Advance Earned Income Credit (AEIC) is a benefit that allows eligible low-to-moderate-income employees to receive a portion of their Earned Income Credit (EIC) in advance through their paychecks.
- What is Advance Earned Income Credit (AEIC)?
Answer: It is a benefit providing eligible employees with an advance portion of their EIC through payroll. - Who is eligible for AEIC?
Answer: Low-to-moderate-income employees with qualifying children who meet IRS criteria are eligible. - How is AEIC administered?
Answer: It is administered through payroll adjustments based on employee applications and IRS forms. - What are the benefits of AEIC for employees?
Answer: It provides immediate financial relief and supplements income throughout the year. - What happens if an employee overclaims AEIC?
Answer: Overclaiming may require repayment or adjustments during tax filing.
