I'm doing my daughter's taxes and it is telling me I need to upgrade to for 1040. She has 2 W2's why would I need to upgrade?

Did she contribute to a 401K at work or another retirement account?   Any unreported or allocated tips?   

TurboTax Free Edition is intended for taxpayers with very simple returns that can fit on the new 1040 form without any schedules.  If we detect that your tax situation requires expanded coverage, like Premium Tax Credits from Obamacare, self-employment income, 1099-MISC income, etc., we'll prompt you to upgrade to a version that supports the forms you need so we can maximize your tax deductions and ensure you file an accurate return.

Depending on what your tax situation was last year, you might need to use new tax forms to claim the same deductions, credits, or forms of income. Some of the situations that are now in TurboTax Deluxe and TurboTax Live Deluxe, instead of in Free Edition, include:

• Student loan interest deduction
• Retirement savings contribution credit for 401(k) and IRA contributions
• Education credits
• Child dependent care credit

Go here for more info on which forms are included in TurboTax Free Edition.