In short
From the 2026–27 income year, every teacher with wage income gets an automatic $1,000 standard deduction, worth about $320 at the usual 32% marginal rate. Itemising only pays if your real work claims (home office hours, union fees, resources, self-education) add up to more than $1,000, and you'll need records for all of them.
How to use the tax deductions estimator
- 1
Enter your salary
Pick your state and step or type your taxable income. This sets your marginal tax rate, which decides what each deduction is worth.
- 2
Add your working-from-home hours
Enter the hours you work at home on marking, planning and reports. The calculator applies the ATO's fixed rate per hour.
- 3
Add your other work costs
Enter union fees, registration renewal, teaching resources, self-education and other work expenses you paid for and weren't reimbursed.
- 4
Compare with the $1,000 standard deduction
See your total claims, what they're worth in tax, and whether itemising beats the automatic $1,000 for 2026–27.
The $1,000 standard deduction, explained
The $1,000 standard deduction became law on 26 June 2026 and applies from the 2026–27 income year (1 July 2026 to 30 June 2027), so you'll first see it in the tax return you lodge from July 2027. It's automatic for anyone with labour income, such as salary, wages or Parental Leave Pay. You don't need receipts to get it.
It works as a floor, not an extra. Any actual work-related deductions you claim count towards the $1,000. If your real claims are below $1,000, you get $1,000 in total. If they're above $1,000, you claim the actual amount and need records for all of it. It does not apply to 2025–26 returns being lodged now.
NSW Step 7 teacher ($133,422): standard deduction vs itemising
- Tax and Medicare with no deductions
- $33,215
- With the $1,000 standard deduction
- $32,895 (saves $320)
- With itemised claims of $1,160
- $32,844 (saves $371)
Site tax engine, 2026–27 rates. Each extra dollar of deductions above $1,000 saves 32 cents for a teacher in the 30% bracket.
That's the key insight: itemising is only worth the effort when your claims are well above $1,000. Someone with $1,160 of claims gains about $51 for keeping a full set of records. Someone with $3,000 of self-education and home office costs gains about $640 over the standard deduction.
What teachers can usually claim
Based on the ATO's guidance for teachers and education professionals. The ATO hasn't yet published the 2026–27 working-from-home fixed rate.
What each deduction is really worth
A deduction reduces your taxable income, not your tax bill dollar for dollar. Its value is the deduction multiplied by your marginal rate. For most full-time teachers that's 32% (30% plus Medicare), so a $200 deduction saves $64. Leaders earning over $135,000 save 39 cents per dollar. The calculator does this for you at your salary.
Work deductions also lower the taxable income your HECS-HELP repayment is based on, so they can trim that slightly too. They don't change your fortnightly pay unless you apply for a withholding variation. You'll see the benefit as a bigger refund or a smaller bill.
Working from home: the hours add up
Teachers do a lot of work at home. At the 2025–26 rate of 70 cents an hour, 300 hours of marking and planning across a year is a $210 deduction, worth about $67 in tax at 32%. The fixed rate covers electricity, gas, phone, internet, stationery and consumables, so you can't claim those separately as well. Our teacher working-from-home deduction guide shows how to keep the hours record the ATO expects.
Read the full teacher tax deductions guide, the $1,000 standard deduction explained and self-education expenses for teachers. For advice on your own return, talk to a registered tax agent.
Frequently asked questions
What is the $1,000 tax deduction for teachers?
Can I claim the $1,000 deduction on my 2025–26 tax return?
Can I claim more than $1,000 in deductions?
Can teachers claim working from home?
Can teachers claim union fees?
Is a Working with Children Check tax deductible?
How much will I get back for my teacher deductions?
Guides that go with this tool
Tax
Teacher tax deductions: what you can and can't claim in 2026
Every common teacher deduction, the ATO rule behind it, and what it's worth at your tax rate.
Tax
The $1,000 standard tax deduction: what it means for teachers in 2026–27
How the new automatic $1,000 work deduction works, and when teachers should still itemise.
Tax
Can teachers claim working from home? The 70c rule explained
How to claim marking and lesson planning at home, what records the ATO wants, and what it's worth.