The third stimulus checks are expected to hit the banks starting March 17th, Wednesday even as families are struggling due to the pandemic. Tens of millions of checks are being processed and dispatched by the IRS. This comes within days after President Biden signed the Coronavirus relief package.
You or your family will receive the amount within a few days, depending on several factors. President Biden assured the citizens of the United States that 100 million households and individuals could expect to have the money in their hands within 10 days.
This third round of stimulus payments will make available a generous sum of $1,400 to every eligible individual and household. This includes children, adult dependents over 17 like college students, and the elderly. This group of citizens was denied relief in the first two rounds last year.
The threshold limit has been set at $75,000 for individuals and $150,000 for married families. For individuals, the amount of the third stimulus check will start declining and if your earnings are $80,000 and above, you will not get any amount. For families, the upper limit is $160,000.
The Third Stimulus Check: Keeping Track Of Your Payment With The Online Tool
To help you track your payment, the IRS has launched the stimulus tracker, “Get My Payment” on the Internal Revenue Service website (irs.gov). It will be updated at the end of each day. This handy tool will glean the information and also keep you abreast of the latest developments. You will also identify several glitches that are holding up your payment and devise ways to overcome them.
Don’t Let The “Payment Status Not Available’ Message On The Site Alarm You
Do not be alarmed if you have received the ‘Payment Status Not Available’ message on your stimulus tracker. It is only a standard message till your payment is processed by the IRS. But it could also be an indication that you are in some way ineligible for the third stimulus check or that the tax authorities have insufficient information to process your payment. Calling up the IRS helpline will not help you clear your doubts.
Expectations For The Third Stimulus Check
Your bank account will not be debited before 17th March. For some, the account may show the direct payments as provisional payments or as pending in individual accounts. This was confirmed by nine credit union and banking groups. The actual funds will only be sent to banks and credit unions on March 17th. This date was chosen by the IRS. Till then, keep a close watch on the IRS portal, ‘Get My Payment.’
Availability Of The Third Stimulus Check
The American Rescue Plan Act, 2021 has assured households with a maximum check of $1,400 per individual member. Every child will also be eligible for the third stimulus check. So a four-member family who qualifies by earning below the stipulated limit of $150,000 will get $5,600.
Eligibility For The Third Stimulus Check If You Are An Adult Dependent Or A College Student
Every adult and adult dependent will be entitled to the third stimulus check of $1,400. It includes dependent college students and elderly relatives. This is a deviation from the process followed in the first two rounds of the stimulus payments. Payments were limited to only dependent children below the age of 17.
But, significantly, the check will be credited not directly to the dependent, but to the individual who claims you a dependent.
If you are a beneficiary under the SSI or other federal benefit schemes, you will get the amount. But the date is yet to be fixed. But the IRS has also stated that availing of these benefits will get the stimulus payment the way they receive their other benefits.
The Third Stimulus Check: How Does The IRS Keep Track Of Beneficiaries?
The IRS has made known its method of determining who receives the third stimulus check. You are automatically eligible if you have filed your current tax return (2020). This will determine your eligibility for the check.
You are also eligible if you have filed your 2019 tax returns. You will be eligible if you have availed of the non-filer gateway for the previous two rounds.
For individuals and families who file returns, the tax authorities will send the amount directly through a bank transfer as their details are already available with the bank.
The first round of payment will be dispatched through direct deposit. But you can expect to get your money through preloaded cards or paper checks in the second round. You can keep track of your payment either through the IRS portal ‘Get My Payment’ or through the postal department app of the US Postal Services.
Can The Government Authorities Seize The Check?
The amount being dispatched through the third stimulus payment cannot be adjusted by the authorities. But private agencies might seize it. As of now, no law prevents a private plaintiff from attaching money received through the third stimulus check to clear a debt.
If you haven’t received your first two stimulus payments you will have to claim the Recovery Rebate Credit through a tax return for 2020. This holds even if it is not mandatory to file your returns.
Why Is The Thirst Stimulus Check $1,400 And Not $2,000
The $1,400 was arrived at after President Biden called for $2,000 to be deposited in every eligible account. The sum is less than the $600 that was paid out in December 2020.
The American Rescue Plan Act Of 2021 Is More Than The Third Stimulus Check
The government has extended the unemployment benefits of $300 through the 6th of September 2020. This is above the benefits under the State Employment Insurance Program. Jobless benefits under $10,200 will not be taxed for those households with earnings below $150.000. There is also a complete subsidy on COBRA (health insurance premiums). This guarantees that laid-off employees remain under health schemes.
$350 Billion has also been sent to local, tribal, and state governments for expenses they incurred till 2024. $130 billion goes to schools through the 12th grade. This will help reduce the number of students per class. It will also ensure proper facilities and guarantee social distancing.
Setting Aside For Education And Medical Aid
$40 billion have been set aside to pay for additional expenses incurred due to the pandemic by universities and colleges. There are also provisions for bars and restaurants. $46 billion has been set aside for testing and strengthening capacity to tackle the pandemic. Another $14 billion has been set aside for better distribution and administration of the COVID-19 vaccine.
The amount set aside for tax breaks has been increased. Funds have also been allocated for bringing the southern states under the Medicaid expansion. The bill also has provisions of $30 billion for helping the unemployed and low-income households with their rent and utilities. Another $10 billion will help out those struggling with mortgage payment due to the pandemic.
