Stimulus check: HEROES Act proposal vs initial one in March
The HEROES Act is not yet law but has been passed by US House of Representatives. Here's a look at the differences between it and the initial relief package, the Cares Act.
A second relief bill, was passed on Friday by the US government and it means a further $3 trillion will be made available for people with financial difficulties during the coronavirus pandemic.The bill is called the HEROES Act — Health and Economic Recovery Omnibus Emergency Solutions Act — and could mean a second stimulus check for American citizens.
The first stimulus checks were sent out in April with another one talked about in May as part of the Cares Act. There was a row between Democrats, who were pushing for the added financial aid, and the Republicans, who wanted to open up the country again and let the free market do its thing.
What are the differences between HEROES Act and previous one
The CARES Act was signed into law in late March. It laid out around $290 billion in economic aid payments to US citizens with adults receiving a check for $1,200 plus $500 for each dependent. However, the $2.2 trillion package approved by the Trump administration made few or no provisions for immigrants and their families. The main difference between Heroes and CARES is that the former addresses these issues quite comprehensively.
The HEROES Act is a "bold response to the coronavirus pandemic and the economic collapse," according to the House fact sheet. The financial support is intended to "[cushion] the economic blow of the coronavirus crisis."
The goal of the new stimulus package is "putting much-needed money in the pockets of the American people," Speaker Pelosi said in a recorded statement.
The HEROES Act would see Americans who qualify for a stimulus check receive $1,200 ($2,400 in the case of joint return) plus another $1,200 for every other dependent with a maximum of $3,600 and immigrants would retroactively receive the $1,200 payment they were denied under the CARES Act.
There are no changes to the original act in that people who earn over $75,000 do not make the cut for the maximum amount and it reduces by 5% above the amount of the stimulus check. For example, as explained by Forbes, a person who makes $99,000 and has no children would not receive a stimulus check.
The HEROES Act adjusts the language of the bill to reduce the benefit designed for just that person to $0. Under the Heroes Act, joint filers with just one TIN would receive a $1,200 check from the CARES Act.