The Stimulus Check 2020 is still on the way to bank accounts and mailboxes across the country, so you may have questions or want an update about yours. Whether you are curious about where your stimulus check is, how much you qualify, or what the schedule is, we have the answers. We also have news for those wondering if Stimulus Check 2 (or a second round of checks) is possible.
After the government approved the $ 2 trillion aid package under the Cares Act to combat the economic blows caused by the global pandemic, the IRS developed a tiered system for sending stimulus check payments to those who advocated it to qualify.
Almost two months later, not everyone received their check. Sending the checks by mail takes some time, and since the deadline for filing the tax return has been postponed, the IRS is still processing the documents.
You may have heard the payment as a “recovery discount”
While tax returns are usually issued after you submit your taxes, the government has preferred the loan to curb the impact of COVID-19 on American businesses and income. These stimulus checks, up to $ 1,200, can help those who have lost their jobs or are experiencing financial problems.
With the start of the first wave stimulus tests, discussions about a second round have already surfaced. Here’s what we know about it, as well as answers to any other questions you may have about the IRS stimulus check payments.
Stimulus Check Status: Where’s My Stimulus Check?
There were a few issues sending stimulus checks. The system works slowly because websites and call centers are overloaded and ask questions about payment terms. Every week, the IRS sends a series of checks to those who are eligible.
But not everyone who is entitled has received it yet. According to The Washington PostSome checks may not arrive until September.
You can check the status of your stimulus test using a tool developed by IRS. By filling out a short form in the IRS Get My Payment app, you should be able to see the status of your stimulus check if you want to get one.
Here’s how it works: Go to IRS Get My Payment App website . Click “Get my payment” to go to the portal. On the authorized use page, click OK after reviewing the terms. Enter your social security number (SSN) or your individual tax ID (ITIN), your date of birth (MM / DD / YYYY), your address and your zip code. Click on Continue”.
Do you have to register for the stimulus check?
No, you do not have to register for your stimulus check. The government should record how much you earn each year based on your tax returns.
That is, if you haven’t submitted your taxes for 2018-2019, the IRS doesn’t have your income in its system. Without knowing how much you earn, the government cannot determine if you are eligible for the stimulus test.
For those who do not need to file a tax return, you can enter your payment information on the IRS website. Click here if you are considered a non-filer.
Eligibility for stimulus testing: do you get one?
Eligibility for stimulus testing depends on how much you earn in the books each year. If you are a US taxpayer who has earned less than $ 75,000 a year according to your last tax return, you are entitled to the full payment of $ 1,200.
Married couples who file a joint tax return will receive a payment of $ 2,400 if they have a total income of $ 150,000 or less.
Note that people with social security support do not have to apply for payment. Unfortunately, according to CNN, some were sent to the deceased in a hurry to perform stimulus checks as soon as possible. And the IRS says these payments have to be returned.
Remember that You must submit your quality taxes for stimulus testing. The IRS has extended the usual deadline from April 15 to July 15. The sooner the government has your tax information for 2018-2019, the sooner you can receive your payment.
Stimulus Check Calculator: See How Much You Get
While people who earn more than $ 99,000 or childless couples who earn $ 198,000 don’t get paid, there are many who earn somewhere in between. As long as they have submitted their taxes, they will receive pro rata amounts.
What does that mean? Well, you will gradually receive less than $ 1,200 as your annual earnings approach $ 99,000. Read our guide to using the stimulus check calculator to find out how much relief you get.
Stimulus checks for relatives and children
For each child or family member under the age of 17 (16 years or younger), parents who meet the above eligibility requirements will receive an additional payment of $ 500 for economic impact.
However, if the child was born or adopted in 2020, the parents will not be supplemented because payments are based on 2019 tax returns. However, the IRS allows new and eligible parents to request that their child be returned next year for retroactive compensation.
Note that the second round of stimulus checks, which may come from Heroes’s law, which is about to be voted on, removes the age limit for qualifying the kicker at $ 1,200 per dependent kicker. The number of dependent people is limited to three.
Stimulus Check Schedule: When Should You Get Yours?
The IRS began sending stimulus checks in the week of April 13, sending paper payments to more than 5 million eligible taxpayers. This completed the payments of millions more that had made a direct deposit.
Paper stimulus checks continue to be sent every week at a rate of around 5 million a week. The “schedule” depends on your income, ie how much you earn according to your last tax return is controlled when your check is sent.
So far, the IRS has provided three updates regarding the number of stimulus checks it sends and the total number of these checks.
April 24: 88 million checks, $ 158 billion
8th of May: 127.5 million checks, $ 217 billion
May 22: 152 million checks, $ 258 billion
The IRS first sends out the $ 1,200 checks for those with the lowest income and predicts that it will take up to 20 weeks for all payments to be made.
If you need your stimulus check earlier, you can still set up a direct deposit.
USPS Stimulus Check Tracking Notifications: Know when your payment arrives with Informed Delivery
You don’t have to track your postman while waiting for your stimulus check. The USPS offers a delivery notification service that tells you exactly where your payment is on the way and when it arrives.
With the free “Informed Delivery” tool, you can track your stimulus test as soon as it has been processed by the postal service. As with items you have ordered online, Informed Delivery will notify you when the envelope with your payment from the IRS has landed in your mailbox.
Here’s how it works: Go to the USPS Informed Delivery page and click “Register for Free”. Enter your mailing address. Click on Continue”. When your stimulus check has been processed and is heading for your address, you can set up an account for informed delivery.
Create a username, password and personal security questions. Enter your contact information and click “Next”. Click “Verify Identity Online” or “Request Invitation Code by Email” to verify your account. This is faster and more efficient online, although you can also get a code via email.
When your account is verified, you will receive an email from the USPS with the latest update of your stimulus check delivery every Monday through Saturday. You can also use that Informed delivery app (iOS, Android) to track your payment.
Stimulus Check Debit Card: How it works and what to do if you throw it away
Approximately 4 million taxpayers receive a prepaid debit card from the IRS instead of a physical check.
If you don’t have a bank account and don’t get a tax refund from the government, the Stimulus Check debit card will help you support yourself. It bears the Visa logo and is issued by MetaBank. In addition, a letter should be attached to the card, stating that it is a payment card for economic effects.
Upon receipt of the card, taxpayers must call 1-800-240-8100 to verify their identity. After you have set your PIN and signed the back of the card, you should be able to use the stimulus payment card like any other debit card. Just be careful not to throw away the stimulus check debit card.
According to a NBC News report, some Americans accidentally eject their stimulus debit cards. This is because payments are made in normal white envelopes, which some may mistake for junk mail or unwanted credit card offers. The envelopes have no federal markings and simply say “Money Network Cardholder Services”.
If you throw it away, call toll-free 1-800-240-8100 and request a replacement card. There’s a $ 7.50 fee for it technically, but a Treasury spokeswoman told the Washington Post that the first-time fee would be waived.
Deadline for the direct deposit of the stimulus check: It has expired. What now?
By setting up direct deposit for your stimulus check You will receive your check much faster than waiting for it to arrive in the mail. However, if you haven’t set it up yet, it’s too late now. You have to wait for the email for your check.
Postal checks will arrive later in May and June. When a second round of stimulus checks takes place, the direct deposit can open again.
Do you pay taxes on your stimulus check?
The short answer is: No, you don’t have to pay taxes on your stimulus check.
The stimulus check is recognized as a tax credit and is therefore not considered taxable income. No matter how much your payment is worth, you can deduct it from the total taxes you owe next year.
It will be included in your total refund amount in your 2020-2021 tax return, but you will not collect it because you have already received the advance. If you have not received your payment, check that you are eligible and have met the requirements.
What to do if you do not receive your stimulus check?
If you get a “Payment status unavailable” message when checking your stimulus check status, there are several reasons why. The simplest answer is that you may be making too much money to qualify.
As reported by CNN, another reason for receiving the payment status unavailable message is that the IRS may still be processing your tax return for 2019. The agency may also process the non-filer form you submitted online. Also keep in mind that the IRS has simply not yet uploaded your data to the tool.
You can now call the IRS for further answers on the status of your stimulus test. The telephone number of IRS Economic Impact Payment is 800-919-9835. You can call to speak to a live representative if you have any questions after referencing the IRS website.
Stimulus Check 2: Is there a second payment?
In May, the House of Representatives passed the Heroes Act, a law that provides for a second round of stimulus checks while providing financial support to frontline workers. The law was passed with 208-199 votes, but has yet to be approved by the Senate. If the Senate passes the law, it is possible that a stimulus check 2 will arrive in the next few months.
President Trump appears to be open to a second round of payments. As reported by CNBC, Trump said: “I think we will help people” and “get some money for them”. He added that the US could “take a nice shot” on an economic payment.
But what about a monthly stimulus check? A report in Forbes states that a bill to provide monthly payments of $ 2,000 to Americans within a certain age and income bracket “is gaining momentum” with some Congress supporters. The invoice was submitted by Rep. Time Ryan (D-Ohio) and Rep. Ro Khanna (D-Calif).
It is likely that you will have to wait about a month or more before making a decision about the second stimulus check. Senate majority leader Mitch McConnel told CNBC that Congress “is carefully reviewing the fourth and final bill,” and that people can “anticipate the decision to proceed in about a month.”
And McConnel made it clear that the second round of short-term audits, when mailed, will be the last, and will be created with the idea of strengthening the economy as soon as companies reopen. This situation, along with US unemployment, is unlikely to be clear for several weeks.
The Republicans seem cautious about deciding whether a second stimulus check is needed because they want the economy to open first. In contrast, the Democrats are rather persistent about the need for further review, with some talking about the slow pace of Congress in deciding.
“We need a break? Tell the virus, ”House Speaker Nancy Nancy Pelosi told reporters last week. “Does the virus take a break? Is hunger pausing in America? “
Monthly $ 2,000 Stimulus Check: Is It Possible?
Forbes reports that a bill that provides monthly payments of $ 2,000 to eligible taxpayers “is gaining momentum” with some Congress supporters. The house bill was provided by Rep. Time Ryan (D-Ohio) and Rep. Ro Khanna (D-Calif).
Senators Kamala Harris and Andrew Yang, who were both presidential candidates for 2020, have given support for a $ 2,000 monthly stimulus check package, with the idea that such checks would be avoidable for anyone up to the age of Earned $ 120,000 a year.
Harris, along with Senator Bernie Sanders and Senator Ed Markey, introduced the law to support the monthly economic crisis. Under this scheme, the monthly checks would not only apply to individuals, married couples could also receive $ 4,000 a month, and an additional $ 2,000 per dependent would be made available, up to a maximum of three dependents. And the payments would be available to all US citizens, regardless of whether they have a social security number or are filing taxes.
“The government should be there for people at a time of crisis,” Harris said. “People should be able to rely on their government to see them and create a safety net for them so that these people do not get into poverty or continue to get into poverty in the course of this pandemic.”
However, such monthly stimulus check plans have not gained the support of Republican politicians. There are concerns that a stimulus check of $ 2,000 per month would not only cost the U.S. government an enormous amount, but it would also be difficult to ensure that the people who really need the financial recovery get it.
And it seems that the Senate’s introduction of HEROES law is the first hurdle before other stimulus check plans can be properly proposed or even put into effect.
Best ways to spend your stimulus check
If you are lucky enough to find the best ways to spend your stimulus check, you should use the payment wisely. How you spend your stimulus check depends on your situation and whether you have enough savings for emergencies.
If you have not already saved 6 months of emergency money, you should deposit your stimulus check for a rainy day. When unexpected costs arise, you have cash on hand.
Are you sure that your savings are sufficiently cushioned? Examine your debts. If you are dealing with high-interest debt, especially from credit card companies, try to repay it in full. This will help your credit score in the long run.
Once your savings and debts are in order and you want to get that $ 1,200 out of your hands, you can invest in stocks, bonds, or mutual funds. You can also support local businesses or donate to those in need. It depends on your circumstances, so consider your decisions carefully.
According to a report in MarketWatch, researchers have found that many of those who have received stimulus payments use it to pay rent and bills, as well as food and non-permanent goods. The category of non-permanent products includes consumables such as detergents, paper and other articles with a shorter lifespan.
Stimulus check for deceased: how to return it
In several cases, the IRS has sent stimulus checks to the deceased. This week the agency changed its FAQ page to tell taxpayers what to do if you received payment for someone who passed.
According to the IRS, a check sent to a deceased person must be returned or repaid to the IRS, even if that person recently died. This allows you to repay the stimulus check even if you have already cashed it or received it by direct deposit.
For common taxpayers, the following IRS policy applies: “Return the entire payment unless the payment was made to joint applicants and one spouse did not die before payment was received. In this case, you only need to return part of the payment.” This amount is $ 1,200 unless the adjusted gross income exceeds $ 150,000. “
Stimulus Check Fraud and Alerts
For more questions or concerns about stimulus testing, you should visit the dedicated IRS website. The IRS will not send you emails or SMS that you have updated about your payment. So if you recently received correspondence regarding stimulus checks, it is likely a scam. Exercise caution when checking suspicious messages and be careful not to click any links.
For more tips on protecting yourself (and your money) during these times, see our guide to COVID-19 fraud.