The COVID-19 pandemic has caused more than just health-related side effects. From a market crash to individuals losing work, this outbreak will have financial consequences for many people. Because of this, a federal package worth $2 trillion has been crafted in an effort to help individuals, while encouraging a stimulated economy.
What is a stimulus check?
A stimulus check is money sent to a taxpayer by the government with the hope of revitalizing the economy. The money is seen as spending cash for individuals, which when consumers use, boosts the overall market.
How much money will my stimulus check be?
As a part of the plan, most individuals in the United States of America will be given a one-time stimulus check for up to $1,200. Married couples can receive up to $2,400 plus an additional $500 for each child under age 17. The exact amount you will receive is determined by your income and the size of your family.
Individuals earning up to $75,000 or couples earning up to $150,000 annually can plan to receive up to the full amounts listed. The amount of the stimulus checks decreases for those making more, up to the cutoff thresholds. Individuals making above $99,000 annually would not qualify for a payment, nor would couples making double that.
Stimulus check amounts will be decided based on either a person’s 2018 tax return records or 2019 tax return records, if they have already been filed. The due date for 2019 federal tax filing – as well as many state tax filings – has been extended to July 15, 2020.
Other notable parts of the plan include the waiving of the 10% early withdrawal penalty for retirement fund distributions up to $100,000 retroactive to January 1, 2020, an unemployment program expansion that offers eligible workers an additional $600 per week, a suspension of student loan payments without penalty until September 30, 2020, and more. All of these initiatives were created to help individuals during the uncertainty of the COVID-19 outbreak, while encouraging an active and healthy economy.
At Evolve, we help your business face all financial challenges with proven techniques that provide you with valuable advantages you can use each day. Contact us by phone at (847) 749-1851 or by email at info@evolvefinancialservices.com to get started on a financial strategy for your business and for more information about upcoming individual stimulus checks.
