SEED Act Signed into Law

The SEED Act is now law, and it’s a win for early childhood educators.

On September 16, 2026, the bipartisan, bicameral Supporting Early-Childhood Educators’ Deductions (SEED) Act was signed into law. For the first time, pre-K and early childhood educators can claim an above-the-line federal tax deduction of up to $350 for out-of-pocket classroom expenses, including supplies, educational materials, and professional development. Until now, this benefit was available only to K-12 teachers. The deduction applies to expenses incurred in taxable years beginning after December 31, 2025, meaning eligible educators can claim qualifying 2026 expenses when they file next year.

More than 90% of early childhood educators report spending their own money on books, learning tools, and supplies for the children in their care, all while earning a median hourly wage of just $13.07. The SEED Act offers real financial relief and recognizes the essential role these professionals play in supporting children, families, and local businesses.

“Our Head Start teachers pour their hearts into creating classrooms where young children can learn, explore, and grow, and too often they reach into their own pockets to make that happen. The SEED Act finally recognizes early childhood educators as the professionals they are, giving them the same tax relief K-12 teachers have long received. For our staff, this is both meaningful financial support and a long-overdue acknowledgment of the vital work they do every day.”
— Kathleen Dow, Director, WCAC Head Start

Learn more: https://lnkd.in/eWgTSyYa
Read the legislation: https://lnkd.in/ew7K5RTg