Bennet, Collins, Bipartisan House Colleagues Introduce Bipartisan Bill To Expand Tax Deduction To Include Early Childhood Educators

Sep 16, 2025| Press Releases

Surveys Show That Teachers Spend an Average of $895 of Their Own Earnings on Classroom Materials

Washington, D.C. - U.S. Senators Michael Bennet (D-Colo.), a member of the U.S. Senate Committee on Finance, and Susan Collins (R-Maine), a member of the U.S. Senate Education Committee, reintroduced the Supporting Early-Childhood Educators' Deductions (SEED) Act. The bill would help early childhood educators cover the cost of supplies, books, and other classroom materials by allowing them to claim the above-the-line $300 tax deduction currently available only to K-12 teachers. U.S. Representatives Jimmy Panetta (D-Calif.), David Valadao (R-Calif.), Maggie Goodlander (D-N.H.), and Brian Fitzpatrick (R-Pa.) introduced companion legislation in the U.S. House of Representatives.

"As a former school superintendent, I know that many educators often spend their own money to provide their students with the supplies they need to succeed," said Bennet. "We must ensure that all educators - especially those who teach our youngest children - can deduct these costs from their taxes. I'm grateful to work with bipartisan partners in Congress and in Colorado to pass this bill and deliver for educators and kids."

"In Maine and across the country, we are fortunate to have so many dedicated educators who work hard to ensure that every child has a learning environment that is safe, welcoming, and enriching," said Collins. "In spite of tight budgets and their own modest salaries, it is truly remarkable how often teachers use money out of their own pockets to purchase classroom supplies for their children. As the author of the original tax credit for K-12 teachers, I am delighted to join this effort to expand this benefit to pre-K educators. This tax credit would help more people by reimbursing early childhood educators for the resources they invest in our children's future."

"Early childhood educators often reach into their own pockets to cover the cost of classroom materials for their students," said Panetta. "The SEED Act would allow them to claim the same tax deduction already available to K-12 teachers. This change not only provides relief for those educators but also shows that we value their commitment to giving our youngest children the foundation they need to thrive."

"Access to quality education is one of the most important issues facing Central Valley families, and that begins with early childhood education," said Valadao. "Teachers spend on average $860 per year on classroom supplies to ensure their students can succeed, but while K-12 educators can claim the educator expense deduction, those teaching Pre-K and younger cannot. No teacher should have to choose between paying out of pocket or providing basic classroom needs, and this bipartisan bill expands the deduction so early childhood educators can focus on teaching the next generation rather than worrying about costs."

"Teaching is the ultimate act of optimism and safeguard of our democracy. America's early childhood educators pour their hearts into their work, and far too often, their own money, just to do their jobs," said Goodlander. "These educators deserve the same tax deduction other teachers get, and I am proud to lead this commonsense, bipartisan bill that'll do just that."

"For early childhood teachers, every crayon, book, and learning tool is more than a supply - it's an investment in a child's future. In PA-1 and across the nation, our educators routinely reach into their own paychecks because they refuse to let a student go without," said Fitzpatrick. "The SEED Act affirms their dedication by extending to pre-K educators the same classroom deduction K-12 teachers already receive, correcting an unfair exclusion, strengthening the workforce, and putting more resources into our children's hands during their most critical years."

Surveys show that teachers spend an average of $895 of their own money on classroom materials. In 2002, Congress created an above-the-line educator expense deduction to allow qualifying K-12 teachers and other eligible educators, such as counselors and principals, to deduct up to $250 of expenses incurred for classroom supplies. However, educators of children in pre-Kindergarten and younger can not currently deduct similar expenses.

"Early educators play a vital role in helping children learn and grow while preparing them to enter kindergarten ready to succeed, yet too often they pay out of pocket for necessary classroom supplies. The SEED Act is a commonsense, bipartisan proposal from Representatives Panetta, Goodlander, Valadao, and Fitzpatrick that would ease this burden and support the educators our youngest learners and their families rely on every day," said Sarah Rittling, Executive Director, First Five Years Fund.

Bennet and Collins first introduced the SEED Act in 2021. In 2023, the lawmakers reintroduced the legislation and expanded the total tax credit from $250 to $300.

The SEED Act is supported by a broad coalition of education and child advocacy organizations, including the Center for American Progress, the American Federation of Teachers, Teach For America, the First Five Years Fund, and Trying Together.

The text of the bill is available HERE.