Fourth stimulus check news summary: 9 May 2021
US stimulus checks: live updates, Sunday 9 May 2021
Headlines:
- Around 164m third stimulus checks now sent out, with a total value of $386bn
-Facing labor shortages, the governors of Montana and South Carolina say their states will stop all additional pandemic-related unemployment benefits by July. (full story here)
- 570,000 'plus-up' payments, worth around $1bn, in latest batch of checks
-Child Tax Credit: Unemployed workers can still claim it. (Full story here)
- US job growth far below expectations in April amid labor shortages (how does this affect the chances of a fourth stimulus check?)
- White House reportedly weighs up automatic stimulus checks
- Golden State Stimulus payments going out in California (find out more)
- Florida first responders to get $1,000 stimulus check (full story)
- 17 May IRS tax return deadline coming up
- Track your third stimulus check with the IRS' online Get My Payment tool
- US covid-19: 32.69 million cases / 581,651 deaths (live updates from Johns Hopkins University)
Have a look at some of our related articles:
CNBC answers the question if one were to invest $600 of their third stimulus check, how much could you reasonably make in 40 years.
When to expect unemployment tax break refund: who will get it first?
When to expect an unemployment tax break refund: who will get it first?
In most years, May is the month millions begin receiving their tax return. This year feels different this year as the filing deadline was pushed back to 17 May. Part of the justification for moving back the filing deadline was to ensure the IRS had time to alert tax payers to new benefits and credits they may be eligible for. As part of the American Rescue Plan those that claimed unemployment compensation in 2020 will receive a $10,200 tax waiver per individual. Unemployment benefits are taxed by the federal government, which came as a surprise to many of the 40 million who had never previously received jobless aid.
When President Biden signed his first major piece of legislation in March, which included the tax break to those who claimed unemployment benefits in 2020, tax season was well under way. To avoid making taxpayers amend their tax returns the IRS went back and recalculated the filings to account for the tax break.
Third stimulus checks: how many payments were made in the last batch?
Curious how many payments of the third stimulus check have been made?
The Internal Revenue Service (IRS) announced on Wednesday that it had distributed more than 1.1 million third stimulus checks in its latest payment run, taking the overall number of checks sent out to 164 million.
Find the details here.
Golden State Stimulus: What is it, who approved it, and how does it differ from federal stimulus check?
The covid-19 stimulus bill signed into law by California's governor in late February included billions to send direct payments to low-income residents. These payments, the Golden State stimulus checks, aim to help those who have been hit especially hard by the pandemic and many residents who were unable to claim the federal benefits because of their immigration status.
While highlighting the integral role undocumented workers play in the state, the California Immigration Policy Center highlighted that these workers who make up about ten percent of the state’s workforce “are overrepresented in frontline industries responding to the COVID-19 pandemic.”
Curious how much federal aid has been sent to your state? Check out this new tool put together by the Peter G. Peterson Foundation.
Data available on the tool includes federal funding for all federal covid-19 programs, spending by states on major covid-19 programs, and more.
What states are ending pandemic-related unemployment benefits?
As the nation witnesses labor shortages in some states, two governors have decided to end all additional pandemic-related unemployment benefits.
Montana and South Carolina will end pandemic-related unemployment benefits, including the additional $300 a week topper to state benefits. Montana will offer a return to work bonus to encourage reentry into the workforce. The US Department of Labor and many economists disagree with the move but have little power to undo the decision.
Read our full coverage here.
Weak April jobs numbers may encourage lawmakers to pass more stimulus, a move that could have negative impacts on emerging markets. More stimulus could also be beneficial to China who is ready to meet the increased demand of consumers in the US. Read the full story here.
Do you need to work to claim the child tax credit?
Do you need to work to claim the child tax credit?
Child policy advocates report that more than 2.5 million children have fallen into poverty since early in the pandemic.
There are no specific work requirements to redeem the child tax credit. However, there are income limits. The IRS, which periodically provides an update on the status of the program and when they expect to begin making payments has said that the credit will be sent to families making under $150,000 for married taxpayers who file jointly, $112,500 for heads of household, and $75,000 “for all other taxpayers.”
Before families needed an income of at least $2,500 to receive partial benefits and could only redeem the full value of the tax credit if they made at least $30,000 a year.
Read our full coverage here.
New: Opinion piece from the Washington Post, "Americans didn’t need financial literacy month. They just needed money."
Read the full story here.
CBS 8 reports that more than a billion dollars worth of Golden State stimulus checks has yet to be sent. Those who qualify must submit a 2020 tax return to receive the funds. In California, the deadline to file state and federal income tax is May 17.
Read our coverage on the Golden State Stimulus checks:
$600 Golden State Stimulus Check: how long until they are paid?
NEW Resource for Unemployed Workers
A financial guidance website, The Penny Hoarder, has put together an interactive map to help unemployed workers take advantage of all the benefits they are entitled to. The map also has information on the federal, Pandemic Unemployment Assistance program which aims to ensure that part-time and gig workers also receive benefits if they lost their job or had their hours cut due to the pandemic.
Will the fourth stimulus check be approved? Can it still happen in May?
The fate of the next round of direct payments is up in the air after public statements from President Joe Biden and White House press secretary Jen Psaki.
When will SSI recipients receive the Golden State Stimulus?
The California Department of Social Services handles a separate program authorized under California's stimulus legislation called the Golden State Grant (GSG). One-time GSG payments of $600 will be provided to SSI/SSP (Supplemental Security Income/State Supplementary Payment) recipients, along with all eligible CalWORKs Assistance Units and the Cash Assistance Program for Immigrants (CAPI) to provide covid-19 pandemic relief.
The timeline for those payments has not yet been announced but California Department of Social Services spokesman Jason Montiel said: "We hope to begin issuing payments this summer.” He recommended checking the website, where more details will be posted as they become available.
Monthly Child Tax Credit recipients urged to get 2020 tax returns in
The IRS is reminding parents to get their 2020 tax return in before the 17 May deadline to ensure they get the monthly amount they're entitled to as part of the expanded Child Tax Credit, which sees households paid up to $300 per month per child. Note that parents opting to get their expanded Child Tax Credit as a lump sum, rather than receiving instalments, will get their money after filing their 2021 tax return next year.
Third stimulus check: have all payments been issued and paid?
More than 1.1 million additional Economic Impact Payments have been issued under the American Rescue Plan this week, taking the amount of payments made to approximately 164 million.
Stimulus checks: check out all our articles
In our dedicated section on stimulus checks, we have a range of news pieces providing news on the possibility of a fourth direct payments, and updates and information on the third round of stimulus checks.
$600 Golden State Stimulus check: can I get it if I also received the third stimulus check?
The new covid-19 relief bill signed recently in California will provide direct payments for low-income residents, but are there limits on receiving both?
$1,000 stimulus check for Florida first responders: how many people will get it?
Florida Governor Ron DeSantis on Wednesday announced that first responders in the US state are to receive a $1,000 'pandemic bonus'.
"Supporting our law enforcement and first responders has been a top priority for my administration, and it has never been more important than over the last year," DeSantis said. "As a state, we are grateful for their continued service to our communities.
"This one-time bonus is a small token of appreciation, but we can never go far enough to express our gratitude for their selflessness."
In all, around 174,000 law-enforcement officers, fire-service personnel and emergency medical workers across Florida are in line to receive the payment, DeSantis said.
Full details on the $1,000 stimulus check for first responders in Florida
How Trump's name made it onto the first two stimulus checks
This reporting by ABC's Ben Gittleson, who obtained emails between top government officials via Freedom of Information Act requests, offers an interesting insight into the process by which former President Donald Trump's name was included on the paper checks sent out in the first two rounds of direct payments to Americans.
The third stimulus check, distributed as part of Joe Biden's $1.9tn covid-19 relief package, does not bear the current president's name.
Over 1.1 million more third stimulus checks sent out this week
The IRS announced on Wednesday that it had distributed more than 1.1 million third stimulus checks in its latest payment run, taking the overall number of checks sent out to 164 million.
In all, eight weekly batches of third stimulus checks have now been sent out, at a total cost of around $386 billion.
(Photo: Brian Snyder/Reuters)
Fourth stimulus check: What are Biden's economic proposals according to the unemployment report?
After the April jobs report was seen as a major letdown, what is President Biden proposing to accelerate the economic recovery?
Tackling stimulus-check misinformation
As Americans wait to find out whether the US government will send out a fourth stimulus check, there has, unfortunately, been no shortage of misinformation posted on the internet about the possibility of another round of direct payments.
For example, this USA Today article flags up a recent, widely-shared Facebook post that claimed Americans are to receive a $2,000 fourth stimulus check by Memorial Day weekend, despite the fact that such a payment has not been approved by Congress.
What's more, the same Facebook user also wrongly claimed that the expanded Child Tax Credit will see qualifying households get monthly checks of up to $500 per child.
While households are set to get monthly payments as part of the scheme, they will be no higher than $300 per child.
Related reading: IRS confirms payments for child tax credit are slated to begin this July
Use Get My Payment to track your stimulus check
A reminder that you can visit the IRS' online Get My Payment portal to get updates on the progress of your third stimulus check if it still hasn't arrived.
Find out more about Get My Payment
(Image: www.irs.gov)
Unemployment benefits: how long will the $300 enhanced payment last?
The American Rescue Plan included an enhanced weekly unemployment benefit of $300 on top of what claimants receive from the state through September.
Unemployment benefits: What state has the best payments?
Identifying which state provides the “best” benefits is not an easy question to answer and depends heavily on what one defines as “best.”
We took a look at three factors: size of the benefit, cost of living, and eligibility period to compare benefits across the states.
'We're turning the corner on pandemic', says White House covid coordinator
The United States is turning the corner on the coronavirus pandemic and U.S. health officials are now focused on getting more Americans vaccinated, the White House covid-19 response coordinator Jeff Zients said on Sunday.
"I would say we are turning the corner," Zients said in an interview with CNN's "State of the Union." The task now is to continue building confidence in vaccines and get enough Americans vaccinated to mitigate the spread of the virus and its variants, he said.
U.S. health officials are on a full court press to overcome vaccine hesitancy and make access to COVID-19 vaccines as easy as possible, aiming to meet President Joe Biden's goal of 70% of Americans having at least one shot by the July 4 U.S. Independence Day.
2020 tax deadline looming
Despite being extended by the IRS in March, the new deadline for filers of 17 May is just over a week away
When to expect unemployment tax break refund: who will get it first?
As part of the American Rescue Plan those that claimed unemployment compensation in 2020 will receive a $10,200 tax waiver per individual. Unemployment benefits are taxed by the federal government, which came as a surprise to many of the 40 million who had never previously received jobless aid.
When President Biden signed his first major piece of legislation in March, which included the tax break to those who claimed unemployment benefits in 2020, tax season was well under way. To avoid making taxpayers amend their tax returns the IRS went back and recalculated the filings to account for the tax break.
In an announcement the IRS informed that the agency would handle the automatic adjustments in two stages with refunds expected to begin in May. The agency said it would start with individual tax returns first, followed by those with a filing status of married filing jointly and more complicated returns.
Third stimulus check: who could have to return the money and why?
There are some people that, believe it or not, want to return their $1,400 stimulus checks and others who got one by mistake and are required to return it.
$600 Golden State Stimulus in California: what's the deadline to file taxes and claim it?
You will need to file your 2020 state tax return by 15 October, 2021 to be included in the Golden State Stimulus check distribution process. If you are eligible to receive the payment your money will arrive in the form of whichever refund option you selected on your tax return.
How effective are stimulus checks according to Biden?
The third round of stimulus checks are already having an impact and are improving the lives of millions of struggling Americans, President Biden announced last week.
“We’ve already sent more than 160 million checks out the door. It’s making a difference," Biden said, in the first address to a joint session of Congress of his presidency. "For many people, it’s making all the difference in the world."
But while Biden is clearly enthusiastic about the direct payments that the IRS is currently distributing, his administration appears less convinced about the prospect of a fourth stimulus check in the near future.
When will the IRS finish making stimulus payments?
The IRS has until December 2021 to send all stimulus checks but many believe with the pace of delivery the tax authority will finish the job before then.
Norwegian living in Norway allegedly gets all three stimulus checks
Republican congressman Thomas Massie this week claimed that the IRS has mistakenly sent all three coronavirus stimulus checks to a Norwegian man living in Norway, who hasn’t paid taxes in the United States since the 1970s.
Since the first round of stimulus checks went out in April 2020, there have been cases of foreign workers living overseas receiving direct payments despite not being entitled to one. According to a report by NPR last August, this has often occurred because the recipients of the check have to submit a US tax return but have erroneously filed as residents rather than non-residents.
This does not appear to be a likely explanation for the case of the Norwegian - if indeed the facts of the matter are as Massie has presented them, of course.
Third stimulus check frequently asked questions
If you have any unresolved queries about the latest round of stimulus checks, you may find your question is answered in the third Economic Impact Payment FAQs section on the IRS website.
You'll find question and answers on a range of topics related to the third stimulus check, such as 'Requesting My Payment', 'Receiving My Payment', 'Plus-up Payments' and 'EIP Cards'.
Take a look at the IRS' third Economic Impact Payment FAQs page
(Image: www.irs.gov)
Biden tax plan calculator: how could your taxes and credits change?
President Biden’s new tax proposals would see the wealthiest and corporations paying more, while benefiting the majority of households through tax credits.
US unemployment benefits federal tax waiver: how to claim
As part of the $1.9tn coronavirus stimulus bill signed into law in March, Americans can use their 2020 tax return to apply for a tax break on the first $10,200 of unemployment benefits they received last year.
Full details on how to claim the tax waiver
Further reading: When to expect unemployment tax break refund
Stimulus checks fuel record projected Mother's Day spend
Growing consumer confidence, helped in part by stimulus checks, is set to see Americans spend a record $28.1bn on Mother’s Day this year, according to research by the National Retail Federation (NRF).
The results of a poll carried out by the NRF show that consumers in the US plan to spend an average of $220.48 per person on Mother’s Day purchases - $16 more than in 2020.
“There is a lot of consumer optimism around Mother’s Day this year as more people are getting vaccinated and stimulus checks are being distributed,” NRF President and CEO Matthew Shay said.
“For many, this is a chance to make up for last year’s Mother’s Day when we were under lockdown. With safety guidelines at top of mind, consumers are planning to be with family, are making travel plans and organizing a special brunch or outing. All of these activities will be reflected through their purchasing decisions.”
$1,400 third stimulus check: what is "IRS TREAS 310 - TAX EIP3"?
Third stimulus checks are arriving in the bank accounts of direct-deposit recipients with the identifying reference IRS TREAS 310 - TAX EIP3", or something similar to that.
Automatic stimulus checks reportedly under consideration
ICYMI: Newsweek reported on Friday that “senators and the White House” are considering the possibility of getting automatic economic-aid measures ready, apparently including stimulus checks, for the next time the US economy takes a major downturn.
President Joe Biden and his administration “understand that this is smart policy and good politics,” the Economic Security Project’s Adam Ruben told Newsweek.
“Putting in place these kinds of triggers would smooth out the recovery and no one is left at the mercy of Washington gridlock in future recessions.”
$600 Golden State stimulus check: who qualifies in California?
One of the provisions agreed to in state-wide stimulus bill provisions passed back in February 2021 was a $600 direct payment to residents who had been hit hard by the pandemic. At the time of the bill’s passing, California Gov. Gavin Newsom stated that 5.7 million payments would be made to low-income Californians.
Claiming your missing stimulus check
If you qualified for the first or second stimulus check but didn’t get it, you can claim it in your 2020 federal tax return by seeking what is called a Recovery Rebate Credit.
This also applies to Americans who didn’t receive the full amount entitled to and wish to claim back the difference in their return.
Individuals have until 17 May to file their 2020 federal tax return.
The IRS has prepared this info sheet on the Recovery Rebate Credit.
There’s also a video explainer on the agency’s YouTube channel:
Child Tax Credit calculator
For parents wishing to find out how much they are entitled to as part of the expanded Child Tax Credit, this calculator created by Forbes magazine may well prove to be useful:
Forbes Child Tax Credit calculator
Qualifying households stand to receive up to $3,000 per child aged between six and 17, and up to $3,600 per child under the age of six, with recipients given the option of being paid their money in a lump sum in 2022, or getting the first half of their credit in monthly payments throughout the second half of 2021.
Further reading: Child Tax Credit: when will the monthly payments begin?
Petition calling for recurring $2,000 stimulus checks now has over 2.1m signatures
A Change.org petition launched last year calling for recurring stimulus checks amid the coronavirus pandemic has reached just over 2.1 million signatures.
Created by Colorado restaurant owner Stephanie Bonin, the petitionurges Congress to approve monthly payments of $2,000 for adults and $1,000 for children.
“Supplying Americans with monthly support until they can get back on their feet can save our communities from financial ruin,” Bonin said.
At the time of writing, the petition had been signed by 2,133,954 people. Such has been its popularity that Change.org included it on its list of top 10 ‘petitions that changed 2020’.
(Image: www.change.org)
What ID can I use to cash stimulus checks?
If you want to cash your stimulus check you can do so at banks even where you are not an account holder or member, but you will need to bring ID.
IRS plus-up payment: what is it, how much is it and who gets it?
The eighth batch of third stimulus checks to be sent out included some 570,000 further ‘plus-up’ payments, with a total value of around $1bn.
‘Plus-up’ checks are being distributed to Americans who have already received their third Economic Impact Payment, but now qualify for a larger amount based on their recently-processed 2020 tax return.
Will the fourth stimulus check be approved? Can it still happen in May?
As President Joe Biden pushes on with his agenda he has announced trillions more in federal spending over the past few weeks, which will complete his three-pronged Build Back Better legislative plan.
The American Jobs Plan was announced in early April, with details of the American Families Plan emerging from Biden’s first address to a joint session of Congress later that month. But although the two bills include more than $4 trillion of spending, there was no fourth stimulus check included in either proposal.
Given how long it took to pass the last stimulus bill, it is extremely unlikely that another round of the direct payments could be passed in May. However that does not mean that more long-term hopes for a fourth stimulus check have been extinguished.
Stimulus checks: every AS English article
You’ll find a host of news pieces offering updates on the possibility of a fourth stimulus check, and info on the third round of checks, in our dedicated section on direct payments.
When to expect unemployment tax break refund: who will get it first?
The IRS is to send tax refunds in two waves to those who benefited from the $10,200 unemployment tax break for claims in 2020.
$3000/$3600 Child Tax Credit: when will the monthly payments begin?
American households are set to begin seeing up to $300 per child in monthly payments this summer, after the IRS doubled down on its commitment to begin sending out the enhanced Child Tax Credit in July.
When will SSI recipients receive the Golden State Stimulus?
On Thursday California’s Franchise Tax Board sent out 2.5 million Golden State Stimulus payments. Payments are scheduled to go out twice a month.
$600 Golden State Stimulus Check: how long until they are paid?
In February California Gov. Gavin Newsome signed into law a $7.6 billion state-wide relief package, known as the Golden State Stimulus bill. The package was designed to provide an economic boost to the state’s struggling individuals, families and businesses.
It took a bit of time for the California Franchise Tax Board (CFTB) to begin the enormous logistical process, but by April Newsom was able to confirm that the first wave of Golden State Stimulus checks had been sent out. For the majority of recipients the arrival date for the direct payment depends on tax filing information
$1,000 stimulus check for Florida first responders: how many people will get it?
First responders in Florida are to receive a one-time bonus as a "small token of appreciation" for their efforts during the coronavirus pandemic, Governor Ron DeSantis announced this week.
Find out more about the 'pandemic bonus' for first responders in Florida
Which states require people to return unemployment benefits that were wrongly claimed?
In the early days of the pandemic, a mix of inexperienced claimants and overwhelmed state unemployment agencies led to mistakes and a rash of overpayments.
Fourth stimulus check: What are Biden's economic proposals according to the unemployment report?
The Bureau of Labor Statistics released the April jobs report and it sounded alarms of a slowing economic recovery. With the country eager to return to normalcy, the Dow Jones had expected that over more than one million jobs would be added. In the end, that number was only 266,000.
Before the BLS report was released, President Biden’s Press Secretary, Jen Psaki, stated that the administration was not opposed to the idea of a fourth stimulus check. In her remarks, Psaki reminded the press that the decision lies with Congress and that caution is needed as direct payments “aren’t free.”
The President took an optimistic tone on Friday after the report, saying that the American Rescue Plan aims to help the economy over the next sixty years and that although many would like to see a quicker recovery, “the climb is steep, and we still have a long way to go."
The President’s comments may mean that he’s not willing to support a fourth stimulus just yet, and would like to see more data on the economic recovery before he takes a stand on the matter publicly.
Third stimulus checks: how many payments were made in the last batch?
The IRS has now sent out eight batches of third stimulus checks as part of the economic-aid scheme, which was included in President Biden's $1.9tn covid-19 relief package.
Track your stimulus check with Get My Payment
If you’re still to get your third stimulus check, you can get updates on its progress by visiting the IRS' online Get My Payment portal.
(Image: www.irs.gov)
US stimulus check: live updates
Welcome to our daily live blog on stimulus checks in the United States, where the IRS continues to distribute a third round of federal direct payments to qualifying Americans.
We'll also bring you the latest news on a possible fourth stimulus check, as well as updates on other economic-aid measures in the US, such as the expanded Child Tax Credit program, and the Golden State Stimulus payments being sent out in California.