SEED Act
Key claim: The SEED Act expands the above-the-line federal tax deduction for unreimbursed professional development and classroom expenses to include early childhood (pre-kindergarten) educators.
Abstract
(HR5334 · 119th Congress) Supporting Early-childhood Educators’ Deductions Act of 2025 or the SEED Act of 2025 This bill expands eligibility for the above-the-line federal tax deduction for certain eligible educator expenses to include early childhood educators. (An above-the-line tax deduction is subtracted from gross income to calculate adjusted gross income.) Under current law, kindergarten through grade 12 teachers, instructors, counselors, principals, or aides in schools that provide elementary or secondary education are allowed an above-the-line tax deduction of up to $300 (in 2025 and adjusted annually) for certain unreimbursed professional development and classroom expenses. (Other conditions apply.) The bill expands eligibility for the tax deduction for such educator expenses to include early childhood educators in schools that provide early childhood (pre-kindergarten) education. Latest action (2026-07-23): Cloture motion on the motion to proceed to the measure presented in Senate. (CR S4253)
Why this matters
K-12 teachers have long been able to take an above-the-line federal deduction for out-of-pocket classroom and professional development expenses, but pre-kindergarten educators — who often earn less and spend personal funds on classroom materials — have been excluded. The SEED Act would extend that same tax treatment to early childhood educators, aligning federal tax policy across the pre-K through 12 continuum and modestly reducing personal costs for a workforce that overlaps with child care and Head Start systems.