When Will You Receive Your Check for $ 1,400?
The House of Representatives of the House of Representatives, controlled by Democrats today voted in favor of approval of the latest package of measures to combat COVID , and it is expected that the President will sign the law Biden on Friday. But how soon will you receive the $ 1,400 checks included in the $ 1.9 trillion law, and what other relief is in store for you? Here’s a rundown of what to expect and when (spoiler alert: no minimum wage increase).
Third round of incentive tests
Checks totaling up to $ 1,400 will be sent to individuals with income less than $ 75,000 (or $ 2,800 for married couples with income less than $ 150,000). Unlike previous aid checks, dependents will receive the same amount, and adult dependents can now qualify for this as well.
However, the Senate changed the phase-out of benefits so that they start at a much lower threshold than previous reviews. People who earn more than $ 80,000 a year (or married couples earning more than $ 160,000) will be cut off entirely from aid checks, no matter how many children they have. The phase-out will also be much more expedited, as you will lose $ 280 for every $ 1,000 of your adjusted gross income that exceeds the qualifying threshold.
When can you expect the third stimulus check?
Both President Biden and White House spokesman Jen Psaki have confirmed that the checks will be sent in March, but a specific timeline has yet to be provided. However, CNET predicts that you will not see a check until next week, provided that you subscribe to a direct deposit with the IRS. Paper checks will be sent on March 24th and EIP cards on March 31st.
The only caveat is that while the previous round of emergency checks was sent out within days of President Trump’s signing of the bill, the IRS was not in the middle of its toughest tax season at the time. It is unclear whether this will complicate the delivery timeline for this round of inspections.
What else is there in terms of assistance?
Unemployment benefits
The Temporary Federal Weekly Unemployment Benefit Supplement will remain at $ 300 ($ 400 in the original proposal) and will be extended until September 6, 2021.
Extended tax breaks and exemptions
The child tax credit will increase to $ 3,600 for children under five, or $ 3,000 for children ages 6-17 (currently, the child tax credit is $ 2,000 for a child under 17). It is noteworthy that these payments will be paid monthly , not just in the form of loans, which you ask for when filing your tax return. In addition, the Child and Dependents Tax Credit will be expanded to allow some families to claim up to half of their childcare costs.
The benefit package will also increase the Earned Income Tax Credit (EITC) for workers without children by nearly tripling the maximum credit and expanding eligibility. The maximum EITC will also be raised to about $ 1,500 for childless workers.
Extended health insurance
According to the Seattle Times , the bill would cover the cost of premiums for workers trying to maintain their health insurance based on work after being laid off under the COBRA program (in fact, it was a Senate amendment to the previous version of the bill that only covered 85% of the cost). The bill also provides funding to subsidize COBRA coverage through the end of the fiscal year. Subsidies for health insurance premiums have also increased and are now easier to qualify for .
Funding for federal agencies, schools and transportation
The package includes $ 350 billion for state, local and tribal governments, as well as $ 130 billion for K-12 schools and $ 40 billion for colleges and universities. Rental Assistance includes $ 21.55 billion in emergency rental assistance, $ 5 billion in emergency housing vouchers and $ 5 billion in homeless assistance.
There is also $ 30.5 billion earmarked for struggling public transport agencies that are facing budget deficits due to massive reductions in passenger numbers. Nutrition programs and support for caregivers will also receive an additional $ 1.4 billion.
This story was originally published on February 9, 2021 and updated on March 10, 2021.