Monthly child tax credit payments start Thursday. Here’s what to know.

Families across the U.S. will start receiving a monthly child tax credit payment Thursday through the American Rescue Plan.

Called an advanced child tax credit, the monthly payments are connected to your income taxes. If eligible, parents may receive half of their annual tax credit money in the form of monthly payments. Parents will receive the other half of the credit when they file their income tax returns.

More:Advocates fear poorest families could miss out as Biden’s child tax credit payments begin to flow

House Budget Committee Chairman John Yarmuth, D-Ky., talks with reporters June 15 after meeting with the House Democratic Caucus and Biden administration officials to discuss progress on an infrastructure bill, at the Capitol in Washington. (AP Photo/J. Scott Applewhite, File)

Here’s what families should know about this new benefit: 

Am I eligible? 

Families with one or more children under 18 years old qualify for the full child tax credit amount this year if their income is less than:

  • $75,000 for individuals filing their taxes alone 
  • $112,500 for individuals filing as the head of household, such as single parents
  • $150,000 for a married couple jointly filing taxes

Source: USA Today – Breaking News