Job-related Expenses Deduction
What is the job-related expenses deduction?
Do I qualify?
What paperwork do I need?
Related deductions and credits
More information
What is the job-related expenses deduction?
You might be able to deduct expenses related to your job if they are required by your employer or necessary to perform your job. You might also be able to deduct your expenses when looking for a job.
Some of the most common eligible expenses are listed here. If you have expenses not listed here, or if you need more information, see IRS Publication 529, Miscellaneous Deductions.
- Meals, entertainment, travel, and phone expenses directly related to your job
Note: You can't include the cost of commuting to and from your office or work site.
- Tuition and books required to perform your job, improve your skills, or maintain your current salary or status
- Purchase price and cleaning expense for uniforms or protective clothing required by your employer, including safety glasses and boots
- Expenses (such as fees, dues, and subscriptions) for membership in professional organizations
- Union dues or fees
- An office in your home used for your employer's convenience
- Transportation expense if you travel to more than one workplace. This includes public transportation fare and expenses for your vehicle. In the case of a personal vehicle, you can deduct tolls, parking fees, and mileage at the rate of 44.5 cents per mile.
Note: You can deduct vehicle expenses and other transportation expenses only if you travel to more than one workplace. You can't deduct commuting expenses to your main place of business.
- Equipment and tools required to perform your job
- Legal, licensing, and regulatory fees that are necessary for your job
- Medical examinations required by your employer
- Malpractice or liability insurance required by your employer
- Security clearance expenses
- Job-search expenses
Do I qualify for the job-related expenses deduction?
Eligibility requirements
- Expenses must be necessary and directly related to performing your job.
Example: You can deduct mileage costs to travel to a work-related function in your personal vehicle (aside from your daily commute), if the expenses are not reimbursed by your employer.
- If your employer reimbursed you for an expense, you can't deduct it.
- You get a deduction only for those job-related expenses that exceed 2% of your adjusted gross income (AGI).
Example: Your AGI is $40,000 and you have $1,000 in job-related expenses. You can deduct only $200. This is because you can't deduct the first $800 (or $40,000 x 2%), but you can deduct anything over that
Limitations of this deduction
- You can't deduct education expenses if they are necessary to meet the minimum requirements for your job.
Example: If you're an administrative assistant, the ability to type is a requirement of your job. In this case, you can't deduct typing classes.
Special circumstances or exceptions
- Qualified performing artist business expenses and military reservists travel expenses are adjustments to income rather than deductions. Adjustments to income reduce the amount of income on which you're taxed and do not have to meet the 2% of your AGI rule. This means that if you are a qualified performing artist or military reservist, you can deduct all of your qualified expenses.
Note: To qualify as a performing artist:
- You must receive a minimum of $200 in payment from at least two employers for performing arts services during the year and
- Your business expenses related to the performing arts must be more than 10% of your gross income from the performing arts and
- Your adjusted gross income cannot be more than $16,000 before subtracting your performing arts business expenses.
- If you're a Department of Transportation employee, you can deduct 70% of the expense for meals while traveling away from home if the meals take place during or incident to any period subject to the Department of Transportation's "hours of service" limits. Apply this 70% limit before applying the 2% of AGI rule.
Note: The Department of Transportation's "hours of service" limits also apply to certain workers who are regulated by the Federal Aviation Administration, the Federal Railroad Administration, and the Coast Guard. For more information see IRS Publication 17, Chapter 26, Car Expenses and Other Employee Business Expenses.
What paperwork do I need for the job-related expenses deduction?
To calculate these deductions and for your records
- Receipts for your job-related expenses
Deductions related to the job-related expenses deduction
- Moving Expenses Deduction
- Educator (Teacher) Expenses Deduction
More information about the job-related expenses deduction
For more information, see:
- IRS Publication 17, Chapter 26, Car Expenses and Other Employee Business Expenses
- IRS Publication 529, Miscellaneous Deductions
