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markdjerf
New Member

What is the definition of "total earned income" in relation to the earned income credit? Is it the same as AGI? Is clergy housing allowance included in total earned inc?

 
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LindaA
Expert Alumni

What is the definition of "total earned income" in relation to the earned income credit? Is it the same as AGI? Is clergy housing allowance included in total earned inc?

Yes, because the clergy housing allowance provided as part of a minister's pay is included in net earnings from self-employment, it is included as income for the earned income credit (EIC) (unless you have an approved Form 4361 or Form 4029). 

For more information, please Members of the Clergy in this IRS article: Special EITC Rules.


Note:  Total earned income is not the same thing as adjusted gross income (AGI) because AGI may include unearned income or adjustments. 

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