2020 Earned Income Tax Credit
For 2020, the Earned Income Tax Credit is $3,584 (Maximum credit, one child), $5,920 (Maximum credit, two children), $6,660 (Maximum credit, three or more children) and 5 more figures below.
| Item | One child | Two children | Three or more children | Childless filers |
|---|---|---|---|---|
| Maximum credit | $3,584 | $5,920 | $6,660 | $538 |
| Earned income amount | $10,540 | $14,800 | $14,800 | $7,030 |
Effective 2020-01-01Source: Rev. Proc. 2019-44 (IRS)Verified 2026-08-29
Compared with 2019
| Item | 2019 | 2020 | Change |
|---|---|---|---|
| Maximum credit, one child | $3,526 | $3,584 | +$58 (+1.6%) |
| Maximum credit, two children | $5,828 | $5,920 | +$92 (+1.6%) |
| Maximum credit, three or more children | $6,557 | $6,660 | +$103 (+1.6%) |
| Maximum credit, childless filers | $529 | $538 | +$9 (+1.7%) |
| Earned income amount, one child | $10,370 | $10,540 | +$170 (+1.6%) |
| Earned income amount, two children | $14,570 | $14,800 | +$230 (+1.6%) |
| Earned income amount, three or more children | $14,570 | $14,800 | +$230 (+1.6%) |
| Earned income amount, childless filers | $6,920 | $7,030 | +$110 (+1.6%) |
Who it applies to
Taxpayers who qualify for the Earned Income Tax Credit under § 32 for taxable years beginning in 2020.
What changed this year, and why
Inflation-adjusted amounts for the Earned Income Tax Credit under § 32 for taxable years beginning in 2020, including maximum credit amounts and earned income amounts.
Common questions
- What is the maximum earned income credit for 2020?
- The maximum credit for 2020 is $3,584 for one qualifying child, $5,920 for two qualifying children, $6,660 for three or more qualifying children, and $538 for filers with no qualifying children.
- What is the earned income amount for the EITC in 2020?
- The earned income amount is the level of earned income at or above which the full maximum credit is available. For 2020, it is $10,540 for one qualifying child, $14,800 for two or more qualifying children, and $7,030 for childless filers.
- How do the 2020 amounts compare to 2019?
- All amounts increased from 2019. For example, the maximum credit for one child rose from $3,526 to $3,584, the maximum credit for two children rose from $5,828 to $5,920, the maximum credit for three or more children rose from $6,557 to $6,660, and the maximum credit for childless filers rose from $529 to $538.
The income at which the credit stops growing
The earned income amount is the level of earnings at which the EIC reaches its peak and stops growing. Below this dollar figure the credit increases as you work more, but once earned income reaches or exceeds the earned income amount the taxpayer receives the full maximum credit for their number of qualifying children. For 2020 the earned income amounts are: $10,540 for one child, $14,800 for two children, $14,800 for three or more children, and $7,030 for filers with no qualifying children. Once income is at or above these amounts, the credit stays at its maximum - $3,584, $5,920, $6,660, and $538 respectively - until the taxpayer's income crosses the higher threshold phaseout amount, where the reduction begins.
The "earned income amount" is the amount of earned income at or above which the maximum amount of the earned income credit is allowed.
Rev. Proc. 2019-44 (IRS)
Where the credit starts shrinking, and which income counts
The threshold phaseout amount is the income level above which the EIC begins to shrink. It is measured using adjusted gross income or, if that is less, earned income - whichever is greater. For 2020, once a taxpayer's income exceeds this threshold the credit is reduced dollar for dollar at a rate set by the phaseout formula, rather than staying at the flat maximum. The maximum credit that begins to shrink is $538 for childless filers, $3,584 for one child, $5,920 for two children, and $6,660 for three or more children. The earned income amounts that cap the growth phase are $7,030 for no children, $10,540 for one child, and $14,800 for two or three or more children. The threshold phaseout amount itself is a separate, higher figure that varies by filing status and number of children.
The "threshold phaseout amount" is the amount of adjusted gross income (or, if greater, earned income) above which the maximum amount of the credit begins to phase out.
Rev. Proc. 2019-44 (IRS)
The income at which the credit reaches zero
The completed phaseout amount is the income level at which the EIC falls to zero and the taxpayer no longer qualifies for any credit. Like the threshold phaseout amount, it is measured using adjusted gross income or, if greater, earned income. For 2020, once income reaches or exceeds this figure no credit is allowed at all. The maximum credits that are being phased out are $538 for childless filers, $3,584 for one child, $5,920 for two children, and $6,660 for three or more children. The earned income amounts that determine where the credit peaked earlier in the schedule are $7,030, $10,540, and $14,800 depending on the number of qualifying children. The completed phaseout amount is the highest of the three key income figures and represents the absolute upper income limit for eligibility.
The "completed phaseout amount" is the amount of adjusted gross income (or, if greater, earned income) at or above which no credit is allowed.
Rev. Proc. 2019-44 (IRS)
Married filing jointly gets a higher phaseout range
Taxpayers who are married and file a joint return receive a wider income range before their EIC is fully phased out. The statute provides a separate, higher set of phaseout thresholds for married couples filing jointly compared with single filers, surviving spouses, and heads of household. For 2020 the threshold and completed phaseout amounts for joint filers reflect the additional increase built into § 32(b)(2)(B), adjusted for inflation. This means a married couple can earn more before the credit starts to shrink and before it disappears entirely than a single filer with the same number of children. The maximum credits and earned income amounts are the same regardless of filing status: $538, $3,584, $5,920, and $6,660 depending on the number of qualifying children, and earned income amounts of $7,030, $10,540, and $14,800.
The threshold phaseout amounts and the completed phaseout amounts shown in the table below for married taxpayers filing a joint return include the increase provided in § 32(b)(2)(B), as adjusted for inflation for taxable years beginning in 2020.
Rev. Proc. 2019-44 (IRS)
Too much investment income disqualifies you outright
Even if a taxpayer meets all the earned-income and child requirements, having too much investment income disqualifies them from the EIC entirely. Under § 32(i), if the aggregate amount of certain investment income - such as interest, dividends, capital gains, and other passive income - exceeds the limit, no earned income credit is allowed at all. For 2020 the investment-income ceiling is $3,650. This rule applies regardless of how many qualifying children the taxpayer has or how much earned income they have. The maximum credits that are lost entirely if this limit is exceeded range from $538 for childless filers to $3,584 for one child, $5,920 for two children, and $6,660 for three or more children. Taxpayers close to this threshold should review their investment income carefully before year end.
For taxable years beginning in 2020, the earned income tax credit is not allowed under § 32(i) if the aggregate amount of certain investment income exceeds $3,650.
Rev. Proc. 2019-44 (IRS)
Why your credit is read off a table, not multiplied out
The IRS does not publish a single formula that taxpayers multiply by their income to compute the EIC. Instead, the instructions for the Form 1040 series provide pre-calculated tables that cross-reference filing status, number of qualifying children, and income level to show the exact credit amount. This lookup approach reflects the fact that the credit is built from multiple pieces - a percentage of earned income up to a cap, a phaseout starting at a threshold, and a ceiling at the completed phaseout point - all of which vary by child count and filing status. The underlying earned income amounts for 2020 are $7,030, $10,540, and $14,800, producing maximum credits of $538, $3,584, $5,920, and $6,660. Rather than working through the statutory formula, taxpayers find their credit directly from the tables published in the return instructions.
The instructions for the Form 1040 series provide tables showing the amount of the earned income credit for each type of taxpayer.
Rev. Proc. 2019-44 (IRS)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
Rev. Proc. 2019-44 (IRS)
- Maximum credit, one child
Number of Qualifying Children Item One Two Three or More None Earned Income Amount $10,540 $14,800 $14,800 $7,030 Maximum Amount of Credit $3,584 $5,920 $6,660 $538
- Maximum credit, two children
Number of Qualifying Children Item One Two Three or More None Earned Income Amount $10,540 $14,800 $14,800 $7,030 Maximum Amount of Credit $3,584 $5,920 $6,660 $538
- Maximum credit, three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income Amount $10,540 $14,800 $14,800 $7,030 Maximum Amount of Credit $3,584 $5,920 $6,660 $538
- Maximum credit, childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income Amount $10,540 $14,800 $14,800 $7,030 Maximum Amount of Credit $3,584 $5,920 $6,660 $538
- Earned income amount, one child
Earned Income Amount $10,540
- Earned income amount, two children
Earned Income Amount $10,540 $14,800
- Earned income amount, three or more children
Earned Income Amount $10,540 $14,800 $14,800
- Earned income amount, childless filers
Earned Income Amount $10,540 $14,800 $14,800 $7,030