$600 stimulus checks begin to roll out via direct deposit or mail
A completely new stimulus plan has been passed and given to the president for approval. What distinguishes this stimulus package from others is that it is no longer just a suggestion.
It’s not something drafted by the House of Representatives that will be instantly shut down and thrown away by the Senate.
With 900 billion dollars set to go into effect, including new stimulus checks and perks for you if you qualify, this is as definitive as it can get.
First, it begins with a $300 weekly boost in unemployment benefits through March 14, 2021.
This one is crucial because, as of today, 6.7 percent of Americans are unemployed, and that percentage may rise in January as more firms close, halt operations, and furlough or lay off their staff.
This is much less than the old $600 per week unemployment compensation, which ended on July 31st, but at least $300 per week is a figure on which both parties could agree, and it is expected to run 11 weeks until March 14th, 2021.
If you are newly jobless in 2021, your benefits will be extended until April 5th.
What makes this one unique is that it also provides an extra $100 per week for unemployed gig workers who earn money from both the standard W-2 job and self-employment. This means that if you had a side hustle that saw a decrease in income and that money wouldn’t be used to qualify for normal unemployment, it’s taken into account in this case and you might be able to qualify.
To qualify, you must have earned at least $5,000 in self-employment revenue in 2019.
Another thing I’d want to point out is that these benefits are not retroactive, so if you’ve been jobless for a few months, you won’t have a huge lump amount given to you right away.
Even while this technically begins on December 26th, each state will be different, so it may take some time to process all of the claims.
Second, we have $25 billion in rental aid that may cover up to a year’s worth of rent, as well as an eviction prohibition until January 31st, 2021.
The eviction ban is straightforward.
Prior to this, landlords were unable to evict tenants earning less than $99,000 per year until December 31, 2020, but with this new stimulus package, the ban was extended another month until January 31, 2021. But where this gets interesting is within the details of the $25 billion package, and here’s what you need.
To qualify, first one or more members of your household must be eligible for unemployment benefits, have a reduction in income, or have experienced financial hardship as a result of the pandemic. Second, you must demonstrate a risk of housing instability through either a past due utility bill, past due rent, or an eviction notice, and have a household income that is no more than 80 percent of the area’s median income.
However, in order to receive the benefit, the money will be directed to your state, which will then distribute it as needed.
They claim that qualified homes can get up to 12 months of rent, with the possibility of receiving up to 15 months of rent.
At the end of the day, it will be up to the states to get this up and operating as soon as possible before the eviction deadline of January 31st.
To qualify for the $600 stimulus check, you must earn less than $75,000 per year as a single person or $150,000 as a married couple, and the stimulus check amount is lowered by $5 for every $100 you make beyond that threshold.
So, if you’re a single person making $87,000 or a married couple earning $174,000, you won’t get anything.
Now, in order for the government to compute this, they will use your 2019 tax return, and if you experienced a decrease in income in 2020, you will receive this money when you file your 2020 tax return.
In addition, you will get $600 for each eligible dependent under the age of 17 years old.
In terms of when you’ll receive this money, Steve Mnuchin stated that it may be as soon as next week.
Despite the fact that they already have virtually everyone on file from the previous time, we all know and have seen that not everything goes well, so some people may receive their payment a little later than planned depending on how it is handled.
Fourth, we have 325 billion dollars going to small companies, with 284 billion dollars going to the paycheck protection program.
For those who are unaware, the paycheck protection program is intended at firms that might take out a low-interest loan to stay alive and keep their employees on payroll.
There are also clauses in there that state that if the money is spent on eligible costs, the whole amount may be forgiven, meaning they do not have to pay it back, which is essentially free money.
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