(WQOW) – Today is the last day to unenroll for the advanced child tax credit before payments begin July 15th.
The IRS recommends that you unenroll if you expect the amount of tax you owe to be greater than your expected child tax refund when you file your return for 2021.
Those who are married, and filing jointly, must separately unenroll from the tax credit.
“Some considerations that people can make when receiving these payments is to make sure that they’re comfortable with their level of savings, building up that emergency fund. Secondly, to accelerate some debt payments or thirdly filing Roth IRA’s or any additional savings,” said Korrie Trier CFP, financial advisor with Ameriprise Financial.
The IRS based eligibility for the advanced child tax credits on 2019 or 2020 tax refunds.
Eligible filers will receive half of their child tax credit in monthly increments until December with up to $250 per child aged 6 to 17, and $300 per child under 6.
The income-based credit starts to phase out for filers earning more than $75,000 a year, or $150,000 for those filing jointly.
Dates for unenrollment: