Stimulus Spending Can Stabilize Demand
In the end, stimulus checks made the pandemic-era recession less severe, said Zachary Parolin, a research scientist at the Center on Poverty & Social Policy at Columbia University. The first two payments alone were found to lift more than 11.7 million Americans out of poverty, including more than 2 million seniors and 3 million children.
In their absence, consumer demand would have likely been lower, threatening larger declines in employment, Parolin said. Families spent the cash mostly on food and utilities.
As a result, he expects to see the checks again, too.
If economic shocks put the economy at risk, then stimulus checks will certainly be a tool that the federal government considers applying, he said.
Where Things Stand On The New Stimulus Checks
The new, $1,400 payments are part of President Joe Biden’s $1.9 trillion pandemic rescue package. It’s packed with a wide variety of other aid, including $400 a week in bonus unemployment benefits.
The Democrats who control Congress have Biden’s plan zooming in the fast lane using a special process that would allow it to pass with simple majorities meaning with no Republican support, if it comes to that.
But one possible roadblock under that scenario is West Virginia Democratic Sen. Joe Manchin, who has said only the neediest Americans should get the full $1,400. Democrats hold the Senate by a razor-thin margin and will need every vote from their side, including Manchin’s.
The current legislation would phase out payments for Americans making over $75,000 a year, same as with the earlier stimulus checks. Manchin has preferred a $50,000 threshold and says he wants proof that people making $75,000 are truly in need.
Last spring, most recipients spent their first $1,200 stimulus check on essential needs, including groceries and rent, the U.S. Bureau of Labor Statistics has said.
A portion of the cash also was used for saving and investing, a bureau survey found, or for other, unspecified things possibly to buy affordable life insurance. Demand for life insurance policies has surged amid COVID.
So When Are You Likely To Get Another Stimulus Check
A bill including the fresh stimulus checks was passed last week by the powerful House Ways and Means Committee, one of the panels that control the government’s purse strings. A vote by the full House is expected next week.
After the House, the action shifts to the Senate. If Democratic leaders can keep Manchin on board, they may try to throttle up even further by sending the legislation directly to the Senate floor, with no committee votes, according to the Washington newsletter Punchbowl News.
Speaker Pelosi says the goal is to have a bill on the president’s desk in time to keep millions of Americans from losing unemployment money on March 14. That’s when an existing round of bonus benefits is due to expire.
If everything goes according to plan and Biden signs the bill during the first part of March the IRS may need just a few days to start pumping out stimulus check payments again. And that means you could receive your next infusion of cash as soon as the middle part of March.
Recommended Reading: Stimulus Check In April 2022
Th Stimulus Check Update
There has been a lot of buzz over the past few months about whether there will be a 4th stimulus check. The chances that you can expect another check from the government largely depend on where you live.
While the federal government has been slow to approve a 4th stimulus check, there has been some action by the states. That means that even though you may not get another check from the IRS, you may still get a 4th stimulus check from your state government. In some cases, local cities are even offering a stimulus check to residents.
Read more below to find out whether you could be eligible for a 4th stimulus check.
Details Of The Third Stimulus Check
Previous stimulus efforts included income caps, but in prior rounds you could still get a partial payment if you had dependents, even if you exceeded the cap. In the new round, if you exceed the income caps, you dont get a check, period.
The third round of stimulus includes consideration for people who fall into a range of categories that may qualify them for the third check:
- SSDI recipients
- Those who are not U.S. citizens
- American citizens who do not live in the USA
- Families with mixed-status citizenship
Income restrictions apply in most cases, and those in the above categories may need to do some additional research to learn under what circumstances they qualify or are disqualified under the bill.
Some of these individuals and families may have difficulty sorting out the stimulus payment depending on how they receive other benefitsits strongly recommended that those who need assistance claiming their stimulus while also receiving SSI or SSDI or other benefits contact the IRS or their nearest Social Security office to get advice and help.
You May Like: Will There Be Another Stimulus Check In California
Is Congress Talking About A Fourth Stimulus Check
There are no signs that lawmakers in Washington, D.C. are in serious discussions about a fourth direct payment stimulus check. While there have been calls by the public and from some lawmakers for recurring payments, there has been practically nothing in terms of action.
Emails and phone calls to the White House, Sen. Bernie Sanders, I-Vt., who is chair of the Senate Budget Committee, and Rep. John Yarmuth, D-Ky., chair of the House Budget Committee, asking if such payments are under discussion were not returned.
One pandemic-related stimulus that is being considered for an extension is the monthly advance child tax credit. It raised the previous tax credit from $2,000 at tax time to $3,000-$3,600 with the option of monthly payments. A one-year extension is part of the Build Back Better bill that passed the House. But Sen. Joe Manchin, D-W.V., announced Sunday he would not vote for it. With no Republicans on board, passage of the bill is doomed unless an alternative is found.
A group of Democrats sent a letter to Biden in back in May , but the letter did not get into specifics and nothing else came of it.
A change.org petition started by Denver restaurant owner Stephanie Bonin in 2020 called on Congress to pass regular checks of $2,000 for adults and $1,000 for kids for the duration of the pandemic crisis.
As of late December, the petition has reached nearly 3 million signatures.
Who Qualifies For An Inflation Relief Payment
Roughly 23 million California residents are eligible for the rebate plan, which has been set up in three tiers based on the adjusted gross income on your 2020 California state tax return. Residents who filed individually and made $250,000 or less or couples who filed jointly and made $500,000 or less qualify for a refund.In addition to income requirements, though, residents must have filed their 2020 tax refund by Oct. 15, 2021. You must have lived in the state of California for at least half of the 2020 tax year and still be a California resident on the date the payment is issued. Individual filers who earned over $250,000 and couples who made more than $500,000 combined in 2020 aren’t eligible, nor is anyone claimed as a dependent by someone else in the 2020 tax year.
Read Also: Where My Second Stimulus Check
How Can I Check My Stimulus Check Status
The IRS has created a website where you can check the status of your stimulus payment.
The Get My Payment tool is no longer updating for either the first or second stimulus check. However, you can use it to see the status of your third check.
- If your payment has been processed. the IRS will specify its status including whether it has been sent, the date issued, and whether the money will be directly deposited or mailed.
- If your status reads Payment Not Available. The IRS either hasnt yet processed your payment or you arent eligible for one.
- If it reads Need More Information. Your check was returned to the IRS after an attempted delivery. Give the IRS your bank information to receive your money.
If you did not get your first or second check, youll need to file a 2020 tax return to get the payment.
Payment Status Not Available
If you are getting Payment Status Not Available from the IRS stimulus check tracker dont be alarmed.
According to the IRS, if you receive that message it can mean one of three things:
- You are not eligible for the payment.
- The payment has yet to be processed
- The IRS doesnt have enough information to issue the payment to you
The agency said it will continue to issue the 2021 Economic Impact Payments throughout 2021.
State Stimulus Checks 202: See If Payments Are Coming Your Way Before The Year Ends
Nearly 20 states approved stimulus payments in one form or another in 2022, and residents in a dozen of them are still waiting for their money. If you live in one of the following 12 states and you havent yet received a payment you qualified for, dont panic the check might be in the mail.
Take a look below for more payment information from these state governments.
How Have Americans Spent Their Stimulus Checks
There have been threecount themthree wide-reaching stimulus checks from the government since the pandemic hit. And now that a good chunk of time has gone by since they dished out the first one, were starting to see how people spent that money. Our State of Personal Finance study found that of those who got a stimulus check:
- 41% used it to pay for necessities like food and bills
- 38% saved the money
- 11% spent it on things not considered necessities
- 5% invested the money
And on top of that, heres some good news: Data from the Census Bureau shows that food shortages went down by 40% and financial instability shrank by 45% after the last two stimulus checks.25 Thats a big deal. But the question here isif people are in a better spot now, will they be more likely to manage their money to make sure things stay that way?
Read Also: Were The Stimulus Checks In 2021 Taxable
How Do I Get My Stimulus Check
If youve filed a tax return for tax year 2019 or 2018 or submitted your information to the 2020 IRS Non-filer portal, you dont need to do anything. The IRS shouldve automatically sent your payment. Social Security recipients, including Social Security Disability Insurance , railroad retirees, and Supplemental Security Insurance and Veterans Affairs beneficiaries shouldve also automatically received a check.
All first stimulus checks were issued by December 31, 2020. If you are missing your stimulus check or didnt get the full amount that you are eligible for, you can claim your first stimulus check as the Recovery Rebate Tax Credit on your 2020 tax return or by using GetCTC.org if you dont have a filing requirement.
To use GetCTC.org, youll need a phone number or email address. Youll also need to provide your full name , mailing address, date of birth, Social Security Number, bank account information , 2019 Adjusted Gross Income , and details for any qualifying children you have.
9. What if I dont have an email address?
Recommended Reading: Will There Be Another Stimulus Check In 2020 To
Tips For Individuals During The Coronavirus Pandemic
- If you dont need to use your stimulus check for anything urgent, consider investing or saving the money. A financial advisor can help you get started if you need help managing your money or investments. SmartAssets free tool can match you with financial advisors in your area in just five minutes. Get started now.
- If you are struggling to keep up with loan or credit card payments, you can take steps to protect your credit score and speak with your bank directly to see whether you can defer loan payments or waive certain fees.
- If you can afford it, investing in index funds during a recession is a safe option. But if youre looking for a slightly more aggressive approach, check out some free investment classes to learn more.
You May Like: When Did The Stimulus Checks Go Out In 2021
You May Like: Update On Ssdi Stimulus Check
When Was $600 Stimulus Issued
When and how will the money be sent? Recipients may have seen a direct deposit pending in their bank account as early as December 29, but the funds became officially available . Paper checks or debit cards will be sent to those who dont already have a bank account on file with the Internal Revenue Service.
What To Do If You Cant Find Your Stimulus Check
If your IRS online account shows that you should have received a stimulus payment, but you didnât get it, thereâs a chance it could have been lost in the mail. Or you might have thrown away the prepaid debit card you received.
If you lost your stimulus check or suspect it was stolen, you can request the IRS trace your payment. If the IRS determines your check hasnât been cashed, it will issue a credit to your account. It canât reissue your payment, but you can claim the payment on your 2021 tax return using the Recovery Rebate Tax Credit worksheet.
If a trace is initiated and the IRS determines that the check wasnât cashed, the IRS will credit your account for that payment. However, the IRS canât reissue your payment. Instead, you will need to claim the 2021 Recovery Rebate Credit on your 2021 tax return if eligible.
If you lost your EIP card, a prepaid debit card on which some individuals received their stimulus payment, contact card issuer MetaBank to request a replacement.
You May Like: Who Qualified For Third Stimulus Check
Also Check: How Many Stimulus Payments Were There In 2021
Did I Get A Stimulus Check In 2021
The third round of Economic Impact Payments was authorized by the American Rescue Plan Act of 2021 as an advance payment of the tax year 2021 Recovery Rebate Credit. â¦ The IRS has issued all third Economic Impact Payments and related plus-up payments. Most eligible people already received their Economic Impact Payments.
What If You Need More Stimulus Check Money Right Away
Of course, that timing is still at least a month away. If you cant wait and need more money immediately, here are a few ways you might find cash in the meantime.
Cut the cost of your debt. Have you been leaning hard on your credit cards to get through the COVID crisis? If so, the interest is probably costing you a ton. Get a better handle on your debt and make it disappear sooner by sweeping your balances into a single debt consolidation loan at lower interest.
Shrink your insurance bills. Because many people have been driving less during the pandemic, car insurance companies have doled out discounts. But what if yours isnt giving you a break? Thats easy just shop around for a better deal. You also might save hundreds on your homeowners insurance by comparing rates to find a lower price on that coverage.
Refinance your mortgage and slash your payments. If you own a home and havent refinanced your mortgage in the last year, youre overdue. Rates have been the lowest ever, so refinance your existing home loan and reap big savings. An estimated 16.7 million U.S. homeowners could reduce their monthly house payments by an average $303 through a refi, according to mortgage tech and data provider Black Knight.
Also Check: Stimulus Checks 2020 And 2021
Best Ways To Keep Up With This All
If youre having trouble keeping track of what this all means and who may be eligible, youre not alone. Continue to follow along at BGR.com but also check your own states government websites to see if youre eligible for more money. Plus, theres the aforementioned IRS portal and the U.S. Department of Treasury links for COVID-19 relief.
When Will You Get Your Inflation Relief Check California Announces New Dates For Debit Cards
Posted: Oct 17, 2022 / 07:31 AM PDT
Posted: Oct 17, 2022 / 07:31 AM PDT
While millions of Californians have started receiving their Middle Class Tax Refund by direct deposit, many more are still waiting for the check to arrive.
The inflation relief payments, as lawmakers have called them, range in size from $200 to $1,050. The roughly 23 million taxpayers who qualify will get the payment , depending on how they filed taxes in 2020.
On Monday, the states Franchise Tax Board released more information on when recipients can expect to get paid but its complicated.
When you get paid depends on how you get paid. The first batch of payments, which have already started to be issued, are for people who received a Golden State Stimulus payment last year via direct deposit. Those payments started on Oct. 7 and go through Oct. 25.
The next group of people to get paid are those who received a Golden State Stimulus payment by debit card. This payment will also be sent by debit card in alphabetical order by last name.
If you were a GSS I or GSS II check recipient, see the chart below for more details on when your debit card with the Middle Class Tax Refund will be mailed, according to the Franchise Tax Board:
|GSS I or II check recipients||12/04/2022 through 12/10/2022|
Don’t Miss: How Do I Get My 3rd Stimulus Check