money-bills-dollars-recession-stimulus-cash-4376

A second stimulus check is coming. Could you get the full $1,200 amount?


Angela Lang/CNET

Senate Republicans want to send a second stimulus check for up to $1,200 to Americans who qualified for the first stimulus check at the same maximum amount. That’s one element of the proposed HEALS ACT that the Senate outlined Monday afternoon. Now whether you actually receive that money in whole or in part depends on one elementary requirement: that the final stimulus package passes as the Senate outlined it.

Any change could shift the balance, but depending who you are, that might go in your favor. However, there is reason to believe that $1,200 could remain the next stimulus check’s upper limit. It’s equivalent to the first stimulus check from the CARES Act and it’s also what the House of Representatives suggested in its Heroes Act in mid-May (which never went beyond the Senate’s front stoop.)

“We are going to continue the economic impact payments that were made in April and May,” Senator Chuck Grassley, a Republican from Iowa, said Monday while presenting part of the Republican proposal.

The HEALS Act, which is currently proposed legislation and not law, is the Senate’s opening bid that will start days and perhaps weeks of negotiation with the Democrat-led House of Representatives, until a final agreement is reached. Another question Congress will need to resolve is who will qualify to receive another direct payment. The debate could continue until the Aug. 7 deadline before Congress breaks for a month.

This is a developing story and we’ll update as we get more information. For now, Here’s what we know about the Senate’s proposals, others and how much money you could potentially get based on your salary.


Now playing:
Watch this:

Second stimulus checks very likely



1:21

Families will receive $500 for dependents regardless of age

The first stimulus check left out child dependents who were 17 or older and university students under 24 years old. The Republican plan would include $500 dependents “regardless of age,” said Grassley.

How much of the $1,200 second stimulus check could you get?

The Senate’s HEALS Act offers a total of $1,200 in a direct payment. But it isn’t a done deal and the amount you actually get will depend on a variety of factors, including:

  • Whether the $1,200 maximum cap makes it into the final legislation. Remember, this is solely a proposal.
  • If the income cap would be the same or lower.
  • Your specific circumstances. The calculations can be tricky, and depend on aspects of your 2019 taxes such as your adjusted gross income and whether you filed as single, married or head of household.

Though we don’t know for sure if the second stimulus check will follow the rules of the first, this handy calculator from The Washington Post could shed some light on what you might get.

Stimulus check calculations (first check)

Filed 2019 taxes? Filing status 2019 tax AGI Dependents under 17 Calculated check amount
Scenario 1 Yes Single $80,00 0 $950
Scenario 2 Yes Head of household $140,000 3 $1,325
Scenario 3 No Married $130,000 2 $3,400
Scenario 4 No Married $130,000 5 $4,900

Is there any chance the second stimulus check could be less than $1,200?

At this point, it’s unlikely. Earlier in July, White House economic advisor Larry Kudlow had said a second stimulus payment wouldn’t be as much as the first and Senator Mitch McConnell indicated that the next stimulus package would have a $1 trillion cap. The House’s Heroes Act from May proposed $3 trillion to pay for the bill.

In order to keep the overall value of the stimulus package lower, other benefits, like enhanced unemployment, are cut back in the HEALS Act. It’s also possible, as mentioned above, that fewer people could get the full amount and fewer could get a direct payment to begin with. 

Meanwhile, the House’s Heroes Act, which isn’t law, proposed that more money to go to more people:

  • Individuals: An eligible person could receive up to $1,200, the same as the CARES Act.
  • Children and dependents: Each dependent could qualify for a $1,200 payment.
  • Families: Households would qualify for a maximum payment of $6,000 total, capped at five family members receiving $1,200 apiece.
  • People who aren’t US citizens: Noncitizens who file tax returns, pay taxes and otherwise comply with federal tax law using an individual taxpayer identification number instead of a Social Security number would qualify for a payment.
money-stimulus-cash-bills-dollars-9723

How much stimulus money you could get in August is still undecided.


James Martin/CNET

Earlier stimulus check proposals

Before Sunday’s news from Kudlow anticipating the $1,200 cap for the second stimulus check, these were the front-runner proposals we heard in recent months and how likely we thought they could be. 

Of course, another stimulus check still isn’t a done deal and anything could happen between now and the final bill.

Second stimulus check proposals

Amount Proposer Proposal details How likely?
$0 White House Payroll tax cut so workers keep more of their paychecks. Unlikely to replace stimulus check.
$0 White House Business tax break for companies who don’t furlough workers. Unlikely to replace stimulus check.
Less than $1,200 White House Smaller checks targeted at low-income Americans. Unlikely, but fewer may be eligible.
$1,200 House of Representatives Part of the Heroes Act passed by the House in May (not law). Likely, possibly with fewer people qualifying.
More than $1,200 White House Stated by President Donald Trump. Less likely, but possible.
$2,000 a month till economy recovers More than 150 economists “Emergency Money” payment for Americans to continue spending, one road to economic recovery. Open-ended payments unlikely to pass.
$2,000 a month till three months after pandemic ends Sen. Kamala Harris Payments through the end of the pandemic and three months after. Open-ended payments unlikely to pass.
$2,000 a month for up to 12 months Rep. Ro Khanna Monthly payments up to a year. The Senate is unlikely to agree to a sum this large, even with an expiration date.
$4,000 travel tax credit White House A temporary tax credit to cover individual and family travel expenses, meant to rev up local economies. Unlikely to replace stimulus check.

When will we get more stimulus check news?

Now that the Senate proposal is announced, it’ll go before the House for debate. The situation could change daily. Congress has until Aug. 7 to pass another stimulus bill before a month-long recess. Here’s more on the timeline, including when the IRS could potentially send the first checks.

If you’re still waiting for your first stimulus check, here are 10 possible reasons for a delay and what you can do if you think your payment is lost or has fallen through the cracks.

source: cnet.com

LEAVE A REPLY

Please enter your comment!
Please enter your name here