Let’s face it: being a teacher often means dipping into your own pocket. Whether it’s for classroom supplies, training or prepping at home, educators do it because they care… but it’s good to know that come tax time, there’s an opportunity to claim some cash back.
To make things a little easier, we’ve spoken to the ATO and created a simple guide to the work-related deductions that could help put some of that money back in your pocket, plus a few things to steer clear of.
Can you claim it?
Before we get into it, here’s a simple test to work out if your item could be tax deductible:
- You paid for it yourself and weren’t reimbursed
- It directly relates to your job as a teacher
- You’ve kept a record, like a receipt
If you can tick all three boxes, there’s a good chance you can claim it. And if it’s partly personal and partly work-related, you can only claim the work-related portion.
Teaching aids
Expenses for teaching supplies directly related to your job such as handouts, musical instruments, or sports equipment are generally deductible. However, you can't claim:
- Items supplied to students for their personal use
- Gifts purchased for students
- Personal expenses for students (e.g., paying for their lunch)
Working from home
If you’re prepping lessons or marking papers at home, you may be able to claim a deduction for some of the running costs, like electricity, internet, mobile use and stationery. There are two ways to do this, and which one you choose depends on how detailed your records are.
| Fixed rate method |
Actual cost method |
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Lets you claim 67 cents for every hour you work from home. This rate covers things like power, internet, phone use, and consumables. To use it, you’ll need a record of your hours worked and at least one bill or receipt for each type of cost.
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Allows you to claim a portion of each expense based on how much you use it for work. That might be 30% of your electricity or internet bill if that’s roughly the time you spend working from home. You’ll need detailed receipts and calculations to support your claim.
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Whichever method you choose, just remember that personal items like coffee, tea or anything your school normally provides can’t be claimed, even if you're working hard from the kitchen table. You can check out more from the ATO on this here.
Clothing and laundry
You generally can’t claim your latest clothes haul. But you can claim the cost of buying, repairing or cleaning a compulsory uniform, like one with a logo that’s specific to your school.
But standard professional clothing (even if you only wear it at school) doesn’t count. That includes things like business shirts, shoes or non-logo sportswear. Sorry, P.E. teachers – those sneakers don’t count.
You can claim the cost of protective clothing you wear to protect yourself from specific risks of injury or illness at work. For example, protective eyewear, gloves and hard hats worn by a design and technology teacher. A non-compulsory uniform that your employer registers on the Register of Approved Occupational Clothing with AusIndustry (check with your employer if you’re not sure).
For more information about clothing you can claim, see Clothing, laundry and dry-cleaning expenses.
Car expenses
Driving from one school to another for exam moderation? Or heading to a second job after school? That travel might be deductible. If you use your own car, you’ll need to keep a logbook or use the ATO’s cents-per-kilometre method.
However, you can’t claim the usual commute between home and your regular school, or travel in a vehicle provided by your employer.
Renewing your teaching registration
The bad news is that while the initial cost of obtaining your teaching registration is not tax deductible, the good news is you can claim the cost of renewing your teaching registration if you’re working as a teacher at the time you renew and you need it to work in your employment.
General expenses
But wait, there’s more. Some other expenses you might be able to claim include:
- union fees,
- professional memberships; and
- work-related subscriptions, plus books, magazines and journals.
Gifts and donations to registered charities may also be able to be claimed, as long as you haven’t received anything in return for your donation, such as raffle tickets or novelty items. But remember, the donation must be made to a deductible gift recipient.
You might also be able to claim bank fees charged on investments, as well the cost of income protection insurance and any fees paid to your tax agent for preparing your annual return.
If you need some help working out what’s deductible in your situation, have a chat with your tax agent or visit the ATO’s tailored guide for what teachers can claim. Always keep a thorough record of your paperwork to help make submitting your tax return a seamless process. The myDeductions tool within the ATO app can help you keep track of all your records by storing them digitally on your mobile device. This app is free to download from your app store of choice.
