What do you think of the stimulus package?

[sksjasams]

Right now, I haven't seen enough details to feel strongly about it one way or the other and it seems like the signals from the House are that it is not likely to pass there as easily has the leadership had hoped, so I expect another round of negotiations and delays before we find out what they're really going to do.

The biggest problem I have with it at this point is the timeframe. I've heard they're expecting 2+ months before checks actually start going out. I've got friends who are getting letters this week reminding them that rent is still due on the 1st and eviction proceedings will start on the 10th if it isn't paid. Getting a check in May or June isn't going to help with that. Hopefully the expanded unemployment will be handled in a more timely fashion to provide real relief for those who need every dime of their income to get by.



That's my frustration too. DD18 is out of work and doesn't qualify for unemployment under our state's usual rules because she didn't have high enough earnings over a long enough period of time and because she quit when they closed down her campus rather than sticking around to be laid off a week or two later. But she's halfway through a payment plan on the extra credit hours she took this term, so she's still got bills. It is really frustrating that this is written in such a way that she appears to fall through all the gaps - no unemployment, no stimulus. And obviously no way to get another job (she waitresses) while our state is in lockdown.

Either the $500 should apply to all dependents regardless of age, or the $1200 should go to all adults regardless of tax status. Putting college kids, who depend on their income even if they aren't self-sufficient, in a special category as not needing any help at all is just ridiculous, especially since most work in the very industries that are completely shut down for the foreseeable future. Maybe the details of the final bill will remedy that, but I doubt it is a problem anyone wanted to go to the mat over.

Are they left out of this version? I asked above if anyone knew, but have not heard.

 

[Christine]

But can you imagine the outrage if someone making 200K a year received a stimulus check? Or a big CEO making 500K+? This is why they put the limitations on it. They did what they could to make it fair for everyone. And this version of the bill covered more people than the first version.

Hopefully the other parts of the bill will cover those who were skipped on the stimulus check.

Yes, I can imagine the outrage, but I still think that if they sent it to everyone, they could have just put a stipulation in there that if you made over $XXX then the amount of the stimulus would be paid back later in taxes if you ended up making money.

My scenario is hypothetical, for right now, but on paper, between my husband and my incomes we might look rich to someone from a rural area in West Virginia. But our rent is much higher, we have commuting costs, we have higher taxes, etc. All the things that eat up that salary and make me have the same standard of living as someone below those income caps. I will continue to work from home and not lose my income; however, right now, my husband's employment is precarious from one day to the next and if he's ordered home our household loses 50% of our income. That's significant for me. Yet, if that happens, we would get not a dime. I'd rather it just go out to everyone so they either can use it or not and then if your 2020 income is high then you'd pay a portion of it back (hopefully when we're all back on our feet financially).

 

[pryncess527]

Are they left out of this version? I asked above if anyone knew, but have not heard.

it kind of seems like if they file their own taxes they will get their own check, even if they are dependent on someone else’s, but I have not seen clarification on that issue.

 

[Colleen27]

I’m in NJ and we are shutdown. Only essential businesses open. I know lots of people who make under 75k that lost their jobs. Retail employees, waiters, law office staff (courts are only hearing certain cases), substitute teachers, etc. This will definitely help them.

And CNN is reporting that the lower benefit amount for lower earners did in fact make it into the final bill, so those workers will see less help than the middle class professional who is working from home without an interruption in income. Meanwhile, the tiered benefit means we're all likely to wait longer to see those checks start arriving because of the need to verify income and calculate each person's benefit. But even with that, the source was a fellow at some think tank who "is familiar with the bill", not the actual text. So who knows?

Are they left out of this version? I asked above if anyone knew, but have not heard.

I don't think we know yet. I haven't seen the full bill published anywhere yet, so all we have to go on is reporting about what is in it and that's such a relatively narrow concern that it isn't likely to make it into any news stories.

 

[Wendy31]

If a college-age kid has never filed taxes & is still dependent on his/her parents, will he/she receive anything?

We have 2 kids over 17. Our DS (18) has never filed taxes, & DD (20) will be filing for the 1st time this year. Both are in college & still dependent on us. I think we still claim them on our taxes, but we no longer receive a child tax credit for them.

We also have 1 kid under 17.

 

[pryncess527]

If a college-age kid has never filed taxes & is still dependent on his/her parents, will he/she receive anything?

We have 2 kids over 17. Our DS (18) has never filed taxes, & DD (20) will be filing for the 1st time this year. Both are in college & still dependent on us. I think we still claim them on our taxes, but we no longer receive a child tax credit for them.

We also have 1 kid under 17.

that hasn’t been answered yet. I would kind of guess no, though they may have the option of filing taxes even though it’s not necessary in order to qualify. That was the case with the 2008 stimulus

 

[Wendy31]

that hasn’t been answered yet. I would kind of guess no, though they may have the option of filing taxes even though it’s not necessary in order to qualify. That was the case with the 2008 stimulus

Thank you for the quick reply!

That‘s kinda what I was thinking too - even though the money would really help w/ their college textbook costs.

Neither have filed taxes previously since they’ve only had volunteer & intern type jobs. DD received a check last summer for an assistant coach position, so she’ll be filing this year.

 

[DisneyBabies]

Yes, I can imagine the outrage, but I still think that if they sent it to everyone, they could have just put a stipulation in there that if you made over $XXX then the amount of the stimulus would be paid back later in taxes if you ended up making money.

My scenario is hypothetical, for right now, but on paper, between my husband and my incomes we might look rich to someone from a rural area in West Virginia. But our rent is much higher, we have commuting costs, we have higher taxes, etc. All the things that eat up that salary and make me have the same standard of living as someone below those income caps. I will continue to work from home and not lose my income; however, right now, my husband's employment is precarious from one day to the next and if he's ordered home our household loses 50% of our income. That's significant for me. Yet, if that happens, we would get not a dime. I'd rather it just go out to everyone so they either can use it or not and then if your 2020 income is high then you'd pay a portion of it back (hopefully when we're all back on our feet financially).

I totally agree and DH and I are in the same spot as far as cost of living. I think the point was to get it done as quickly as possible and considering this version was concocted with both sides getting and giving up various things, it was the best they felt could be done at the time.

I also don't think this will be the last coronavirus bill we will see going through before this is over. It's possible they can fix that loophole next.

 

[mefordis]

I won't see a cent based on my tax returns, but I am unemployed this year with no income due to medical issue. The check would help a lot with my medical bills.

Can you take advantage of unemployment? It's a hefty sum.

 

[pryncess527]

There is a provision to help small businesses who maintain pay for employees, so that might help some in a precarious situation avoid having their hours cut.

 

[mefordis]

I don't see anything about social security recipients. Are they excluded?

 

[fla4fun]

$600 per week boost in unemployment (additional to what the states will be paying) for 4 months.

So if your state only pays unemployment for three months, do you get the fourth month? Or do you only get the extra while receiving state benefits?

 

[DisneyBabies]

It usually costs more money than you would spend to means test these types of things. It’s far easier to clawback from high income earners on future tax returns than to waste the IRS’ time trying to figure out who should get how much now

Question (cause I really don't know the answer): To do this, they will have to change and add a new tax law to cause this to happen, right?

I don't think this will be the last coronavirus bill that will be pushed through, so they could potentially fix this loophole next. But this helps more people than the first version did without them all taking a MASSIVE hit from the public for giving the money to people who really don't need it. Especially considering citizens are already hitting the fan about how much this is costing and where the money is coming from. Yes, the government could get the money back, but they sill have to shell it out in the first place.

 

[pryncess527]

Question (cause I really don't know the answer): To do this, they will have to change and add a new tax law to cause this to happen, right?

I may be wrong, but I believe it all depends on how they define the money in the bill to begin with. So it wouldn’t require a tax law , it would require the stimulus checks to be defined in a certain way. I have not yet seen any confirmation on how this money is being treated from a tax perspective.

 

[pryncess527]

So if your state only pays unemployment for three months, do you get the fourth month? Or do you only get the extra while receiving state benefits?

yes it appears that it revives the emergency unemployment compensation program providing 13 additional weeks of unemployment on top of the states standard. it also provides assistance to self-employed and contract workers along with some work sharing provisions.

 

[loves to dive]

I haven't really paid attention to it but I would probably get a check. On paper, I'm below poverty level but I did take a draw on my 401K last year. It still didn't put me anywhere near the $75,000 level. I've lived with my honey for 27 years but we aren't legally married. Georgia no longer has common law and we didn't start living together until it was taken off the books. I file single for my income taxes because I am. I work only 2 days a week and only 5 hours a day on those days. He has his own IT business and works from home. I'm still working at my office because it's a small two person firm (the boss is playing like he is going to retire and shut down and has been for 3 years). I was prepared for him to shut it down and moved my 401K around and paid off all my debt so I only have a few bills. Honey owns the house we live in, we both own our own vehicles and both are paid off. So technically, I qualify. In reality I don't want or need it so if I get a check, the money will go directly to the local women's shelter.

 

[pryncess527]

I don't see anything about social security recipients. Are they excluded?

I believe they are included, as I understand the agreement, and will not have to file unnecessary taxes.

 

[mefordis]

I believe they are included, as I understand the agreement, and will not have to file unnecessary taxes.

A scenario: a retired couple has a few million tucked away in money market and mutual fund accounts, and on their income tax forms their income (comprised of soc security payments and withdrawls from their accounts) are less than $199k. Would they get it, too?

 

[BuckeyeBama]

So if your state only pays unemployment for three months, do you get the fourth month? Or do you only get the extra while receiving state benefits?

That is a good question. The original bill included extension of basic unemployment benefits but I have no idea what that looks like.

 

[BuckeyeBama]

A scenario: a retired couple has a few million tucked away in money market and mutual fund accounts, and on their income tax forms their income (comprised of soc security payments and withdrawls from their accounts) are less than $199k. Would they get it, too?

I understand the question, but at this point do we really care? To make this perfect would have taken months. They wanted to get this moving.

(and, no, I do not have millions tucked away, though I wish I had that problem)