3) Educator expenses

The customer is a full-time teacher and is claiming educator expenses. He provides a copy of his last tax returns confirming the deduction. He also has receipts for the current year showing $312.00 in out-of-pocket expenses for class supplies this year. Only $250.00 of the expenses are allowed as a MAGI deduction. The $250 is divided by 12 to get a monthly amount for the deduction.