Hard-working Americans want to go the extra mile at their place of employment, and oftentimes, if they need, for example, a poster printed, balloons for an event, or they are entertaining a client, they will use their own money for these expenses that are then not reimbursed. Unreimbursed expenses come straight from the taxpayer’s own pocket. The IRS recognizes this activity and allows for a W-2 employee to claim these expenses because these expenses would be deducted if the taxpayer was filing a Schedule C (business income and expenses). Be careful, however, and get to know the criteria for the expenses that you claim:
Out-of-pocket, unreimbursed expenses for your job should be minimal. When it happens, however, remember that you shouldn’t have to pay for all of it. When tax time comes, know your rights and take advantage of the benefits that have been included in our tax code for this very thing!