Some very welcome end of the year news. Last night, the Treasury Department started sending out the direct stimulus payments to individuals across the US.
On our YouTube channel and by email today we heard from dozens of people that they woke up today to stimulus checks in their bank account.
A word of caution however: It may still take several weeks to get out all the initial direct payments. So, if you haven't received yours today or don't receive it tomorrow, don't worry. The Treasury said today they will work over the weekend as well to continue to process electronic transfers and the mailing of paper checks.
If you want to see relative progress (and calculate how much to expect), go to the "Stimulus Check Calculator" on the Skip App. If you have a friend or family member who expects a stimulus check, feel free to share the tracker with them.
Finally, the larger $2,000 direct payment is still being discussed in Congress. We covered the updates here in today's video (embedded below).
In short, Senate Majority Leader Mitch McConnell has stalled the vote and proposed an additional amendment. Therefore, it's unlikely a vote will happen before the Georgia Senate run-off election next week on January 5th.
Mr McConnell has stalled the vote while adding in other provisions to it in political maneuvering aimed at stalling the larger stimulus check effort.
Two weeks after the Georgia Senate run-off, President-elect Biden will be sworn in, and then it is likely new stimulus legislation will be introduced. As part of new legislation — which will likely include funding for state and local governments — will be another round of stimulus checks.
If you want to catch up on the current stimulus check details and who qualifies, our refresher is below. We also have new posts on the app today, including the latest information on immunity passports for international travel.
What is the Income Cutoff for the Second Stimulus Check?
Not everyone who received the first stimulus check will get the second one. That’s because this check is half the size of the first, so those with higher incomes will be phased out.
Those whose income is $75,000 or less will get the full $600 (or $1200 for couples filing taxes jointly whose shared income is less than $150,000). Above the cutoff people are only eligible for partial funds or none at all. This is the same cut off as the first round of stimulus checks, but because this check is smaller, fewer people above the cut off will receive funds.
For every $100 above the $75,000 cutoff that a person makes, they receive $5 less in stimulus funds. This means that for individual filers, those making more than $86,800 will not receive funds. In the first round, those making up to $99,000 received partial funds. You can calculate how much stimulus money you will receive with our free stimulus check calculator, which will be live later today.
Will Dependents Receive Stimulus Checks?
As in the first round of funding, adult dependents, like college students, are not eligible for stimulus checks. But parents and guardians with children under 17 will receive $600 per child, which is $100 more than the first round of stimulus checks. Households with one member who does not have a social security number can still receive funds for the other members, unlike the first round.
When Will The Checks Arrive?
During the first round of stimulus checks, it took the IRS about three weeks to begin distributing funds. However, because of the preparation that the IRS did during the first round of stimulus checks, funds will be distributed faster this time.
The IRS plans on sending out the first funds by the end of the week, according to the Washington Post. Those with direct deposit set up with the IRS will receive funds faster than those whose checks will need to be mailed, so if you haven’t already, sign up for direct deposit on the IRS website.
How Can I Find Out How Much I'll Get?
Our free calculator is now available on the Skip app and you can also see relative stimulus progress.
How Can I Track Stimulus Check Progress?
Our stimulus calculator also shows relative stimulus check progress. So when people start receiving checks in the coming days, you'll be able to see what percent of people have received their stimulus check. We hope this brings you some peace-of-mind to see that, yes, progress is being made.
