Should Your Employer Be Reimbursing You For Home Office Expenses?

Yusra3

VIP Contributor
I'm going to be honest: I don't think it's a good idea for your employer to be reimbursing you for these home office expenses.

The reason why is that the IRS considers home offices to be a type of business and as such, you're responsible for paying taxes on them. And if you were regularly putting in long hours at your home office, that would mean that you were conducting business and making money from it. So if your employer was paying for those expenses, they'd be paying taxes on them too! The money they save by not having to pay you more money may really wind up costing them a lot more as result.

But that doesn't mean that you can't still use your home office space. In fact, most people use their homes as part of their businesses all the time. they just don't get paid for it and don't have to report any of it on their taxes. That's why this is a gray area: there aren't any hard rules about whether or not you should get reimbursed for these expenses.
 
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