Program Fees & Other Expenses

Planning your budget ahead of time is very important for your program success. All teachers participating in our J-1 Teacher Program are required to act in a financially responsible manner to departure and while in the U.S. Please make sure you understand all fees, costs, taxes, insurance, payroll deductions and living expenses etc. associated with this program. If you are bringing family members along while on the program, additional expenses relating to the family members under J-2 dependent visa status must also be considered. Our program participants are required to bring at least $2,000 in order to cover the first month of living expenses before receiving the first paycheck. Please contact us if you have any questions or concerns regarding the fees and expenses.


A) The IIEEX Program fees for the J-1 Teacher Program:

Refund Policy for Program Cancellation or Withdrawal:

  • Cancellation within 2 weeks of registration will incur no fee. All fees paid by applicant will be refunded.

  • Cancellation after 2 week deadline but before submission of filled-out forms from host company to IIEEX, 80% of program fee will be refunded.

  • Cancellation after submission of filled-out forms from host company to IIEEX but before issuance of form DS-2019, 50% of program fee will be refunded.

  • Cancellation after issuance of form DS-2019, 30% of program fee will be refunded.


Refund Policy for Rejection of Application by Sponsor or U.S. Embassy or Consulate:

  • 30% of paid program fee will be refunded to applicant.


Note: All fees listed above under mandatory and additional fees (paragraphs 2 and 3) are not eligible for a refund, for example the fees for expedited service or a host company on-site visit. Requests for refunds must be submitted in writing by postal mail or email. If the DS-2019 form has already been issued, the applicant must return the original DS-2019 form to IIEEX in order to receive a refund.


Included in the program fee are:


• DS-2019 visa form

• Mailing expenses

• Pre-departure orientation

• Assistance in obtaining the Social Security card

• Ongoing support by local IIEEX staff


Not included in the program fee are:


• Airfare

• Taxi

• Housing and rental deposit

• Meals

• Daily living expenses

• Winter/summer clothing

• Costs for Excursions
• Educator License Fee (varies by state): 120-350 USD (estimated)
• Fingerprint Fee (varies by state): 235-70 USD (estimated)

B) Living Expenses and Other Costs


Like housing, living expenses in the United States can vary greatly from state-to-state and city-to-city. Whether or not the Host School provides a monetary stipend you have to show proof of sufficient funds for the duration of the internship or training program ($1,300 USD per month) when you attend your visa interview at the U.S. Embassy or Consulate.


Rent: Approximately $600 to $850 USD per month, this does not generally include utilities, cable tv, phone, or internet connection.

Utilities: Approximately $20 to $60 USD per month, however this can be more in the winter due to the increase in heating costs or in the summer if your apartment has an air conditioning system. Utilities usually include electricity, water, gas, and garbage service.

Phone: Approximately $15 to $30 USD per month. More and more Americans are moving away from home telephone service in favor of cell phone plans. You may wish to consider purchasing a “pre-paid” or no contract mobile phone for your stay. You can add “pre-paid” minutes to these mobile phones in increments of $5 to $25 USD.


Popular mobile phone providers include:


  • AT&T

  • T-Mobile

  • Sprint

  • Verizon


Food: Expect to spend anywhere from $200 to $300 USD per month on food for yourself. It is cheaper to purchase groceries and cook rather than eating out, however if you choose to eat out expect to pay $5 to $7 USD for a fast food meal, or more for restaurant dining.

Sample Costs:

  • Meal at restaurant: 15.00 USD

  • Combo meal at a fast food restaurant: 7.00 USD

  • Half gallon of milk: 2.00 USD

  • 2 lbs of chicken breast: 8.00 USD

  • A pair of jeans: 50 USD

  • 1.5 liter bottle of water: 1.55 USD

  • Vegetables per pound: 1.50 to 3.00 USD


Laundry: Some apartments and other accommodation facilities have laundry services/washing machines “in house” or you may need to visit a local laundromat. Expect to pay $1.50 USD per load to wash and $1.50 USD per load to dry.

Leisure Activities: Prices for movies, bars, clubs, concerts and other events vary from city-to-city. Movie tickets can range from $6 to $12 USD. Check your local newspaper listings or look online for events and other leisure activities in your area. Ticketmaster also provides an extensive listing of concerts, sporting events, the arts, theater, and family events: www.ticketmaster.com

Other Miscellaneous Costs: Internet, books, toiletries, and other items and services you may need. Make sure that you also save a certain amount of cash for potential health care issues that come up, and general emergencies.


Please note: When purchasing items in the U.S. expect an additional sales tax. This differs from state-to-state but is usually between 8 to 9% of the cost of the item.


It is important that exchange visitors plan ahead when it comes to financial security. This budget calculator estimating the costs of living in different regions of the United States provided by the Economic Policy Institute may be helpful to you: Family Budget Calculator.

C) Taxes (Payroll Deductions)

You will receive your salary directly from your host school. Payments are usually scheduled every two weeks. For tax purposes you will be treated as a regular employee of the school. Your status is a so-called "W2 employee". As a W2 employee you are subject to certain taxes, and they will be deducted from your paycheck. In other words, the amount you will actually receive every two weeks is less than the contract amount. In order to calculate the paycheck deductions, use this paycheck calculator: https://www.paycheckcity.com/calculator/salary. See also https://www.irs.gov/Individuals/IRS-Withholding-Calculator. Generally, you should expect to pay Federal Unemployment, Medicare, and Social Security taxes, as well as Federal, State and City Income taxes. Income tax withholding will be based on the information you provide in form W-4. You will receive this form from your school at the beginning of your program.


In addition, there may be teacher retirement contribution payable to the teacher retirement system between approximately 6 to 12% of your gross wage (varies by state), which is refundable You may be able to claim a refund on the portion when you have returned back to your home country and are no longer teaching in the USA.

Regarding personal income tax, most countries have tax treaties with the U.S. According to the treaty, some or all of your income is exempt from certain taxes for up to 2 years for first-time exchange visitor teachers. To view more information on the treaty countries, please refer to:


https://www.irs.gov/pub/irs-pdf/p515.pdf

https://www.irs.gov/Individuals/International-Taxpayers/Alien-Liability-for-Social-Security-and-Medicare-Taxes-of-Foreign-Teachers,-Foreign-Researchers,-and-Other-Foreign-Professionals
http://www.internationalexchangecenter.org/tax-assistance-j-1-participants

You should then prepare either form 1040 NR “U.S. Nonresident Alien Income Tax Return” or form 1040 NR EZ “U.S. Income Tax Return for Certain Nonresident Aliens with No Dependants”. To download these forms please refer to www.irs.ustreas.gov/prod/forms_pubs/forms.html. If you have more questions on how to fill out the necessary forms, please call 1-800 829 1040. In addition, IRS publication 519 (US Tax Guide for Aliens) will give you much more detailed information on this topic.

The deadline for filing your tax return is April 15th, also known as “U.S. Tax Day.” Most states do not require that you pay state or local taxes. But we are advising you to contact your local or state tax departments, respectively your host company, to learn about the tax rules and regulations for the state you are training in.


Please note, IIEEX cannot advise you on what forms you need to file or specific questions relating to any state or local tax questions.