Second Stimulus Check Update: Money Coming Soon?

Second Stimulus Check Update: Money Coming Soon?

We have heard everything from $2,000 a month, the $4,000 Explore America tax credit, families receiving $6,000, another round of $1,200 checks, essential worker pay, and the list goes on and on.  When will congress pass a bill?  How much will it be? The answers are expected to come as soon as next week

The Senate is expected to engage in debates surrounding the next stimulus as soon as next week.  They will be working on a very tight timeline, that’s if they want to get something accomplished before heading out for another recess.

Senate Majority Leader Mitch McConnell is expected to introduce legislation when Congress returns from recess on Monday (July 20).  The proposal that he is crafting is so much under “lock and key” that not even many republicans know what is in the proposal that he is crafting.

The Senate will be back in session from July 20 to Aug. 7, and congress would have those three weeks to complete to pass a bill before key stimulus measures are set to expire. 

Speaker of the House Nancy Pelosi said that democrats would be willing to compromise on the additional unemployment boost depending on the amount of the second stimulus check.  The extra $600 boost is set to expire at the end of July.  

What she is saying is that if the next check is smaller or goes out to less people that the democrats will demand the full $600 while if it’s a generous check amount then they would be okay to extend the unemployment benefits of a smaller amount.

That $600 has been one of the things that has been keeping the economy afloat.  If the flow of stimulus is cut, markets could fall back and we could see the unemployment numbers go up once again.

Given that approximately 10% to 15% of U.S. GDP is driven by consumption, allowing those benefits to expire will strip more than 20 million Americans of a total of nearly $842 billion to spend.

You have lawmakers that are saying to let the additional unemployment benefits expire because you have people who are not inclined to go back to work or find a job because they are making more on unemployment than going back to work.

Which may be true in instances.  Remember the pandemic is real, at the time of this recording over 138,000 Americans have lost their lives.  And it’s sad where we are headed when saving lives has become a political issue.

Millions of Americans earning up to $75,000 already received at least $1,200 — $2,400 for married couples and $500 for each dependent under 18 — through the CARES Act.

The HEROES Act would increase the income cap to $112,500 for those filing as the head of their household, and married couples who make up to $150,000 will again receive $2,400. Adults would also receive $1,200 for each dependent, including college-aged dependents

McConnell has said new stimulus checks might only be available for those who make up to $40,000 a year.  Republicans are concerned about the national debt, which has sharply risen from $22 trillion in February 2019 to more than $26 trillion this July.

The good news is that if direct payments are passed in the new few weeks, checks would likely be delivered faster this time after millions verified their information on the IRS “Get My Payment” site.

In the upcoming week we should learn what the income limits for stimulus checks will be, the check amount, and more detailed information.