Daycare.com Forum
Daycare and Taxes>Meal Write Offs
blessed mom 08:55 PM 08-11-2011
Does anyone know the rate at which you can write off meals if you are not on the food program?
Michael 09:07 PM 08-11-2011
These might help: https://www.daycare.com/forum/tags.p...duction+-+food
blessed mom 09:55 PM 08-11-2011
Thank you....looking now! 
blessed mom 10:05 PM 08-11-2011
Sorry if I'm just missing something. I didn't see any posts regarding my question. I'm wondering if I'm not on the food program...can I still write off meals similar to the food program. Is there a deduction rate I am allowed to write off if I'm not on the food program. For example $1 for breakfast $1.50 for lunch or $.50 for snack. Something like that? If not, how to people who are not on the food program get reimbursed for their costs?
I'm trying to determine if the work of the food program is really worth it. I plan to provide healthy foods regardless that is not the issue. It's more about time.
I'm trying to determine if the work of the food program is really worth it. I plan to provide healthy foods regardless that is not the issue. It's more about time.
Cat Herder 05:41 AM 08-12-2011
For me the food program is not worth it. Not because the extra money would be a bad thing each month. 
When you have more than one job (income), more than one working adult (4 jobs total) and not a lot of deductions it is better to just take the standard "per meal" deduction at tax time (based on attendance records in MMK) so you don't owe at the end of the year.
At least that is how it worked for me. I have a CPA and she calculated it up both ways for me based on the last 3 years taxes...and I am MUCH better off without the food program.
Food program reimbursement counts as income.
When you have more than one job (income), more than one working adult (4 jobs total) and not a lot of deductions it is better to just take the standard "per meal" deduction at tax time (based on attendance records in MMK) so you don't owe at the end of the year.
At least that is how it worked for me. I have a CPA and she calculated it up both ways for me based on the last 3 years taxes...and I am MUCH better off without the food program.
Food program reimbursement counts as income.
heyhun77 09:46 AM 08-12-2011
You can use the standard deduction rates which is the tier 1 reimbursement rate for January 1st of the year. The rates change in July each year but you have to use what the rate was on January 1st. If you do a google search for child and adult food program 2011 rates you should find it. You can claim all meals you serve,even if they aren't credible for food program, as long as you serve them.
TomCopeland 01:19 PM 08-12-2011
For 2011 you can use the following amounts to claim food expenses, using the standard meal allowance rate: $1.19 breakfast, $2.22 lunch/supper and $.66 snack. You can use these rates even if you are not on the Food Program.
Catherder - Please note! You are always better off being on the Food Program. Your CPA is wrong! Here's why - if you are on the Food Program you can still use the standard meal allowance to deduct your food expenses, exactly the same way if you were not on the Food Program. In other words, you food expenses are exactly the same, whether or not you are on the Food Program. Therefore, the only difference is that a provider on the Food Program gets $500-$1,000 per child, per year in income. Please read my article on this:http://www.tomcopelandblog.com/2011/...d-program.html
Catherder - Please note! You are always better off being on the Food Program. Your CPA is wrong! Here's why - if you are on the Food Program you can still use the standard meal allowance to deduct your food expenses, exactly the same way if you were not on the Food Program. In other words, you food expenses are exactly the same, whether or not you are on the Food Program. Therefore, the only difference is that a provider on the Food Program gets $500-$1,000 per child, per year in income. Please read my article on this:http://www.tomcopelandblog.com/2011/...d-program.html
blessed mom 02:31 PM 08-17-2011
Originally Posted by TomCopeland:
For 2011 you can use the following amounts to claim food expenses, using the standard meal allowance rate: $1.19 breakfast, $2.22 lunch/supper and $.66 snack. You can use these rates even if you are not on the Food Program.
Catherder - Please note! You are always better off being on the Food Program. Your CPA is wrong! Here's why - if you are on the Food Program you can still use the standard meal allowance to deduct your food expenses, exactly the same way if you were not on the Food Program. In other words, you food expenses are exactly the same, whether or not you are on the Food Program. Therefore, the only difference is that a provider on the Food Program gets $500-$1,000 per child, per year in income. Please read my article on this:http://www.tomcopelandblog.com/2011/...d-program.html
So if I understand you correctly Tom...if I'm on the food program I will get $X for feeding each meal (taxable) AND still be able to use the standard meal allowance as a food expense even if I was reimbursed by the food program for that meal. Is that correct?For 2011 you can use the following amounts to claim food expenses, using the standard meal allowance rate: $1.19 breakfast, $2.22 lunch/supper and $.66 snack. You can use these rates even if you are not on the Food Program.
Catherder - Please note! You are always better off being on the Food Program. Your CPA is wrong! Here's why - if you are on the Food Program you can still use the standard meal allowance to deduct your food expenses, exactly the same way if you were not on the Food Program. In other words, you food expenses are exactly the same, whether or not you are on the Food Program. Therefore, the only difference is that a provider on the Food Program gets $500-$1,000 per child, per year in income. Please read my article on this:http://www.tomcopelandblog.com/2011/...d-program.html
TomCopeland 05:28 PM 08-18-2011
Yes. That's why is always a good financial deal for providers to be on the Food Program.
Cat Herder 06:30 PM 08-18-2011
I printed your article...
It makes sense now.
It works out to almost one weeks extra pay per year for me.
It makes sense now.
It works out to almost one weeks extra pay per year for me.
blessed mom 07:34 AM 08-23-2011
Awesome! Seriously...what would I do without this forum? I keep saying it...but it's true! Thanks again Tom! I so appreciate what you are doing for us providers!