heinzmanax:
AGI starts with your total income, including items such as wages, tips, interest, miscellaneous income, and unemployment compensation.
Then certain deductions you qualify for are subtracted from your total income to arrive at your AGI.
Deductions are important to reducing your total income. Some common deductions are student loan interest, tuition and fees deductions, and allowed IRA contributions.
Your AGI is shown on your Form 1040 line 37, or Form 1040A line 21.
---Rachael 🙂
