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Congress·In Committee·S. 1697

RAISE Act of 2025

Senate RAISE Act Would Offer Teachers Up to $15,000 in Tax Credits, Bar Schools From Cutting Pay

Legislative Progress

Senate
House
President
Law

Key Points

  • Creates a refundable teacher tax credit: $1,000 for eligible teachers, with an extra amount for educators in higher-poverty schools.
  • The extra credit can rise up to $14,000 (or $9,000 for some early childhood educators without a bachelor’s degree), depending on school poverty levels.
  • Raises the federal deduction for teachers’ out-of-pocket classroom expenses from $250 to $500 and expands it to cover early childhood educators too.
  • Bars states, school districts, and employers from lowering pay or benefits just because educators can claim this credit, and limits employers from using it in pay negotiations.
  • Sets mandatory federal funding for grants to school districts that maintain or increase teacher salary schedules, starting with $5.2 billion for fiscal year 2026 and increasing with inflation.
TaxesEducationLabor Employment

Impact Analysis

Personal Impact

How this policy affects specific groups of people

Mixed Impacts(1)
Union Member
Neutral

Milestones

2 milestones2 actions
May 8, 2025Senate

Read twice and referred to the Committee on Finance.

Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.

May 8, 2025

Introduced in Senate

The bill was officially filed and given a number. It now enters the legislative queue.

Votes

No votes have been recorded for this legislation yet.

Source Information

Document Type

Congressional Bill

Official Title

RAISE Act of 2025

Bill NumberS 1697
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Finance.

Sponsor

Cosponsors

(5)
D: 5

Analysis generated by AI. Always verify with official sources.