When job search expenses deductible?
Searching for a job can be frustrating and time consuming experience and worse yet, it can be extremely expensive. But if you are tax-savvy, you may be able to recoup some of your job search expenses in the form of tax deductions. Follow the rules regarding what you can write off, and save all documentation related to every write off you take.
Expenses with in your field
Job search deduction applies only if you’re seeking job in your field. For example, you wouldn’t be able to go from a job in finance to one in education and write off those job search expenses. But if you need to take a part-time job to support yourself while you look for a job in your field, you can take deductions related to the part-time job search.
The costs to prepare your resume can be deductible for example if you hire a professional resume writer that’s a deductible expense. Have you sent resume via snail-mail? You can write off the cost of postage and envelopes. Did you fax your resume? Keep the receipt, because the cost to fax is deductible too. Remember those evidences should be concrete to write off.
If you live in an area that doesn’t offer substantial paying jobs in your field, you may find it necessary to relocate to some other city with more pays.
You can claim 24 cents to the mile for moving purposes in a car. You can also deduct plane tickets and lodging expenses, and the cost of packing and shipping items to your new home, plus up to 30 days of storing them. Furthermore, costs incurred for shipping a car and pets to your new home are also deductible. Just be sure to begin looking for a job immediately after you move if you don’t already have one.