UPDATED: Wed, Mar 10, 2021 | 11:42 AM PST.
Americans will soon get another Stimmy check!
The only thing separating Americans from a $1,400 stimulus check is a signature from President Joe Biden.
What you need to know:
The American Rescue Plan Act is expected to be signed by President Biden on Friday, and stimulus payments could start being sent out within days of him signing.That means Americans could start seeing the money as early as next week.
1. Who will get checks, and for how much?
Individuals who earn as much as $75,000, or couples making $150,000, plus their children or adult dependents, qualify for the full $1,400 per person. Single parents with at least one dependent who earn $112,500 or less also get the full amount. Families in which some members have different citizenship and immigration classifications are also eligible for a payment, if at least one person has a Social Security number. The payments phase out much more quickly than in previous rounds: An individual with income of $80,000, or a couple with $160,000, get nothing.
2. How will the IRS determine my income?
It will use the most recent adjusted gross income in its system. So if you’ve already filed a tax return with 2020 income, that will likely be used. If you haven’t submitted your taxes yet this year, the agency will rely on your 2019 income. However, the payment is technically based on the income you earn in 2021, which isn’t yet known. If you earn less this year than in prior years, you can claim any missing payments on the tax return you file next year. But good news: If you earn more this year and would qualify for a smaller payment or no payment at all, you won’t have to send the money back.
3. When and how will I get the check?
The IRS hasn’t yet announced a timeline for releasing the payments. The IRS is prepared to send the payments out within days of Biden signing the legislation into law, according to a person familiar with the timing who wasn’t authorized to speak publicly because the schedule has not been finalized. In the two previous rounds, the agency first sent direct deposit payments to those for whom it had bank account information on file, then mailed paper checks or pre-loaded debit cards to everybody else. In round one, last March, it took the IRS about two weeks to process the payments.
The Reference Shelf
Davison, L. (2021, March 5). How Can I Qualify for That $1,400 Stimulus Check. Retrieved March 10, 2021, from https://www.bloomberg.com/news/articles/2021-03-05/how-can-i-qualify-for-that-1-400-stimulus-check-quicktake