2021 Earned Income Tax Credit
For 2021, the Earned Income Tax Credit figures are $3,618 (Maximum credit, one child), $5,980 (Maximum credit, two children), $6,728 (Maximum credit, three or more children) and 21 more figures below.
| Item | One child | Two children | Three or more children | Childless filers |
|---|---|---|---|---|
| Maximum credit | $3,618 | $5,980 | $6,728 | $1,502 |
| Earned income amount | $10,640 | $14,950 | $14,950 | $9,820 |
| Phaseout begins (not filing jointly) | $19,520 | $19,520 | $19,520 | $11,610 |
| Phaseout begins (joint return) | $25,470 | $25,470 | $25,470 | $17,560 |
| Credit reaches zero (not filing jointly) | $42,158 | $47,915 | $51,464 | $21,430 |
| Credit reaches zero (joint return) | $48,108 | $53,865 | $57,414 | $27,380 |
Effective 2021-01-01Source: Rev. Proc. 2021-23 (IRS)Verified 2026-09-03
Compared with 2020
| Item | 2020 | 2021 | Change |
|---|---|---|---|
| Maximum credit, one child | $3,584 | $3,618 | +$34 (+0.9%) |
| Maximum credit, two children | $5,920 | $5,980 | +$60 (+1.0%) |
| Maximum credit, three or more children | $6,660 | $6,728 | +$68 (+1.0%) |
| Maximum credit, childless filers | $538 | $1,502 | +$964 (+179.2%) |
| Earned income amount, one child | $10,540 | $10,640 | +$100 (+0.9%) |
| Earned income amount, two children | $14,800 | $14,950 | +$150 (+1.0%) |
| Earned income amount, three or more children | $14,800 | $14,950 | +$150 (+1.0%) |
| Earned income amount, childless filers | $7,030 | $9,820 | +$2,790 (+39.7%) |
| Phaseout begins (not filing jointly), one child | $19,330 | $19,520 | +$190 (+1.0%) |
| Phaseout begins (not filing jointly), two children | $19,330 | $19,520 | +$190 (+1.0%) |
| Phaseout begins (not filing jointly), three or more children | $19,330 | $19,520 | +$190 (+1.0%) |
| Phaseout begins (not filing jointly), childless filers | $8,790 | $11,610 | +$2,820 (+32.1%) |
| Phaseout begins (joint return), one child | $25,220 | $25,470 | +$250 (+1.0%) |
| Phaseout begins (joint return), two children | $25,220 | $25,470 | +$250 (+1.0%) |
| Phaseout begins (joint return), three or more children | $25,220 | $25,470 | +$250 (+1.0%) |
| Phaseout begins (joint return), childless filers | $14,680 | $17,560 | +$2,880 (+19.6%) |
| Credit reaches zero (not filing jointly), one child | $41,756 | $42,158 | +$402 (+1.0%) |
| Credit reaches zero (not filing jointly), two children | $47,440 | $47,915 | +$475 (+1.0%) |
| Credit reaches zero (not filing jointly), three or more children | $50,954 | $51,464 | +$510 (+1.0%) |
| Credit reaches zero (not filing jointly), childless filers | $15,820 | $21,430 | +$5,610 (+35.5%) |
| Credit reaches zero (joint return), one child | $47,646 | $48,108 | +$462 (+1.0%) |
| Credit reaches zero (joint return), two children | $53,330 | $53,865 | +$535 (+1.0%) |
| Credit reaches zero (joint return), three or more children | $56,844 | $57,414 | +$570 (+1.0%) |
| Credit reaches zero (joint return), childless filers | $21,710 | $27,380 | +$5,670 (+26.1%) |
Maximum credit
Earned income amount
Phaseout begins (not filing jointly)
Phaseout begins (joint return)
Credit reaches zero (not filing jointly)
Credit reaches zero (joint return)
$1,502$57,414
One dot per column of the table, on a scale running from the smallest of these amounts to the largest. The scale is logarithmic - each faint line is ten times the one before it, so that the amounts crowded at the low end stay far enough apart to read. The table states which dot is which.
Who it applies to
Working taxpayers with low to moderate income who are claiming the Earned Income Tax Credit for the 2021 tax year
What changed this year, and why
For taxable years beginning in 2021, the American Rescue Plan Act temporarily modified the Earned Income Tax Credit, substantially increasing credit amounts for childless filers and making smaller inflation-style adjustments for taxpayers with qualifying children.
Common questions
- How did the maximum credit for childless filers change from 2020 to 2021?
- The maximum credit for filers with no qualifying children rose from $538 in 2020 to $1,502 in 2021, nearly tripling under the American Rescue Plan Act.
- What is the earned income amount?
- The earned income amount is the level of earned income at or above which the full maximum credit is allowed. For 2021 it is $10,640 for one child, $14,950 for two or three or more children, and $9,820 for childless filers.
Married filing jointly gets a higher phaseout range
Married taxpayers filing a joint return receive a higher phaseout range than other filing statuses. The revenue procedure states that both the threshold phaseout amounts and the completed phaseout amounts shown in the table for married filing jointly filers incorporate a separate, inflation-adjusted increase provided under § 32(b)(2)(B) of the Internal Revenue Code. This joint filer increase means that a married couple filing jointly can earn more before the credit starts shrinking, and can earn even more before the credit reaches zero, than a single, surviving spouse, or head of household filer with the same number of qualifying children. The increase is added to the baseline phaseout amounts and is adjusted each year for inflation. For 2021, the joint filer threshold phaseout amounts and completed phaseout amounts are shown in their own rows of the table, distinct from the rows for other filing statuses.
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 2021.
Rev. Proc. 2021-23 (IRS)
Too much investment income disqualifies you outright
A taxpayer with too much investment income is completely barred from claiming the earned income credit. The revenue procedure provides that for taxable years beginning in 2021, the EIC is not allowed at all if the aggregate amount of disqualified investment income exceeds $10,000. This is an outright disqualifier, not a reduction: once disqualified investment income crosses the $10,000 threshold, the taxpayer receives zero credit regardless of how much earned income they have or how many qualifying children they claim. The term "disqualified investment income" refers to investment-type income such as interest, dividends, capital gains, and certain other passive income items as defined under the statute. This $10,000 disqualifying amount is adjusted for inflation for taxable years beginning after December 31, 2021.
(2) Excessive Investment Income. For taxable years beginning in 2021, the EIC is not allowed if the aggregate amount of disqualified investment income exceeds $10,000.
Rev. Proc. 2021-23 (IRS)
The IRS publishes a lookup table, and that is what you file from
The Earned Income Credit for 2021 is not calculated by applying a single percentage to your income. Instead, the revenue procedure sets specific dollar amounts that determine your credit based on the number of qualifying children you have. These amounts include the earned income amount (where the credit reaches its maximum), the maximum credit itself, the threshold phaseout amount (where the credit begins to shrink), and the completed phaseout amount (where the credit reaches zero). For a filer with no qualifying children the maximum credit is $1,502, with one child it is $3,618, with two children it is $5,980, and with three or more children it is $6,728. The earned income amounts are $9,820 for childless filers, $10,640 for one child, and $14,950 for two or three or more children. You look up the appropriate column for your situation in the published table rather than multiplying income by a rate.
For taxable years beginning in 2021, the following amounts are used to determine the EIC under § 32(b).
Rev. Proc. 2021-23 (IRS)
The phaseout is measured on whichever is higher: your AGI or your earnings, and it shrinks gradually rather than falling off a cliff
For the 2021 Earned Income Tax Credit, the phaseout does not start at the same income level for every filer. Instead, the IRS measures your phaseout against whichever figure is higher: your adjusted gross income or your earned income. This means a taxpayer whose adjusted gross income is above their wages cannot escape the phaseout by pointing to lower earnings, and a taxpayer whose wages exceed their adjusted gross income cannot delay the phaseout by pointing to lower AGI. The phaseout shrinks the credit gradually as income rises above the threshold phaseout amount, rather than dropping to zero at a single point. The credit reaches zero only when the higher of the two figures hits the completed phaseout amount. This dual-measure design prevents filers from shielding themselves from the phaseout by shifting income between categories.
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. 2021-23 (IRS)
Your earnings have to reach a floor before the credit maxes out, then it holds flat until the phaseout begins
For the 2021 Earned Income Tax Credit, your credit does not increase dollar-for-dollar with every extra dollar you earn. Instead, it grows with earnings only up to a specific floor called the earned income amount. Once your earnings reach that floor, the credit plateaus at its maximum and stays flat no matter how much more you earn - until your income crosses the threshold phaseout amount, at which point the credit begins to shrink. For 2021, the earned income amount is $10,640 for one child, $14,950 for two or more children, and $9,820 for filers with no qualifying children. Below these floors, the credit is less than the maximum; above them, it holds at $3,618, $5,980, $6,728, or $1,502 respectively, until the phaseout 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. 2021-23 (IRS)
Getting a valid SSN after your filing deadline is too late to amend for that year
Under Internal Revenue Service rules for the 2021 Earned Income Tax Credit, both you and your spouse (if filing jointly) must have a valid Social Security Number issued by the Social Security Administration by the due date of your return, including extensions. Your qualifying child must also have a valid SSN issued on or before that deadline for you to claim any credit amount based on that child. If a child meets all other qualifying child conditions but lacks a valid SSN by the filing deadline, you cannot claim the higher credit for that child, though you may still be eligible for the childless credit if otherwise qualified. An SSN issued after the due date of your 2021 return is not valid for the EIC. Getting a valid SSN after your filing deadline is too late to amend your return for that tax year, even if you obtain the number before the IRS completes processing.
To claim the EIC, you (and your spouse, if filing a joint re- turn) must have a valid SSN issued by the Social Security Administration (SSA) by the due date of your 2021 return (including extensions). Your qualifying child must have a valid SSN issued on or before the due date of your return (including exten- sions) for you to claim a higher EIC credit amount based on that child.
Publication 596 (2021), Earned Income Credit (IRS)
If the credit is bigger than the tax you owe, you get the difference back
For the 2021 Earned Income Tax Credit, if the credit amount exceeds the tax you owe, the IRS pays you the difference as a refund. The earned income credit is a tax credit for certain people who work and have earned income under $57,414. A tax credit reduces the amount of tax you owe, and any excess credit amount is returned to you rather than simply reducing your tax liability to zero. Even if you owe no federal income tax at all, you can still receive money back from the government through this credit. The maximum credit amounts vary based on your filing situation and number of qualifying children, ranging from $1,502 for childless filers to $6,728 for those with three or more qualifying children.
The earned income credit (EIC) is a tax credit for certain people who work and have earned income under $57,414. A tax credit usually means more money in your pocket. It reduces the amount of tax you owe. The EIC may also give you a refund.
Publication 596 (2021), Earned Income Credit (IRS)
Getting the EIC does not hurt your eligibility for other federal benefit programs
Claiming the credit cannot be used against you at the benefits office, and the shield is written to cover the household rather than the filer alone: the money is not income for you and not income for anyone else whose eligibility is being worked out. It blocks two distinct uses of it. A caseworker may not count the refund when deciding whether you qualify at all, and may not count it when deciding the size of your payment, so it cannot quietly shrink an award instead of ending it. It is also kept out of the resource test for a minimum of 12 months after the money arrives, which is what matters for programs that cap savings rather than earnings. The reach is federal programs plus any state or local program paid for wholly or partly with federal money - TANF, Medicaid, Supplemental Security Income, food stamps and low-income housing among them.
Earned income credit has no effect on certain wel- fare benefits. Any refund you receive because of the EIC can’t be counted as income when determining whether you or anyone else is eligible for benefits or assistance, or how much you or anyone else can receive, under any Publication 596 (2021) Page 3 federal program or under any state or local program fi- nanced in whole or in part with federal funds. These pro- grams include the following. • Temporary Assistance for Needy Families (TANF). • Medicaid. • Supplemental Security Income (SSI). • Supplemental Nutrition Assistance Program (food stamps). • Low-income housing. In addition, when determining eligibility, the refund can’t be counted as a resource for at least 12 months after you receive it.
Publication 596 (2021), Earned Income Credit (IRS)
A wrong claim can cost you the credit for 2 or 10 years afterward
For the 2021 Earned Income Tax Credit, claiming the credit incorrectly can result in being barred from claiming it for multiple years. If there is a final determination that your EIC claim was due to reckless or intentional disregard of the EIC rules, you cannot claim the credit for 2 years after that determination. If there is a final determination that your EIC claim was due to fraud, you cannot claim the credit for 10 years after that determination. During these prohibition periods, you cannot file Form 8862 or take the EIC, even if you would otherwise meet all eligibility requirements. However, if your EIC was reduced or disallowed in an earlier year for reasons other than these (such as the IRS determining that a child listed on Schedule EIC wasn't your qualifying child), you may be able to take the EIC without filing Form 8862 if you meet all the EIC eligibility requirements. The date on which your EIC was denied and the date on which you file your return affect whether you need to attach Form 8862 to your return.
Exception 2. Don't file Form 8862 or take the EIC for: • 2 years after there was a final determination that your EIC claim was due to reckless or intentional disregard of the EIC rules, or • 10 years after there was a final determination that your EIC claim was due to fraud.
Publication 596 (2021), Earned Income Credit (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. 2021-23 (IRS)
- Maximum credit, one child
Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit
- Maximum credit, two children
Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit
- Maximum credit, three or more children
Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit
- Maximum credit, childless filers
Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit
- Earned income amount, one child
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount
- Earned income amount, two children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount
- Earned income amount, three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount
- Earned income amount, childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount
- Phaseout begins (not filing jointly), one child
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household)
- Phaseout begins (not filing jointly), two children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household)
- Phaseout begins (not filing jointly), three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household)
- Phaseout begins (not filing jointly), childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household)
- Phaseout begins (joint return), one child
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly)
- Phaseout begins (joint return), two children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly)
- Phaseout begins (joint return), three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly)
- Phaseout begins (joint return), childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly)
- Credit reaches zero (not filing jointly), one child
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household)
- Credit reaches zero (not filing jointly), two children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household)
- Credit reaches zero (not filing jointly), three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household)
- Credit reaches zero (not filing jointly), childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household)
- Credit reaches zero (joint return), one child
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly) Completed Phaseout $48,108 $53,865 $57,414 $27,380 Amount (Married Filing Jointly)
- Credit reaches zero (joint return), two children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly) Completed Phaseout $48,108 $53,865 $57,414 $27,380 Amount (Married Filing Jointly)
- Credit reaches zero (joint return), three or more children
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly) Completed Phaseout $48,108 $53,865 $57,414 $27,380 Amount (Married Filing Jointly)
- Credit reaches zero (joint return), childless filers
Number of Qualifying Children Item One Two Three or More None Earned Income $10,640 $14,950 $14,950 $9,820 Amount Maximum Amount $3,618 $ 5,980 $6,728 $1,502 Of Credit Threshold Phaseout $19,520 $19,520 $19,520 $11,610 Amount (Single, Surviving Spouse, or Head of Household) Complete Phaseout $42,158 $47,915 $51,464 $21,430 Amount (Single, Surviving Spouse, or Head of Household) Threshold Phaseout $25,470 $25,470 $25,470 $17,560 Amount (Married Filing Jointly) Completed Phaseout $48,108 $53,865 $57,414 $27,380 Amount (Married Filing Jointly)