HUNDREDS of thousands of Americans who are expecting a $500 rebate will not see it on July 4.
No application was required for the payments, which will be sent automatically.
Residents who filed Personal Income Taxes in 2021 as single filers and made less than $75,000 will get $250 payments.
Joint filers who made less than $150,000 will receive $500.
Read our stimulus live blog for the latest news and updates…
Poverty rate without stimulus checks
Without stimulus payments, the supplemental poverty rate would have increased by an estimated 3.6percent, according to the 2020 SPM Report.
Did checks lift people out of poverty?
According to the Supplemental Poverty Measure (SPM), which was released by the United States Census Bureau in September 2021, the first two rounds of stimulus money helped lift 11.7million people out of poverty.
More than $400billion in stimulus money was distributed in the first two rounds of payments in 2020.
First-time homebuyer credit up to $15,000
The Biden Administration hopes to provide relief to first-time homebuyers, though nothing has passed yet.
The pending plan is known as the First-Time Homebuyer Act of 2021.
Stimulus checks in US territories, continued
For residents of territories who received a payment from the IRS and a US territory tax agency, consult with your US territory concerning incorrect or duplicate payments.
Do stimulus checks apply to those in US territories?
Those living in Puerto Rico, the US Virgin Islands, American Samoa, Guam, or the Commonwealth of the Northern Mariana Islands would usually be eligible for a stimulus check.
There are special rules applied to these five US territories. In general, the tax authorities in each US territory made payments to eligible residents.
Residents should contact their local tax authority.
How many people have signed the petition?
Over 3million people have signed the Change.org petition.
At 4,500,000 signatures, the petition would become one of the top signed ones on Change.org.
Update to Change.org petition
Bonin recently added an update to her petition as it neared 3million signatures.
“**UPDATE: Our country is still deeply struggling. The recovery hasn’t reached many Americans – the true unemployment rate for low-wage workers is estimated at over 20% and many people face large debts from last year for things like utilities, rent and child care.”
What does the Change.org petition say, part five
“For our team and other Americans who can claim unemployment, even the maximum payments will not be enough for most people to continue paying their bills – and avoid slipping into poverty,” Bonin wrote.
“The facts are, even successful small businesses can’t go months with their doors closed.”
“But supplying Americans with monthly support until they can get back on their feet can save our communities from financial ruin.”
“We need immediate checks and recurring payments so that we can keep our heads above water. Congress needs to make sure that we won’t be left financially ruined for doing our part to keep the country healthy.”
What does the Change.org petition say, part four
“Our talented and cherished team, some of whom have been with us since we opened our doors 15 years ago, are now without an income,” Bonin noted on the petition she started.
“Like our team, my family has lost all of the income from our restaurant, and business owners and the self-employed can’t claim unemployment. This is the story of America right now.”
What does the Change.org petition say, part three
“My husband and I own a restaurant in Denver and these past two weeks have been a blur,” Bonin wrote.
“Our restaurant community is wrestling with seeing everything we all have worked so hard for irrevocably changed.”
“Our hearts were breaking as we watched our staff divide the ingredients in our kitchen to bring to their homes: a dismal token for employees who worked tirelessly every day.”
What does the Change.org petition say, part two
“This is catastrophic for working families like mine,” Bonin added.
“I’m calling on Congress to support families with a $2,000 payment for adults and a $1,000 payment for kids immediately, and continuing regular checks for the duration of the crisis.”
“Otherwise, laid-off workers, furloughed workers, the self-employed, and workers dealing with reduced hours will struggle to pay their rent or put food on the table.”
What does the Change.org petition say?
The petition was created by restaurant owner Stephanie Bonin.
It reads “My name is Stephanie, and I am one of millions of Americans who fear for my financial future because of this coronavirus crisis.”
“With businesses and schools closing across the country to control the spread of this virus, many people have already lost their jobs. Others are being forced to stay home.”
More than 3million people have signed a Change.org petition that calls on lawmakers to pass legislation for recurring $2,000 monthly payments.
The letter read: “Almost six in 10 people say the $1,400 payments set to be included in the rescue package will last them less than three months.”
Rochester's pot tax could pay for guaranteed income
The city of Rochester, New York is still in its exploratory stages for a guaranteed income program, the Sun recently reported.
In December 2021, the Rochester council approved a two-year pilot program.
The program aims to provide $500 payments to 175 low-income families for the first 12 months.
Then, in the following year, a different set of 175 Rochester families would get the $500 monthly payments.
The payments will go out to households at or below 200 percent below the federal poverty level.
Incoming Mayor Malik Evans backs the program, but he wants to explore using the cannabis tax as a source of revenue for the program.
Recovery Rebate Credit eligibility, part three
The IRS says individuals aren’t eligible to claim the 2021 Recovery Rebate Credit if any of the following apply:
- You could be claimed as a dependent on another taxpayer’s 2021 tax return
- You’re a nonresident alien
- You don’t have a valid Social Security Number issued to you by the due date of your tax return, and you don’t claim a dependent who has a valid SSN or ATIN
Estates, trusts, and individuals who died before January 1, 2021, do not qualify for the 2021 Recovery Rebate Credit.
Recovery Rebate Credit eligibility, part two
Even if you didn’t qualify for the third Economic Impact Payment, you may be eligible to claim the 2021 Recovery Rebate Credit.
That’s because the credit is based on 2021 tax information instead of 2019 or 2020 information.
If you received the full amount of the third Economic Impact Payment, you won’t need to include information about it when filing 2021 tax returns.
Recovery Rebate Credit eligibility
The eligibility requirements for the 2021 Recovery Rebate Credit are the same as the third Economic Impact Payments requirements, except that credit eligibility and amount are based on your 2021 tax year information.
Third Economic Impact Payments were based on your 2019 or 2020 tax year information.
Recovery Rebate Credit, continued
If you didn’t get the first or second stimulus payments, you may be eligible to claim the 2020 Recovery Rebate Credit by filing a 2020 tax return.
The third Economic Impact Payment will not be used to calculate the 2020 Recovery Rebate Credit, according to the IRS.
More information about how to claim the Recovery Rebate Credit is available on the IRS website.
What is the Recovery Rebate Credit?
Some taxpayers were eligible to claim a Recovery Rebate Credit on 2021 federal tax returns if they didn’t get a third stimulus payment, or got less than the full amount.
The IRS sent Letter 6475 in early 2022 to addresses on file confirming the total amount of third payments and any plus-up payments received for the tax year 2021.
The information was needed to accurately calculate your 2021 Recovery Rebate Credit when you filed your 2021 federal tax return in 2022.
College federal loan payment freeze
For those who owe loans for college, the government froze all federal loans until August 2022.
There have been several extensions of the freeze since Covid-19 shut the country down in March 2020.
The White House previously said that there will be no more freeze extensions, and borrowers were preparing to resume payments in January 2022.
However, President Biden has since announced additional delays in the repayments starting up again.
Will the government forgive college loans?
President Biden publicly said during his campaign that he supported up to $10,000 in federal loan forgiveness.
However, the government has not yet forgiven debt for most borrowers, and the president has not recently shared any plan for it.
Some Democrats in Congress are pushing for up to $50,000 of loan forgiveness for borrowers.
Newark expands UBI pilot program
Thanks to Newark, New Jersey expanding its guaranteed income pilot program, 400 residents will now get payments for two years, the Sun reported last month.
The payments totaling $12,000 over two years will be given out in two ways.
Half of those participating in the program will get $250 on a biweekly basis, while the remaining 50 percent will get two payments of $3,000 each year, according to a statement by the city.
The residents in the program were selected after applying via an online portal, which was done in partnership with the University of Pennsylvania’s Center for Guaranteed Income Research.
The residents were selected based on the following requirements:
- Must be at least 18 years of age
- Must possess an income at or below 200 percent of the federal poverty line
- Must be adversely impacted by the Covid-19 pandemic
Kentucky young adults will get monthly payments
The program is called YALift! (Young Adult Louisville Income for Transformation).
The payments will go out to 150 young people between the ages of 18 and 24.
Those eligible need to live in one of the three neighborhoods: California, Russell, and Smoketown.
Homeownership may increase net worth by 40 times
According to Realtor.com, 65 percent of Americans own homes.
The net worth of a homeowner is roughly 40 times that of a non-owner, they reported.
At the same time, there is a national shortage of affordable housing.
According to the National Association of Realtors (NAR), the percentage of homes sold below $250,000 has plummeted from 47 percent to 28 percent in the past two years.