Keep More of the Money You Earned in 2021 with EITC

Did you know that one in five eligible workers miss out on tax credits they deserve like the Earned Income Tax Credit, or EITC?

We know taxes can be confusing. That’s why we’re spreading the word about this money-saving benefit that can put money back in your pocket.

Even if you’ve never had to file taxes, claiming the EITC can really pay off, helping you keep more of the money you’ve worked so hard to earn. In 2021, Congress approved a special tax credit for older workers. If you’ve already filed your 2021 tax return, you can still get money back by claiming the EITC on an amended tax return for 2021.

In 2021, if you had kids and earned $57,414 or less — or if you didn’t have kids and earned $27,380 or less — you can get $1,502 back.

You can use your EITC refund to pay for anything like housing, healthcare, and household and food expenses, or save for your retirement.

Not sure if you qualify or how to get started? AARP Foundation Tax-Aide is here to help you, offering free assistance with tax preparation in your area. Here’s what you need to know to get started.

Do I Qualify?

AARP Foundation Tax-Aide has locations in your area where trained volunteers will help you figure out if you’re eligible to claim the EITC on a 2021 return. The good news is that you don’t need to have children to qualify for the 2021 tax credit.

How Does It Work?

If you qualify, the tax credit lowers the amount of taxes you are required to pay. It is refundable, which means that if the credit is worth more than you owe, you get the rest of the money back in your tax refund.

The amount you get back from the EITC is based on three things: your filing status, income, and number of children.

Visit taxoutreach.org/help to use a free tax credit estimator tool to see how much credit you may qualify for.

Frequently Asked Questions

Why should I claim the EITC?

Claiming the EITC reduces the amount of tax you owe, putting more money in your pocket. If you’ve never had to pay taxes, you could still get money back as long as you meet the other qualifications. Social Security benefits, pensions, and welfare do not count as income for this tax credit. If you’re unsure, you should chat with us!

If I claim this benefit, will I lose other ones?

Claiming the EITC won’t affect eligibility for other benefits like SNAP (food stamps), SSI, Medicaid, cash assistance, or public housing. If you decide to put your EITC refund into savings, it won’t count against the resource/asset limits of these federally funded programs for 12 months after you receive the refund.

How do I file an amended tax return?

While this credit is not available for the 2022 tax year, you could still get money back if you filed a return in 2021. The IRS gives you three years to file to correct mistakes on a federal tax return after tax filing. To file an amended return, you will need to submit Form 1040-X.

How do I know this is legitimate?

AARP Foundation is an affiliated charity of AARP. For more than 60 years, our only goal has been to help older adults secure the essentials: good jobs, eligible benefits, and crucial refunds. Through AARP Foundation Tax-Aide, we served more than a million taxpayers in 2021 alone, bringing $60,127,758 in total federal Earned Income Tax Credit refunds. We stay on top of the latest changes to the U.S. tax code so that we can help you get the tax credits you deserve. You can learn more about us at aarpfoundation.org.

3 Ways to Get Your Money Back

The deadline for filing taxes is Tuesday, April 18, 2023. But you can file an amended 2021 return up until 2024.