How this calculator works
Tax year: 2024, United States. Qualifying children under 17 start at $2,000 each; other qualifying dependents start at $500. The combined credit reduces by $50 for each $1,000 or part above $200,000 MAGI, or $400,000 for a joint return. The basic ACTC estimate is limited by unused credit, $1,700 per child and 15% of earned income above $2,500. The special three-or-more-child payroll-tax alternative and territory rules are not modelled.
Formula
Credit after phaseout = max(0, 2000 x children + 500 x other dependents - 50 x ceil(excess MAGI / 1000)). Basic ACTC = min(unused credit, 1700 x children, 0.15 x max(0, earned income - 2500)).
Worked example
Two qualifying children at $60,000 MAGI start at $4,000. With $5,000 available tax liability, all $4,000 is non-refundable. With no liability and $20,000 earned income, basic ACTC is $2,625.
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Frequently asked questions
Do ages alone establish eligibility?
No. Relationship, residence, support, citizenship and identification rules also apply. Enter only children who meet all IRS conditions.
Does a credit always become a refund?
No. The non-refundable portion offsets available tax. ACTC has separate earnings and per-child limits.
Can I enter a 17-year-old?
A 17-year-old is not a qualifying child for the 2024 CTC, but may qualify as an other dependent.