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Volunteer expenses equal tax deduction We all look for ways to reduce our taxes. The best time to plan is early in the year. If you itemize your deductions and haven't already started keeping track of volunteer expenses, you may want to start now. Deduct the expenses you incur while performing volunteer work for Arrow or other non-profit organizations. Although the following tips come from a tax source, everyone's situation is different, so, if in doubt, check with your own tax advisor: Three types of expenses apply to volunteers: * cash donations, which is money given directly to charitable organizations * non-cash contributions such as used books and furniture, etc. * out-of-pocket expenses (money you spend in relation to your volunteer work) which is: ­­ not reimbursed by the charity or anyone else ­­ directly connected to the services ­­ expenses you had only because of volunteer services you gave ­­ not your own personal, living or family expense Out-of-pocket expenses include mileage (12 cents per mile) considered a cash contribution to the charity. Keep records of your expenses. Acceptable types of records include canceled checks, written receipts for non-cash items, and reliable written records made at or near the time that the expense was incurred. Keep a written record of trips made to perform activities connected to Arrow services. This record should include the date, purpose of the trip, starting point, destination and number of miles traveled. To make it easy, record the starting mileage and subtract it from the ending mileage after the trip is completed. The secret to claiming the deduction is in making the records at the time of the trip. Thanks to the Colorado AIDS Project for this tax-saving tip from their newsletter, the CAP Update, May 1996.