EITC Calculator 2026: Earned Income Tax Credit
This calculator estimates your 2026 Earned Income Tax Credit (EITC), one of the largest refundable tax credits for working families and individuals with low to moderate income. Enter your earned income (wages, salaries, tips, net self-employment), filing status, number of qualifying children, investment income, and AGI. The EITC has different maximum amounts and phase-out ranges depending on the number of children: 664 (0 children), 4,427 (1 child), 7,316 (2 children), and 8,231 (3 or more children), per IRS Rev. Proc. 2025-32 and IRS Publication 596. The credit phases in at 7.65% to 45% of earned income depending on the number of children, reaches a maximum, then phases out as income rises. The phase-out begins at different income levels and reduces the credit by 7.65% to 21% per dollar of income above the threshold. Key eligibility rules include having a valid Social Security number, investment income not exceeding 12,200, and AGI below the phase-out threshold. Married filing separately filers are generally ineligible. The calculator highlights eligibility issues, computes your estimated credit, and shows how income affects your credit amount. Essential for low-income workers and families assessing their likely refund.
With earned income of $28,000, 1 qualifying child, and filing as single, your estimated 2026 EITC is $3,770.
How the 2026 EITC is calculated
The Earned Income Tax Credit uses a phase-in and phase-out structure. The credit builds as earned income rises (phase-in), reaches a plateau at its maximum, then gradually decreases as income or AGI rises further (phase-out). The IRS uses the higher of your earned income or AGI to apply the phase-out, preventing high-investment-income taxpayers from claiming a full credit on modest wages.
Phase-in credit = earned income x phase-in rate (capped at max credit)
Income for phase-out = max(AGI, earned income)
Phase-out amount = max(0, (income for phase-out - phase-out start) x phase-out rate)
EITC = max(0, phase-in credit - phase-out amount)
2026 EITC rates and maximum amounts
| Children | Max credit | Phase-in rate | Phase-out start (single) | Phase-out start (MFJ) | Phase-out rate |
|---|---|---|---|---|---|
| 0 | $664 | 7.65% | $10,860 | $18,140 | 7.65% |
| 1 | $4,427 | 34% | $23,890 | $31,160 | 15.98% |
| 2 | $7,316 | 40% | $23,890 | $31,160 | 21.06% |
| 3+ | $8,231 | 45% | $23,890 | $31,160 | 21.06% |
Source: IRS Rev. Proc. 2025-32 (inflation-adjusted 2026 figures).
Worked example
Single filer, 1 qualifying child, earned income $28,000, AGI $28,000, investment income $0:
- Phase-in credit = min($28,000 x 34%, $4,427) = min($9,520, $4,427) = $4,427 (already at maximum).
- Phase-out start for single with 1 child = $23,890.
- Phase-out amount = max(0, ($28,000 - $23,890) x 15.98%) = $4,110 x 0.1598 = $657.
- EITC = $4,427 - $657 = $3,770.
Eligibility checklist
To claim the EITC you must meet all of these conditions:
- You must have earned income from employment or self-employment.
- You, your spouse (if filing jointly), and any qualifying child must each have a valid Social Security number issued by the Social Security Administration.
- You must be a US citizen or resident alien for the entire tax year.
- You cannot be claimed as a qualifying child on anyone else's return.
- If you have no qualifying children, you must be at least 25 and under 65 at the end of the tax year.
- You cannot use married filing separately status.
- Your investment income must not exceed $12,200.
- Your income must fall below the limits for your filing status and number of children.
Source: IRS Publication 596.
Maximum income limits by filing status (2026)
| Children | Single / HOH / MFS | Married filing jointly |
|---|---|---|
| 0 | $19,540 | $26,820 |
| 1 | $51,593 | $58,863 |
| 2 | $58,629 | $65,899 |
| 3+ | $62,974 | $70,244 |
EITC equals $0 once income reaches these figures. Source: IRS Rev. Proc. 2025-32.
How to claim the EITC
The EITC is claimed on your federal Form 1040. If you have qualifying children, you must also complete Schedule EIC and attach it to your return. The IRS provides a free EITC Assistant tool at irs.gov that walks through eligibility step by step. If you qualify, free tax preparation is available through IRS Free File (adjusted gross income of $89,000 or less) and the Volunteer Income Tax Assistance (VITA) programme.
The IRS is required by law to hold refunds that include the EITC until mid-February each year to allow additional verification. Source: PATH Act, IRS Publication 596.
Why the EITC rewards earning more, up to a point
The EITC trips up more filers than almost any other credit, and the reason is its shape. Unlike a deduction that scales smoothly, the credit climbs as you earn more (the phase-in), flattens across a plateau, then falls away. A worker earning very little can actually receive a larger credit by earning more, right up to the plateau. Many people assume that more income always means a smaller refund, and for the EITC that is only true once you pass the plateau.
Two rules cause most of the mistakes. First, the phase-out is applied to the greater of your earned income or your adjusted gross income, not simply your wages. If you have a pension, rental profit, or other income that lifts AGI above your wages, the credit shrinks faster than a quick wage estimate suggests, which is exactly why this calculator asks for AGI separately. Second, the investment income test is a cliff, not a slope: cross the 2026 limit of $12,200 by a single dollar and the entire credit disappears, no matter how modest your wages are.
One point worth planning around: if your refund includes the EITC, the PATH Act requires the IRS to hold the whole refund until mid-February, so do not budget on an early deposit. Married filing separately generally disqualifies you outright, and childless workers must be between 25 and 64. Treat the numbers here as an estimate, then confirm with the IRS EITC Assistant before you file.
EITC frequently asked questions
Who qualifies for the 2026 Earned Income Tax Credit?
To qualify you must: (1) have earned income (wages, salaries, tips, or net self-employment income); (2) have a valid Social Security number for yourself, your spouse if filing jointly, and any qualifying child; (3) be a US citizen or resident alien for the full year; (4) not file as married filing separately; (5) not be a qualifying child of another person; (6) have investment income no greater than $12,200; and (7) have AGI below the income limits for your filing status and number of children. Source: IRS Publication 596.
What are the 2026 EITC income limits?
For 2026 the EITC phases out to zero at: $19,540 (single, 0 children), $26,820 (MFJ, 0 children), $51,593 (single, 1 child), $58,863 (MFJ, 1 child), $58,629 (single, 2 children), $65,899 (MFJ, 2 children), $62,974 (single, 3+ children), $70,244 (MFJ, 3+ children). Source: IRS Rev. Proc. 2025-32.
What counts as earned income for EITC?
Earned income includes wages, salaries, tips, union strike benefits, long-term disability benefits received before minimum retirement age, and net profit from self-employment or farming. It does not include interest, dividends, pensions, Social Security benefits, alimony, child support, unemployment compensation, or pay received while incarcerated. Source: IRS Publication 596.
Can I claim the EITC if I have no children?
Yes, but the rules are stricter. For 2026, childless filers must be at least 25 years old (under 65 at the end of the year) and not be claimed as a dependent by another person. The maximum credit for 0 qualifying children is $664. Source: IRS Publication 596.
What is the investment income limit for EITC?
For 2026, if your investment income (interest, dividends, net capital gains, and passive income) exceeds $12,200, you are ineligible for the EITC regardless of your earned income or number of children. This limit is indexed for inflation. Source: IRS Rev. Proc. 2025-32.
Can I claim EITC if I am self-employed?
Yes. Net self-employment income counts as earned income for the EITC. You report it on Schedule C or Schedule F. However, self-employed individuals must have a valid SSN and meet all other eligibility requirements. The self-employment tax deduction does not reduce earned income for EITC purposes; the IRS uses your net self-employment profit. Source: IRS Publication 596.
Official sources
- EITC eligibility, qualifying child rules, computation: IRS Publication 596 - Earned Income Credit, Internal Revenue Service.
- 2026 EITC amounts, phase-out thresholds, investment income limit: IRS Rev. Proc. 2025-32, Internal Revenue Service.
- EITC information center: IRS EITC page, Internal Revenue Service.
- EITC eligibility assistant: IRS EITC Assistant, Internal Revenue Service.
Reviewed by the CalculatorHub team, edited by James Graham, 11 July 2026. See our methodology. General information, not tax advice.