coverdell education savings account earnings, and any reimbursements you received for these expenses that weren't reported to you in box 1 of your Form W-2. These four categories represent funds that were already provided to you on a tax-free basis or were reimbursed without being taxed as income. If you received tax-free savings bond interest to pay for education expenses, that amount must be subtracted from your qualified expenses before you claim the educator expense deduction. The same applies if you received distributions from a qualified tuition program or Coverdell ESA that were not included in your taxable income. Finally, if your school reimbursed you for supplies or materials but did not report that reimbursement as wages in box 1 of your W-2, you must reduce your deduction by that reimbursement amount.
You must reduce your qualified ex- penses by the following amounts. • Excludable U.S. series EE and I savings bond interest from Form 8815. • Nontaxable qualified tuition pro- gram earnings or distributions. • Any nontaxable distribution of Coverdell education savings account earnings. • Any reimbursements you received for these expenses that weren’t reported to you in box 1 of your Form W-2.
2018 Instructions for Form 1040, U.S. Individual Income Tax Return (IRS)
Two educators on one joint return
When both spouses on a joint return work as educators, the deduction rules provide special treatment. If you and your spouse are filing jointly and both of you were eligible educators, the maximum deduction is $500. However, neither spouse can deduct more than $250 of his or her qualified expenses on line 23. This means that each spouse is treated separately for purposes of the deduction limit. Even though you file one joint return and can claim up to $500 total, the $250 per-person cap still applies individually. If one spouse has expenses that exceed the individual limit, the excess cannot be transferred to the other spouse. The $500 maximum is only reached if both spouses have at least the individual maximum in qualified expenses. This rule prevents one spouse from using the other spouse's unused deduction limit. Each educator spouse must independently meet the definition of eligible educator and work the required minimum hours in a school to qualify for their portion of the deduction.
If you and your spouse are filing jointly and both of you were eligible educators, the maximum deduction is $500. How- ever, neither spouse can deduct more than $250 of his or her qualified expen- ses on line 23.
2018 Instructions for Form 1040, U.S. Individual Income Tax Return (IRS)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
Rev. Proc. 2017-58 (IRS)
- Maximum deduction
and other equipment, and supplementary materials used by the eligible educator in the classroom is $250.