Dont Wait For A 4th Stimulus Check To Take Control Of Your Money
Getting your hands on some extra cash when youre in a tough spot can feel like a breath of fresh air, but dont depend on a stimulus as your money plan. Weve said it before and well say it again and again dont wait around for the government to take care of you. Its never a good bet.
And truth be told, youll be waiting around for a long time. Sure, a fourth stimulus check can help you out, but it isnt going to be your lifeline. If you really want to take control of your money, you need a proven plan that you are in charge of.
Look, stimulus checks will only keep you afloat for so long. But knowing how to budget, save and manage your money long term will help you go from just survivingto thriving. And we know just the thing to get you there.
When you budget with EveryDollar, you’re more likely to stay on top of your spending and make progress toward your money goals. Get your money working for you and start creating the life you wantwithout waiting on the government. Start budgeting for free with EveryDollar today!
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Stimulus Blamed For High Inflation
The final round of $1,400 direct payments which started in March 2021 along with the massive amounts of covid-19 relief funds injected into the US economy have been blamed for the higher-than-normal inflation afflicting the nation. The Federal Reserve Bank of San Francisco looked at the effect of the American Rescue Plan specifically on inflation.
It found that Bidens stimulus is temporarily ratcheting up inflation, but not causing overheating as has been suggested. Their analysis found that the ARP, is expected to cause inflation to increase by about 0.3 percentage point in 2021 and by a bit more than 0.2 percentage point in 2022. The impact in 2023 is negligible.
Other factors are helping push up prices on just about everything, a major source has been disruptions to supply chains caused by the pandemic. This caused manufacturers to scramble to secure scarce supplies of inputs to make their products. Americans in turn have been scooping up consumer goods with excess savings they acquired during the lockdown increasing demand on limited supplies.
Social Security Cash Up To $1800 To Land In Millions Of Bank Accounts In Days
The proposal came after it was heard from many seniors who shared their hardships in the aftermath of the pandemic.
Shannon Benton with the Senior Citizens League told The Sun: “We have received hundreds of emails from people concerned about making ends meet.
“The high cost of living adjustment, for many, just exacerbated their financial woes by bumping their income above program limits to qualify for medicare savings programs and extra help.”
The Senior Citizens League isn’t the only one that is trying to get Congress’s attention.
Also Check: When Did We Receive Stimulus Checks
Fourth Stimulus Check: Will Another Another Relief Payment Come This Year
— Stimulus checks have helped families during COVID, especially those that lost income. The pandemic continues, as the Delta variant pushes case numbers up among the unvaccinated in many states. But life around the country is settling into a new normal, and economic conditions are generally improving. The rising economy isn’t lifting everyone, however. Some people’s finances have improved, while other people’s have not. Unemployment still exceeds pre-pandemic levels, even with jobs widely available in certain sectors. Many states have already discontinued the federal unemployment bonus. Meanwhile, the federal eviction moratorium ends this week, and millions of people are still short of food and behind on bills. As of July 15, the new Child Tax Credit is helping some families. Despite the available aid, a fourth stimulus check might better serve those still in need. Can Americans expect another payment in 2021?
That question is still part of the national discussion. Some clues might signal where things are heading.
The third round of relief payments started back in March, courtesy of the American Rescue Plan . Since then, about 169 million people have received up to $1,400 each, accounting for most of the $422 billion set aside. The ARP checks closely followed the $600 payments from January, which came nine months after the $1,200 payments from the pandemic’s early days.
Oregon: Direct Payments Of $600
In March 2022, the Oregon legislature voted to approve one-time $600 payments to some residents. Taxpayers who were eligible to receive the earned income tax credit on their 2020 state tax return, and who lived in Oregon for the last six months of 2020, were eligible to receive one payment per household.
The state used federal pandemic aid to provide these direct payments to low-income residents, and more than 236,000 households received a payment. All payments were distributed by direct deposit or mailed check between June 23 and July 1, 2022.
The Oregon Department of Revenue website contains FAQs for residents with concerns about receiving their payment.
Don’t Miss: Is Economic Impact Payment Same As Stimulus
You Can Also Collect Missed Or Reduced Stimulus Payments Via Your 2020 Tax Return
Even people who did qualify for the first and second stimulus checks based on their 2018 or 2019 tax returns may have ended up not receiving their payments. Rus Garofalo, founder of Brass Taxes, says filing for a Recovery Rebate Credit can also help you get these missed payments, which “can be added to your taxes to increase your refund or decrease what you owe.”ae0fcc31ae342fd3a1346ebb1f342fcb
If you made more than $75,000 but less than $99,000 , you were still eligible to receive a partial payment from the first stimulus package. Individuals earning up to $87,000 and joint filers earning up to $174,000 also still qualified for partial payments from the second stimulus.
So if your income decreased in 2020, you may be eligible to receive more money based off of these income requirements, even if you already received a partial payment. However, if you somehow received more money than you were supposed to for either stimulus payment, you “won’t have to pay it back,” assures Mike Savage, chief executive officer of 1-800Accountant. And for more on previous stimulus payments, If You Never Got Your Last Stimulus Check, Experts Say Do This Now.
Th Stimulus Checks Given Out To Teachers
For other states, their fourth stimulus checks are taking on a new lookas teacher bonuses! Its no secret that teachers are the unsung heroes of our communities, and theyve been put through the wringer during the pandemic. To show them the appreciation that they more than deserve, some states are giving teachers a fourth stimulus.
In Florida, teachers will be getting a $1,000 bonusalthough some of the details of who qualifies are up in the air. If youre a teacher in the Sunshine State, check with your district to see if you can get in on this.15
Georgia is extending the $1,000 bonus to both full-time teachers and administrators. Part-time teachers will still score a bonus of $500, and theres even a plan in place to give a bonus to pre-K teachers.16
Earlier in 2021, Michigan used a grant to pay bonuses of $500 to its teachers and $250 to school support staff. No word yet on whether theyll give out another bonus, though.17
Our very own Tennessee is giving full-time teachers $1,000 and part-time teachers $500 to thank them for their hard work.18
Now, nothing has happened statewide yet, but some districts in the Lone Star State are giving out their own bonuses. Districts are gifting things like 24% raises, a $500 bonus, and even a $2,000 incentive for some teachers to return to the classroom.19
Also Check: Stimulus For 65 And Older
How Likely Is A Fourth Stimulus Check
Don’t hold your breath, according to Wall Street analysts.
For one, the Biden administration has focused on infrastructure spending to spark economic growth, betting that an investment in roads, trains and other direct investments will help get people back to work and spur the ongoing recovery.
Secondly, economists have pointed fingers at relief efforts such as the three rounds of stimulus checks for contributing to inflation. Because Americans had cash in their pockets, they boosted spending on goods such as furniture, cars and electronics. Combine that with the supply-chain crunch, and the result was sharply higher inflation, according to economists.
Without new stimulus efforts on the horizon, it’s likely that inflation could moderate in 2022, according to Brad McMillan, the chief investment officer at Commonwealth Financial Network. “One cause of inflation has been an explosion of demand driven by federal stimulus,” he noted in a December report. “But that stimulus has now ended.”
He added, “Yes, we will continue to face inflation and supply problems, but they are moderating and will keep doing so.”
Stimulus Check Payout Schedule
The IRS has confirmed that the distribution of economic impact payments has started and millions of Americans should have their stimulus check payment by now. Note that this will likely only apply to those receiving the payment via direct deposit . You can see the status of your stimulus check payment on the IRS Get My Payment portal.
- Direct Deposit payments will generally be deposited 2 to 3 days after the IRS confirms income eligibility for the payout.
- Physical checks will take at least 6 to 8 weeks to be mailed out.
Social Security Retirees and Disability recipients who are eligible for the payment will get the stimulus checks/payments deposited the same way they currently get their payments.
Given over 120 million Americans could be eligible for the payment, it will take a while to process the stimulus checks.
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Recommended Reading: Contact Irs About Stimulus Payment
Is A Fourth Stimulus Check Arriving In 2022
FILE – This May 8, 2008, file photo shows blank checks on an idle press at the Philadelphia Regional Financial Center, which disburses payments on behalf of federal agencies in Philadelphia. AP
As of right now, there are no plans for a fourth stimulus check in 2022. That doesnt mean efforts for additional financial assistance amid the coronavirus pandemic are done.
A petition for U.S. adults and $1,000 for children has been signed by 2.97 million people. If it reaches 3 million signatures, the petition will become one of Change.orgs most-signed petitions.
And while that petition has garnered millions of signatures and widespread attention, it appears unlikely it will move Congress to act. Instead, efforts are underway to extend the expanded Child Tax Credit, a measure passed during Marchs American Rescue Plan. The child tax pays parents up to $300 a month for children ages 5 and younger and $250 per child age 6-17. The remainder of the money up to $1,800 can be claimed when filing 2021 taxes in 2022.
The payments started in July and are set to end in December unless extended by Congress.
The $2.2 trillion Build Back Better bill, passed by the House on Nov. 19 and currently before the U. S. Senate would extend the monthly payments through 2022, short of President Joe Bidens proposal to stretch them into 2025.
That measure faces an uphill battle.
Who will receive stimulus funds in 2022?
Fourth Stimulus Check: Will Another Relief Payment Come This Year
— Multiple stimulus checks have helped Americans survive through COVID. Over 17 months after the economy initially shut down, the pandemic continues, with the Delta variant driving up case numbers among the unvaccinated. The rise comes amidst an improving economic conditions and could slow the recovery. Meanwhile, some people are still waiting for their recovery to start. Unemployment continues to surpass pre-pandemic levels, even with job opportunities widely available in certain sectors. The federal unemployment bonus ends on Labor Day, and about half of all states have already ended it . Millions of people remain short of food and behind on bills. A fourth stimulus check could help those in need. But will the Internal Revenue Service provide that help in 2021?
That question has not been definitively answered. But plenty of clues point in the direction things are heading.
Recommended Reading: Were There Any Stimulus Checks In 2021
Still Living Paycheck To Paycheck
While the stimulus checks and now-expired Child Tax Credit provided direct aid to families, “most federal aid programs miss the mark, and only reach a fraction of the intended recipients,” noted Greg Nasif, political director of Humanity Forward.
He added, “They barely functioned even before the pandemic and they leave parents with a full-time job navigating bureaucratic hurdles.” In his view, providing “speedy, efficient, direct cash support” is the best option for helping struggling families.
Many people never applied for unemployment benefits because they didn’t think they were eligible, while others may have given up due to long waits and other issues.
Even those who qualified for aid didn’t always receive it. Only 4 in 10 jobless workers actually received unemployment aid, according to a from economist Eliza Forsythe.
Are $2000 Monthly Stimulus Checks Possible
In response to President Biden’s American Jobs Plan proposal, a group of 21 senators on March 30 sent a letter urging the inclusion of stimulus checks in the legislation. The group called for recurring payments as long as the pandemic lockdown continued, meaning people would get monthly checks from the government. No amount for the payments was specified.
We urge you to include recurring direct payments and automatic unemployment insurance extensions tied to economic conditions in your Build Back Better long-term economic plan, wrote the group, which consisted of Sen. Elizabeth Warren, D-Massachusetts, Sen. Bernie Sanders, I-Vermont, and others.
An earlier stimulus check proposal, put forward during the early days of the American Rescue Plan in late January, also suggested monthly payments until the pandemic is over, but did not mention an amount. However, Rep. Ilhan Omar , D-Minnesota, tweeted earlier in January that she wanted to see $2,000 per month.
If that amount sounds familiar, it’s because now-Vice President Kamala Harris threw her support behind $2,000 recurring checks during the negotiations for the second stimulus check legislation in the summer of 2020.
The proposal has also gained plenty of support outside of Congress: Six online petitions calling for $2,000 monthly stimulus checks until the end of the pandemic have been posted. The biggest petition, on Change.org, has been signed by more than 2.8 million people and has a stated goal of reaching 3 million.
Recommended Reading: How Many Irs Stimulus Payments In 2021
Fourth Stimulus Check Amount
The fourth stimulus check amount depends on several factors. If passed, it would probably look similar to the previous checks, although that’s not guaranteed.
For reference, the first stimulus check amounted to as much as $1,200, while the second stimulus check brought $600 to eligible Americans. The third stimulus check, which the IRS is still in the process of distributing, is worth up to $1,400 per person, although the eligibility requirements are narrower.
All three checks gave the full amounts to taxpayers who made up to $75,000 a year, according to their most recent tax returns. Couples filing jointly got the full payment if they had a joint total income of $150,000 or less.
With the first two checks, those making up to $99,000 alone or $198,000 as a couple received prorated payments. With the third check, individuals who earned more than $80,000 per year or $160,000 per year as joint filers got nothing. Our guide to thestimulus check calculator can show you what your own eligibility looks like.
Th Stimulus Checks Given Out To Targeted Groups
Some states are digging into that wad of cash the government gave them and giving out the fourth stimulus checks to specific groups of people. The requirements look different for each state, but all seem to have a few things in commonlike falling into certain income levels or going through some kind of hardship.
The Grand Canyon State has a different take when it comes to stimulus checkstheyre giving them out to people who are going back to work. Arizonas Back to Work Program is offering $2,000 to those who got a job after being on unemployment.3 But you have to hold down your new job for at least eight weeks before getting the benefit.
The Golden State is the only one on the list to give out big ol broad-sweeping stimulus checks that look like the ones the federal government gave out. Heres how their numbers break down: Californians making $75,000 or less were sent a one-time check of $600 or $1,200 as part of the Golden State Stimulus I.4 And with the Golden State Stimulus II, they could be eligible for a second stimulus payment anywhere from $500 to $1,100.5 Thats on top of extra money the state paid out through the Young Child Tax Credit to those who have children age 6 or younger.6
These guys decided to shift their focus to giving their stimulus checks to the unemployed. They sent $375 to folks who had gotten at least one unemployment check payment between March 15, 2020, and October 24, 2020.7
Recommended Reading: Can You Claim Stimulus On 2021 Taxes
Idaho: $75 Rebate Payments
In February, Idaho Gov. Brad Little signed a bill that allocated $350 million for tax rebates to Idahoans. There were two criteria for eligibility:
- Full-time Idaho residency and filed 2020 and 2021 tax year returns, OR
- Full-time Idaho residency and filed grocery-credit refund returns.
The payments began in March. Each taxpayer received either $75 or 12% of your 2020 Idaho state taxes, whichever is greater . The rebate was applicable to each individual taxpayer and each dependent.
The tax commission first issued rebates to taxpayers who received refunds via direct deposit, then sent paper rebate checks.
In a special session on Sept. 1, Idaho lawmakers voted to authorize another tax rebate for all residents who filed state tax returns in 2020. Individual filers will receive $300, and couples filing jointly will get $600.
The funds come from the states $2 billion budget surplus. The payments are slated to roll out within weeks, according to a report by the Idaho Press.
State residents can also check the status of their rebate online.
