Teacher’s Back-to-School Expenses Highlight Ongoing Challenges
As the new school year approaches, many educators are preparing not just for lessons and student engagement, but also for the financial burden of purchasing classroom supplies. For teacher Heather Fulmer, a special-education mathematics instructor in Arkansas, this means a significant investment in materials that will support her students’ learning. She has already spent between $600 and $700 of her own money on items such as pencils, binders, backpacks, paper, and snacks. This is only half of what she expects to spend before the school year ends.
Fulmer receives a $250 classroom allowance from her school district, located about 45 minutes east of Little Rock. However, creating a welcoming and comfortable learning environment requires more than just a small budget. The cost of maintaining a positive classroom atmosphere often exceeds what schools can provide, especially when it comes to ensuring that all students have the tools they need to succeed.
With the start of tax-filing season in January, teachers like Fulmer may find some relief through the recently passed federal tax and spending package. This law introduces broader deductions for out-of-pocket expenses related to school supplies. While this change is welcomed, experts argue that it may not fully address the growing costs associated with teaching, particularly as rising tariffs threaten to increase the price of essential classroom materials.
According to the U.S. Chamber of Commerce, tariff rates on back-to-school supplies have increased to an average of 18% in May and June, compared to 5% during the same period last year. These higher costs add to the financial pressure on educators who already spend significant amounts of their own money on classroom needs.
Currently, teachers can deduct up to $300 in unreimbursed expenses related to school supplies, while married couples filing jointly can deduct up to $600. This includes teaching and cleaning supplies, as well as certain professional development costs. The new tax law, known as the One Big Beautiful Bill Act, maintains this deduction but introduces additional changes.
One key update allows coaches and interscholastic sports administrators to include their unreimbursed equipment costs in the deduction. This could be beneficial for teachers who take on extra roles beyond the classroom. However, the definition of “interscholastic sports administrator” may need further clarification, according to Jodi Eckhout, a member of the American Institute of CPAs.
Eligible educators must work at least 900 hours per year in K-12 education to qualify for the deduction. The expanded definition of eligible professionals, including coaches and sports administrators, will apply starting in 2026. Teachers who meet these criteria can still claim the deduction alongside the standard deduction, making it an “above the line” benefit.
Many educators, like Fulmer, spend far more than the deductible limit on classroom supplies. Surveys suggest that out-of-pocket expenses range from $500 to $700 or more. While Fulmer believes the investment is worth it, she would prefer a higher deduction. Others, including Colin Sharkey of the Association of American Educators, have long advocated for a $1,000 educator-expense deduction to better reflect the reality of classroom costs.
The new tax law also offers another potential benefit: the ability to deduct expenses exceeding the $300 or $600 limit if teachers choose to itemize their deductions. However, this option is available to only a small percentage of taxpayers, as roughly 90% of households currently take the standard deduction. The law temporarily raises the state and local tax (SALT) deduction to $40,000, which may encourage some teachers to itemize if they live in high-tax states.
Beyond the SALT deduction, other factors can influence whether a teacher chooses to itemize, such as large medical bills or charitable contributions. For those who do, the new law could provide additional flexibility in managing their taxes.
In addition to these changes, teachers and aspiring educators may also qualify for other tax benefits. The lifetime-learning credit, worth up to $2,000, applies to undergraduate, graduate, and professional-degree courses. The American Opportunity Tax Credit, available for the first four years of higher education, offers up to $2,500 in benefits. Starting in 2026, these credits will require a Social Security number, limiting eligibility to citizens and authorized immigrants.
For educators like Fulmer, the combination of rising costs and limited tax relief continues to present challenges. Yet, with new opportunities emerging, there is hope that future policies will better support the financial needs of those dedicated to shaping the next generation of learners.