CalEITC Explained: Who Qualifies and How Much
California's refundable credit for low-income workers: the income limits, how the amount is set, and the two credits that ride on it.
The California Earned Income Tax Credit (CalEITC) is a refundable state credit for people who work and earn less than $32,901. For tax year 2025 (returns filed in 2026) it is worth up to $3,756 for a family with three or more children and up to $302 for a worker with no children. You claim it on form FTB 3514 with your state return, and you get the money even if you owe no tax.
Who qualifies
The Franchise Tax Board's 2025 FTB 3514 instructions set these conditions:
- Income under the limit. Your earned income and your federal adjusted gross income must each be less than $32,901. One limit applies to everyone: single or married, with children or without.
- Earned income above zero. Wages subject to California withholding, or net earnings from self-employment. A loss year rules out CalEITC (though it may still allow the Young Child Tax Credit, below).
- Investment income of $4,814 or less. Interest, dividends, capital gains and similar income.
- California residence. You must have lived in California for more than half the year. Someone who was a nonresident for half the year or more can't claim it.
- An SSN or ITIN. California accepts a valid ITIN for you, your spouse and your children, unlike the federal credit. You must have it by the return's due date, including extensions.
- Filing status. Married couples normally file jointly. A separated spouse who had a qualifying child living with them for more than half the year can claim it on a separate return.
Without a qualifying child you must be at least 18 at the end of the year (the federal credit sets a higher minimum age) and not be someone else's qualifying child or dependent. A qualifying child must meet the federal relationship and age tests and have lived with you in California for more than half the year.
How much you get
The credit comes from a table in the FTB 3514 instructions. It rises quickly with your first earnings, peaks at a low income, then falls to $1 just under the limit. If your AGI is higher than your earned income (because of interest, for example), the FTB looks up both amounts and you get the smaller credit.
| Earned income | No children | 1 child | 2 children | 3 or more |
|---|---|---|---|---|
| Maximum credit | $302 | $2,016 | $3,339 | $3,756 |
| $5,000 | $283 | $1,438 | $1,692 | $1,903 |
| $10,000 | $211 | $1,162 | $3,288 | $3,699 |
| $15,000 | $165 | $539 | $1,588 | $1,786 |
| $20,000 | $119 | $389 | $542 | $550 |
| $25,000 | $73 | $238 | $333 | $337 |
| $30,000 | $27 | $88 | $123 | $124 |
The maximum is reached at about $4,651 of earnings with no children, $6,951 with one child, and $9,801 with two or more. Tax year 2025 figures.
That shape matters. A parent of two earning $10,000 gets $3,288, but at $25,000 the same family gets $333. CalEITC is aimed at the lowest earners, which is why many people who qualify for the federal credit get only a small California one.
Two credits that come with it
- Young Child Tax Credit (YCTC): up to $1,189 per return if you qualify for CalEITC and have a qualifying child under 6 at the end of the year. It phases out as earned income goes above $27,425. It can also be claimed with zero or negative earned income, within limits. See our Young Child Tax Credit guide.
- Foster Youth Tax Credit (FYTC): up to $1,189 each for you and your spouse if you qualify for CalEITC, are 18 to 25, and were in California foster care at age 13 or older.
All three are claimed on the same form, FTB 3514, and all three are refundable.
How CalEITC differs from the federal credit
- The income limit is much lower than the federal limit, and it doesn't change with filing status.
- An ITIN works; the federal credit needs SSNs.
- The minimum age without a child is 18, and there's no upper age limit.
- Only wages subject to California withholding count, and you must be a California resident for more than half the year.
You can qualify for one and not the other, so check both.
How to claim it
- File a California return (Form 540, 540 2EZ or 540NR), even if your income is below the filing requirement.
- Attach form FTB 3514, or answer your tax software's CalEITC questions. List any child under 6 in the Child 1 to Child 3 columns so the YCTC is figured.
- Missed it before? You can generally claim it for up to four prior years by filing or amending those returns.
Free filing help is available through CalFile and through IRS-sponsored VITA sites, many of which prepare California returns.
Check your eligibility
The CalEITC Tax Credit Estimator checks the income gate and adds the Young Child and Foster Youth credits. For the YCTC phaseout in detail, use the Young Child Tax Credit Calculator.
Frequently Asked Questions
What is the income limit for CalEITC?
For tax year 2025, both your earned income and your federal AGI must be less than $32,901, so $32,900 is the most you can earn and still qualify. The limit is the same whether you have children or not, and whether you file single or jointly.
How much is the California Earned Income Tax Credit?
Up to $302 with no qualifying children, $2,016 with one, $3,339 with two, and $3,756 with three or more. The credit rises with your first few thousand dollars of earnings and then shrinks as income grows, down to $1 just under the limit.
Can I get CalEITC without a child?
Yes. You need to be at least 18 at the end of the year, have lived in California for more than half the year, and not be someone else's qualifying child or dependent. The maximum without a child is $302.
Can I claim CalEITC with an ITIN?
Yes. Since tax year 2020 California accepts a valid federal ITIN or an SSN for you, your spouse and your children. The FTB may ask for identity documents. The federal credit still requires SSNs.
Do I have to file a tax return to get CalEITC?
Yes. The credit is refundable, so you get it even if you owe no tax, but only by filing a California return with form FTB 3514. You can also claim it for up to four prior years by filing or amending those returns.
This article is for general information only and is not tax advice. Sources: FTB 2025 Instructions for Form FTB 3514 (General Information, Steps 1-10 and the EITC Table); FTB California Earned Income Tax Credit page; Revenue and Taxation Code 17052, 17052.1 and 17052.2.