Los 40 USA
NewslettersSign in to commentAPP
spainSPAINchileCHILEcolombiaCOLOMBIAusaUSAmexicoMEXICOlatin usaLATIN USAamericaAMERICA

Relief checks news summary | 18 January 2023

Update:
With inflation trending down, the next economic bomb to go off could be the US debt ceiling... follow along for updates on negotiations and more.

Inflation Relief: Latest Updates

Headlines | Wednesday 18 January 2023

- Treasury set to suspend some pension fund payments as US reaches debt ceiling

- Tax season is almost here: when should you expect your refund? 

- Residents of some states will see inflation relief this month in the form of a direct payment 

- Top 1% has seen a $26 trillion increase in wealth since the pandemic began 

- The World Economic Forum in Davos kicked off to discuss the future of the world economy

- Treasury​​​​​​​ warns that US will reach debt ceiling limit on Thursday​​

​​​​​​​- Many now look to the Federal Reserve to see how it will respond to faling inflation.

- IRS delays implementation of $600 reporting requirement for those whose business is paid through Venmo or PayPal. 

- Boosted SNAP benefits for vulnerable families will return to previous levels in February

as.com

How will inflation look at the end of the year?

The Federal Reserve has this big question to answer this year. They have been trying to knock inflation down by manipulating interest rates. The jury is still out whether this has been effective.

According to Forbes, traders on Wall Street are prepared for another rate increase in February that could bring the FFR range up to 4.5 and 4.75 percent if the Fed opts for a .25 percent bump like they did in December. Additionally, the board projects unemployment increasing by 1.1 percent to around 4.6 percent in 2023.

Having a few million more unemployed might bring down inflation at the cost of people's livelihoods, but that seems to be a price the Fed is willing to pay.

as.com

Will be tax refund be smaller this year?

With tax season 2023 now just days away, the IRS has warned that your tax refund could be a little smaller this year. In recent years there have been numerous pandemic-era financial support programs, many of which were administrated by the IRS, which bumped up filers' refunds. But now the likes of stimulus checks and the expanded Child Tax Credit have finished, and we're largely back to pre-covid conditions. 

as.com

Why are GOP members holding out on debt ceiling increase?

Congressional Republicans are unified in their opposition to calls from the Treasury to increase the debt ceiling to avoid a catastrophic default. Increases to the nation debt limit are usually agreed upon fairly swiftly, but GOP members of Congress have voiced their opposition to a number of spending initiatives from President Biden that they argue have pushed up the national debt to unsustainable levels. 

However the Democrats did work with Republicans during the Trump administration to raise the debt ceiling on three occassions. These were largely the results of former President Trump's tax cuts. 

as.com
Why does the IRS want Americans to file their tax return as soon as possible?

Americans are being encouraged to file their 2022 tax returns as promptly as possible to avoid facing significant delays. The IRS is entering tax season 2023 in a stronger position than last year, having hired more than 5,000 new employees to staff help lines to ensure questions from taxpayers can be addressed in an individualized and rapid manner.

In a statement released earlier this month, Acting IRS Commissioner Doug O’Donnell said: “This filing season is the first to benefit the IRS and our nation’s tax system from multi-year funding in the Inflation Reduction Act.”

Read more

as.com
Why are eggs so expensive in California? When will the prices go down?

For the past year Americans have been feeling cost rises in everything from gasoline to groceries. Generally, those increases have been the result of sky-high inflation but there are other, more isolated issues, playing havoc with the price of eggs. 

Here's why eggs have become so expensive...

as.com

What was up with PPP loans?

The PPP program seems to have resulted in billions of dollars of fraudulent loans that have ultimately turned into grants.

Samuel Kruger, assistant professor of finance at the University of Texas at Austin

It was entirely unclear at the beginning. The SBA (Small Business Administration) really rushed to get this program out there, which I think they should be commended for ... but a lot of the details were very unclear to businesses and banks.

Eric Lichatin, commercial loan officer at Centreville Bank in Rhode Island

PPP loans forgiven but not student debt

An NPR analysis of data released on 8 January by the Small Business Administration found that 92% of the PPP loans issued have been granted full or partial forgiveness, including many linked to Republicans like Marjorie Taylor Greene who are refusing the same for students.

The plan to forgive $10,000 of student loans has stalled after a lawsuit was filed by students who were covered by private loans and would not be forgiven any money. In a twist of fate, the two plaintiffs had tens of thousands of dollars forgiven in PPP loans.

as.com
Best men’s grooming products on Amazon for under $30: trimmers, razors, skin care, hair regrowth...

With inflation still high and companies using every opportunity to raise prices many items have become unaffordaable. Though you may have gotten some male grooming for Christmas (who doesn't) we have collated a list of some of the more affordable items to give your appearance a bit of a lift for 2023.

as.com
What is the debt ceiling and how can it affect your day-to-day?

What does the debt ceiling mean to the average American? Well, very little, if we are being honest.

However, the need to raise it is very real and the consequences from the failure to do so would have an impact on citizens that would be felt in very profound ways. The negotiations to allow the Treasury to continue borrowing could also produce effects that will affect regular Americans.

as.com

Rental prices are cooling

Renters have been taking a beating this past year as landlords asked ever steeper amounts from tenants. However, the pace of growth in prices nationally is decreasing, even falling in some markets.

The latest readings from Redfin show that the average rental price asking rent rose 4.8% in the 12 months through December. That is less than a third of the pace seen the same month the year before.

as.com
How to apply for the economic assistance for those affected by the winter storms in California

Severe winter storms have ravaged California since late December causing flooding, landslides and mudslides affecting homeowners and businesses across the state. The extreme damage wrought has prompted President Joe Biden to approve a major disaster declaration in the Golden State.

The move frees up Federal Emergency Management Agency (FEMA) aid to those who have been affected in the counties of Merced, Sacramento and Santa Cruz.

as.com
Why does the IRS want Americans to file their tax return as soon as possible?

Americans are being encouraged to file their 2022 tax returns as promptly as possible to avoid facing significant delays. The IRS is entering tax season 2023 in a stronger position than last year, having hired more than 5,000 new employees to staff help lines to ensure questions from taxpayers can be addressed in an individualized and rapid manner.

Read our full coverage for more on how to submit your return and track your refund in a timely manner. 

as.com

The Internal Revenue Service, tax planners and filers are getting ready for the start of the 2023 tax season which kicks off 23 January. Taxpayers will need to submit their paperwork and pay any taxes owed by 18 April. The tax season doesn’t just stir people to sort out their financial papers, it also causes gyrations in the stock markets.

As Tax Day approaches a common phenomenon occurs with the price of stocks slumping towards the end of the tax season. While the dip doesn’t typically last that long, usually markets rebound by mid-April, the reason, or theory, behind it is fairly straightforward.

Another anomaly has been seen at the end and beginning of the year. Known as the ‘January Effect’, the value of stocks drop in December and then rebound in January. This one however has all but disappeared over time, some even doubt that it exists, and again the explanation is partially tied to taxes.

​​​​​​​For more on how your portfolio could fair this tax season, check out our full coverage

as.com
IRS Tax Season 2023: What is Form W-9 and how to obtain it?

Tax season is underway in the United States, forcing many to get their finances in order. The W-9 is one of the lesser-known forms taxpayers may need to use to report their income and other financial information to the IRS.

Check out our full coverage for details on how to request and submit a W-9. 

as.com
Why are big tech companies cutting so many jobs?

The tech industry saw major growth during the pandemic as covid-19 shuttered offices, transforming the way many workers performed their jobs. Remote work, increased shopping online and the rise of cryptocurrencies all aided the expansion of tech companies and their market valuations.

This led to a splurge of hiring for many companies but the economic winds began to change as central banks began to aggressively raise rates to put the brakes on rising prices. With valuations dropping and a global economic slowdown looming, investors are calling on companies to cut some of their excess employees and spending which has resulted in tens of thousands being laid off and more expected to come.

​​​​​​​Read our full coveragefor more details on factors motivating this latest wave of layoffs. 

as.com
Inflation relief checks in January 2023: which states will pay them and amounts

According to the Bureau of Labor Statistics’ summary of the Consumer Price Index (CPI), the year-on-year inflation rate was 6.5 percent at the end of December last year, representing a drop compared to November when this indicator was 7.1%.

Even as inflation has fallen, several states will continue to send inflation relief checks, sometimes referred to as stimulus checks, or tax refunds in January 2023 and beyond, which were approved last year to provide relief from high prices.

​​​​​​​

as.com

Which goods saw the highest increase in prices in 2022?

The Bureau of Labor Statistics has released a new report examining changes in consumer prices throughout 2022. Last year was historic in terms of inflation, with goods rising rapidly as the impacts of covid-19 shutdowns and the Russian invasion of Ukraine took effect. 

Many goods consumed to ensure households were able to cover their basic needs like food, energy, shelter, and medical all saw massive increases, while the companies who produced and sold these goods took in massive profits. Only time will tell if decreases are seen over the coming year as markets stabilize. 

as.com
IRS Tax Season 2023: When to expect your tax refund

Tax season in the United States is nearly upon us. The Internal Revenue Service will start accepting and processing returns for the 2022 tax year on 23 January.

It is thought that more than 168 million individual tax returns are due to be filed before the 18 April deadline, giving the tax agency a herculean task to undertake. However, there is hope that this year’s filing season will go a lot more smoothly than the previous three, all of which were disrupted by the pandemic.

This year the IRS has been given additional funds from the federal government to ensure that the process can be completed swiftly. The IRS aims to ensure that taxpayers who file electronically receive their refund within 21 days of filing, assuming they select the direct deposit option.

Read our full coverage for more details from the IRS on when refunds will be sent. 

as.com

Senators attend Davos meeting on global issues

During an appearance on-stage at the World Economic Forum in Davos on Tuesday, Sens. Kyrsten Sinema and Joe Manchin reflected on their role in the Upper House, preventing any changes to the controversial filibuster rule. 

When the issue was raised, Sen. Manchin said that he and Sen. Sinema were still of the belief that the filibuster should remain, and the pair high-fived. 

“While some would say that there were reluctant folks working in Congress in the last two years,” Sen. Sinema added, “I would actually say that was the basis for the productivity for some incredible achievements that made a difference for the American people in the last two years.”

as.com

House GOP rejects call for debt ceiling increase

We could be in for a months-long spell of squabbling in Congress after recently-installed House Speaker Kevin McCarthy confirmed that he will not allow a debt ceiling increase to be passed without some promises on spending cuts. The Republicans in the House of Representatives have railed against President Biden's large-scale spending packages and see this as a chance to reduce federal costs. 

as.com

US closes in on debt ceiling limit

Treasury Secretary Janet Yellen is preparing a number of "extraordinary measures" in a bid to prevent the United States defaulting on its debt obligation when it reaches the debt ceiling later this week. The maximum amount of debt that the US government is able to accrue is limited by legislation, and Yellen estimates that the country will hit that upper threshold on Thursday. 

Those measures can ensure that sufficient funds are available for the next few months, but the onus is now on Congress to agree to a debt ceiling increase before a catastrophic default. 

as.com

Hello and welcome to AS USA's live blog on inflation and financial news. We will bring you the latest on relief for families, tax credits and benefits, and much much more. 

We will be looking at the latest data on inflation, unemployment, and growth and announcements from the Federal Reserve as they carve out a monetary path forward. 

California is wrapping up the sending of the Middle-Class Relief Payments, which impacted more than thirty million people living in the Golden State. Next up? It could be a windfall profit for oil and gas companies that make profits over and above historic levels

as.com