Filing Status

I am a divorced parent of two children (14yo twins).  I have full custody and receive zero child support and can claim the children as my dependent.  I receive only a retirement income from the military (1099-R). 

I spoke to an IRS help line person who told me that "...since my income is only from my retirement ... that under a new law I do not qualify for earned income or head of household...".  Is this true?