See what amount you may qualify for – Forbes Advisor


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Millions of families have received monthly child tax credit payments of up to $ 300 per child, with more to come. The American Rescue Plan increased the child tax credit from $ 2,000 to $ 3,600 per child for the 2021 tax year.

Your child tax credit payment is based on your income, the age of the child and the number of children you have. The Internal Revenue Service (IRS) will use your 2019 or 2020 tax return (whichever is later) or the information you entered in the non-filtering tool to determine your monthly payment. Use our calculator to help you estimate how much you and your family could receive.

What is your filing status?

Number of dependents you are claiming

Disclaimer: Your 2021 Child Tax Credit payment may differ from the result you see here, depending on factors such as your income, other deductions and credits applicable to your personal tax situation. Calculations are estimates based on figures from the American Rescue Plan Act of 2021 until March 11, 2021. They are subject to change. Visit the IRS website for the latest information on the Child Tax Credit.

Calculator Disclaimer: Calculations are estimates based on figures from the American Rescue Plan Act of 2021 until March 11, 2021. They are subject to change. Visit the IRS website for the latest information on the Child Tax Credit.

Calculator methodology

To estimate your monthly child tax credit payment under President Biden’s $ 1.9 trillion U.S. bailout, this calculator takes your estimated adjusted gross income (AGI), how many dependent children you have and the age of each eligible child.

As part of Biden’s US bailout, the child tax credit is based on the modified adjusted gross income (MAGI), which is your AGI plus some income, such as foreign income. However, our calculator uses AGI to simplify the calculation for you.

Frequently Asked Questions (FAQs) about the Biden Child Tax Credit

What is the child tax credit?

The Child Tax Credit provides a financial benefit to Americans with qualifying children. For tax years before 2021, the IRS allowed you to claim up to $ 2,000 per child under 17. The credit reduced the amount you owed in taxes and you could be reimbursed up to $ 1,400 if you owed less than that amount.

For 2021, the amount of the child tax credit has increased to $ 3,600 per child under 6 and up to $ 3,000 per child 6 to 17 years old. In addition, the credit is now fully refundable.

Is the new extension of the child tax credit law?

Yes, but it is only temporary. The new child tax credit was part of the American Rescue Plan Act, a $ 1.9 trillion coronavirus stimulus package was enacted on March 11 and only affects tax year 2021.

How much is the new child tax credit?

For each eligible child under the age of 6, you can receive up to $ 3,600. For eligible children aged 6 to 17, you can receive up to $ 3,000 per child. If you choose to receive monthly payments, you can receive up to $ 300 per month for each child under age 6 and $ 250 per month for each child age 6 to 17. You can claim any remaining credit on your 2021 taxes.

When and how will I receive the new child tax credit?

The IRS will pay the child tax credit in monthly installments from July through December. Eligible families will receive payments by direct deposit or check. Since the payments are half the credit, you can claim the remaining amount on your 2021 tax return, due in 2022.

The IRS will send these payments automatically, and most taxpayers won’t have to take any action. It will either use your 2019 or 2020 tax return or the information you provided through the non-filtering tool.

I did not receive the September child tax credit. What do I do?

Many recipients of the child tax credit said they did not receive the September payment even though they received payments on time in July and August. On September 24, the IRS said it fixed a technical issue that resulted in these missing payments, which they said affected about 2% of recipients.

These recipients, whom the IRS identified primarily as individuals who recently changed their bank or address information in the IRS Child Tax Credit Update Portal, or as married taxpayers jointly reporting taxpayers. where only one of the spouses has changed their banking information or address, should receive their payments by direct deposit starting September 24, or in the next few days by check.

Who is eligible for the child tax credit for 2021? How will the phasing out of the child tax credit work?

Is this credit likely to become permanent?

The new expansion of the child tax credit only affects tax year 2021.

However, the Senate is currently drafting the next budget bill, extending monthly child tax credit payments until 2025. The bill will need the support of all Democrats to get through. reconciliation.

What do I need to do to receive my payments?

In most cases, you will not have to do anything to receive the payments. The IRS will determine your eligibility based on your 2019 or 2020 tax returns and the information you submitted through the non-filtering tool. Most recipients will receive their payment by direct deposit, but you may receive a pre-loaded check or debit card.

If you are considered a non-filer and have never used the non-filer tool, you will need to do so. Typically, a non-filer earns less than $ 12,400 for single filers and $ 24,800 for married filers.

What are the planned monthly child tax payments for 2021?

The IRS will begin making monthly payments from July 15 until the end of the year.

How do I update my banking information?

You can update your banking information using the Child Tax Credit Update Portal.

To log into the portal, you can use your existing IRS username and password or create an ID.me account.

What if I had a child in 2021, can I receive the monthly Child Tax Credit payment for my child?

Yes. The IRS allows you to provide an update of the Child Tax Credit Update Portal for all eligible children that you can claim on your 2021 tax return.


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