Tuition for an M.B.A. may be deductible

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One of the themes throughout this Great Recession has been that of people losing their jobs, worrying about job loss or fretting that their chosen profession is toast and won’t be making a comeback when the economy recovers.

Clark himself had great success in his early 20s in the travel agency business — a field that barely exists today. The Internet has completely revolutionized the travel industry.

Technology changes and you can not stay stuck in the mud. One of the best ways to adapt is to get new education and training. Today, in large numbers, people have gone back to school.

There’s often a question of whether training or education is tax deductible. The IRS recently lost a case that now makes it easier to get a tax deduction.

However, there are some general guidelines to be aware of: You can generally only claim a deduction if you’re pursuing skills or training that’s applicable to your current field of employment. If you make a complete pivot to another field, your educational expenses generally won’t be deductible.

The New York Times has a Q & A that covers many basic questions about educational deductions pertaining to getting your M.B.A.

Clark Howard About the author:
Clark Howard is a consumer expert whose goal is to help you keep more of the money you make. His national radio show and website show you ways to put more money in your pocket, with advice you can trust. More about Clark
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