Three main proposals are discussed, with the House Democrats, the Senate Republicans and the White House each proposing differently what a different financial rescue law would look like – including how much money would be available to individuals and families, and how it would be spent. Or it could be that the followingstimulus package would combine elements of all three while the White House and Congress leaders work to find common ground.
The timeline for a second stimulus payment is also fairly open. Senate leader Mitch McConnell said Congress could decide in the coming weeks whether it would take another round, CNBC reported, and White House officials expect executives to work on its own proposal until July, said The Wall Street Journal. It is difficult to know whether the protests flooding the US in response to George Floyd's death will affect the government's agenda.
Here's what we know today about what Washington is working on and what you can expect from the proposals. This story is regularly updated with new information and is intended to provide an overview of the situation. If you are waiting for your first stimulus check, you cansee some possible and .
What are the main proposals for the next stimulus check?
In a nutshell, the democratic proposal for a second round of payments is furthest, with its Heroes Act that passed a House vote in May. It is now with the Senate. The House Package would – if legally signed – provide a second round of payments to individuals and families and extend the increased unemployment benefits until the end of the year .
The White House plan is still taking shape, according to The Wall Street Journal, with President Donald Trump and his economic advisers seeking to boost the U.S. economy with incentives for workers to find or return to their pre-existing jobs,and for example on vacation.
Senate Republicans, led by McConnell, have outlined the parameters they want to track for a second round, including a limit on the size of the bill and a determination that this will be the last stimulus package related to the coronavirus pandemic.
More details on all of these possible approaches below.
How much money can I get on a second stimulus check?
The Heroes Act passed by the House would include a second direct payment to individuals and households of up to $ 1,200 per family member, up to a maximum of $ 6,000 for a family of five. Neither White House officials nor McConnell have provided details on whether individual payments would be part of their proposals.
What does the Heroes Act of the House propose?
The Heroes Act seeks to provide a wide range of benefits to households, renters and non-citizens living in the US, according to an information sheet from the House Appropriations Committee (PDF). Since it is still a proposal, the details of the incentive package are not guaranteed, but here are the main features of the bill.
Individuals: An eligible person would receive up to $ 1,200 as their adjusted gross income, or AGI, from their 2019 or 2018 federal tax return (if you have not yet filed) was below $ 75,000 and is gradually decreasing as the AGI increases.
Children and Dependents: Each dependent would be eligible for a payment of $ 1,200 as opposed to the first incentive bill, which covered up to three children for $ 500 each. It would apply to students, children over 17 years of age, disabled family members and a taxpayer parent.
Families: Households would be eligible for a maximum of $ 6,000 in total, with a maximum of five family members at $ 1,200 each. The amount you would qualify for would decrease the higher your AGI.
Non-Citizens: People without a Social Security number may use an individual tax identification number to qualify for payment.
Unemployment Benefits: The bill would carry over the current increased unemployment benefit of $ 600 per week (on top of typical state unemployment benefits) to January 2021.
What do White House officials propose?
According to The Wall Street Journal, the White House will begin drawing up its own proposal for a second stimulus package as early as this week. It is expected to focus on initiatives that can help restore the US economy, such as incentives for workers to find jobs and for people to spend money in their cities.
The White House plans to reduce unemployment payments to $ 250 or $ 300 per week in the second half of the year, which will lead people who have lost their jobs to find work, according to Republicans. Currently, payments are $ 600 per week as part of the CARES Act passed in March. The enhanced benefits will expire on July 31.
The White House is also looking at tax cuts for those going on vacation in the US this year to encourage spending, the Journal reported. Japan has taken a similar approach to encourage domestic travel.
The White House has not yet been able to work on a second stimulus package. Presidential assistants predict that the package's terms will not be completed until July, the Journal said.
What do Republican leaders represent?
While the Senate decides in the coming weeks whether to include a new stimulus package, Republicans have started to map out their own parameters. The Senate may wait until late July to begin the package, Bloomberg reported.
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How can a second stimulus check help the economy?
The firstfor up to $ 1,200 each were initially intended as a one-time payment to help the people and businesses affected by the coronavirus outbreak. This also applies to people who were unable to work because they became ill, had limited working hours or lost their job closing businesses as a measure to slow down the spread of COVID-19.
Now, with high unemployment and asome wonder if the first check has done enough for individuals, families, businesses and see how best to distribute additional support.
On June 4, the Department of Labor reported that 1.9 million Americans had filed new unemployment insurance claims in the past week of May, with 21.5 million receiving unemployment benefits by the week of May 23. That is actually a decrease, with the national unemployment rate falling. from 14.7% in April to 13.3% in May, as the state allowed companies to reopen.
At a recent Senate hearing, Federal Reserve Chairman Jerome Powell called for additional economic relief. In May, the International Monetary Fund predicted a deep global recession that could become the worst since the Great Depression.
Has the IRS finished sending the first wave of stimulus checks?
The IRS continues to send stimulus checks to eligible Americans. On June 3, it had made 120 million payments as direct deposits to bank accounts, 25 million as checks by mail and 4 million as prepaid debit cards, for a total of 159 million payments. If you haven't received your money yet,. If you are concerned you should receive your check and not, .
What is needed to get a second stimulus check and what happens now?
We wait for now. It is clear that a second stimulus check will not take place immediately. If the government decides to move forward at the end of June, it may take weeks before a law is passed.
In order to receive a second stimulus check, the proposed rescue package would have to pass both the House and the Senate before receiving a signature from President Trump. Only then could it have an effect. After that, the IRS now has a system to organize and distribute those controls.
We will continue to update this story with new information as it occurs. While the future of a Second Incentive Act is still inconclusive, we would like to share the available resources onand and how you .