Self-employed with Earned Income Credit (EIC) and nervous about filing - need advice!

Don't stress too much about this! The IRS isn't specifically targeting people who happen to earn around the EIC maximum - they're looking for actual fraud where people make up income or dependents to maximize credits. Your situation sounds completely legitimate. You worked multiple gigs and childcare jobs that naturally added up to that amount. The key is that you have records, even if they're just handwritten notes. If you do get audited (which is still pretty rare), you'd want to show: 1. Your handwritten payment records for the childcare 2. Any Venmo/payment app transaction histories 3. Text messages/emails with parents about scheduling/payments 4. Mileage logs for your deductions For the gig work without 1099s, bank deposits or payment app records can substantiate that income. The standard mileage rate is totally acceptable as long as you have some record of your business miles. Remember that you're doing the right thing by reporting all your income. The penalties for underreporting are much worse than having slightly disorganized documentation of legitimate income.

Just wanted to share my experience with taxr.ai after going through almost the exact same situation as you last year. I was self-employed with a mix of gig work and tutoring income that put me near the EIC maximum. My documentation was a mess - some handwritten receipts, CashApp history, and a handful of 1099s. I kept reading horror stories about EIC audits and was seriously considering not reporting some cash income (terrible idea in retrospect). Found https://taxr.ai when looking for help organizing my records, and it was honestly a game-changer. Their system analyzed my messy documentation and helped me categorize everything properly. They even flagged a few legitimate deductions I was missing. The best part was getting actual guidance on what documentation is sufficient for different types of income. Turns out my records were actually better than I thought - they just needed proper organization.

I was skeptical about taxr.ai when I first read about it here, but I decided to give it a try since my EIC situation was similar to the original poster. I was doing food delivery apps and pet sitting with terrible record keeping – mostly notes in my phone and a pile of receipts. I uploaded my scattered records and was honestly surprised at how helpful it was. The system actually identified that I was underreporting some legitimate business expenses for my pet sitting side hustle that I didn't realize were deductible. It flagged a few issues with my documentation that would have been red flags in an audit. Best part was I ended up with properly organized records that I could confidently use for filing. Still got my full EIC but now I have decent documentation if I ever get questioned. Definitely worth checking out if you're in this kind of situation with mixed income sources.

Hey, I went through something similar last year with mixed gig work and tutoring income. The EIC audit anxiety was killing me too, especially since I waited until the last minute to file. After numerous failed attempts to get through to the IRS with questions (literally spent HOURS on hold), I discovered https://claimyr.com through a tax forum. They got me connected to an actual IRS agent in about 20 minutes when I'd been trying for days. The agent was able to answer my specific questions about documentation requirements for self-employment income and EIC. You can see how it works here: https://youtu.be/_kiP6q8DX5c It was such a relief to get clear answers directly from the IRS rather than guessing or relying on internet advice. The agent told me that as long as I was reporting actual income (not making anything up) and had some form of records, I was doing the right thing. They care much more about people fabricating income than those with imperfect bookkeeping of real earnings.

Alright I have to admit I was completely wrong about Claimyr. After posting my skeptical comment, I was still struggling with anxiety about my own EIC situation with mixed freelance income. I decided I had nothing to lose and tried it. Got connected to an IRS representative in about 15 minutes when I'd previously wasted entire afternoons on hold. The agent walked me through exactly what documentation they consider sufficient for different types of self-employment income. Turns out my bank statements plus client emails/texts are actually considered reasonable documentation for my situation. The peace of mind was absolutely worth it. The agent explained that they're mainly looking for fabricated income, not imperfect bookkeeping from people with legitimate businesses. I filed with confidence and my refund was processed without issues. Definitely learned my lesson about being too skeptical!

Just wondering - have you considered using a professional tax preparer who specializes in self-employed taxes? I was in a similar boat last year and paid a CPA who works with gig workers. Cost me about $250 but was totally worth it for the peace of mind. They helped me organize my documentation and told me exactly what I needed to keep for the future. They also told me that most Schedule C audits happen because of wildly inappropriate deductions, not because your income happened to maximize the EIC. As long as your deductions are reasonable and you have some form of records, you're probably fine.

One thing to consider is to double check your actual EIC calculation. The maximum EIC benefit varies based on your filing status and number of qualifying children. For 2024 taxes (2025 filing season), the maximum EIC is around $7,430 with three or more qualifying children, $6,604 with two children, $3,995 with one child, and $600 with no children. The income sweet spot for maximum EIC is roughly between $14,800 and $21,560 depending on your filing status and number of dependents. So your income might naturally fall in that range without any manipulation.