Step 5. Earned Income
1. Are you filing Schedule SE because you were a member of the clergy or you had church employee income of $108.28 or more?
[ ] Yes.
[ ] No.
1. Enter the amount from Form 1040 or 1040-SR, line 1z 1. _____ 2. Enter the Medicaid waiver payment amounts excluded from income on Schedule 1, line 8s, unless you choose to include these amounts in earned income, in which case enter -0-. See the instructions for Schedule 1, line 8s 2. _____ If you and your spouse both received Medicaid waiver payments during the year, you and your spouse can make different choices about including the full amount of your payments in earned income. Enter only the amount of Medicaid waiver payments that you or your spouse, if filing a joint return, do not want to include in earned income. To include all nontaxable Medicaid waiver payment amounts in earned income, enter -0-. 3. Subtract line 2 from line 1 3. _____
4. Enter all of your nontaxable combat pay if you elect to include it in earned income. Also enter the amount of your nontaxable combat pay on line 1i of Form 1040 or 1040-SR. See Combat pay, nontaxable , later 4. _____ Electing to include nontaxable combat pay may increase or decrease your EIC. Figure the credit with and without your nontaxable combat pay before making the election. 5. Add lines 3 and 4. This is your earned income 5. _____
2. Were you self-employed at any time in 2025, or are you filing Schedule SE because you were a member of the clergy or you had church employee income, or are you filing Schedule C as a statutory employee?
[ ] Yes.
[ ] No.
3. If you have:
3 or more qualifying children who have valid SSNs, is your earned income less than $61,555 ($68,675 if married filing jointly)?
2 qualifying children who have valid SSNs, is your earned income less than $57,310 ($64,430 if married filing jointly)?
1 qualifying child who has a valid SSN, is your earned income less than $50,434 ($57,554 if married filing jointly)?
No qualifying children who have valid SSNs, is your earned income less than $19,104 ($26,214 if married filing jointly)?
[ ] Yes.
[ ] No.