Can I deduct union dues, and where do I enter them in TurboTax?
You can deduct union dues and union membership initiation fees on your federal return if you:
- Itemize your deductions; and
- Your miscellaneous expenses (which also includes other job-related expenses, investment expenses, and safe deposit box fees) exceed 2% of your AGI.
You're only allowed to deduct miscellaneous expenses above and beyond 2% of your AGI.
For example, if you're itemizing, your AGI is $35,000, you paid $1,000 in union dues, and you had no other miscellaneous expenses, you can deduct [$1,000 – ($35,000 x .02)] = $300.
Don't worry about the math or whether you need to itemize; just enter your total union dues in TurboTax and we'll figure all that out for you.
How to enter your union dues in TurboTax
The easiest way is to search for union dues in your TurboTax program and then click the Jump to union dues link in the search results.
You'll come to a screen that asks about job-related expenses. Follow the on-screen instructions, and eventually you'll see a screen titled Job-Related Expenses. This is where you enter the full amount of your union dues, plus any initiation fees.
Tip: Include assessments for benefits paid to unemployed union members, but not the portion that provides funds for sick, accident, or death benefits.