On Tuesday, a bipartisan group of Congressional lawmakers announced themat a cost of $ 908 billion and would renew it soon to expire for four months. Senate majority leader Mitch McConnell quickly dismissed the plan the same day, saying he would not entertain it. Instead, he proposed a “targeted aid package” that included far less help for unemployed workers. A group of senators led by Senate minority leader Chuck Schumer proposed their own bill, the American Worker Holiday Relief Act, which will keep the increased unemployment rate going until October 2021.
Senator Schumer and House Speaker Nancy Pelosi also support the $ 908 billion bipartisan bill, along with President-elect Joe Biden. The Democrats see it as the first step to economic recovery.
“That would be a good start. It’s not enough,” Biden told CNN on Thursday. “What is immediately needed is shelter for people at their unemployment checks, shelter for people who will receive themafter Christmas because they can no longer pay the rent, easing mortgage payments. Help with all the things in it . “
Without that stimulus aid, here are the programs that will disappear on January 1, 2021.
$ 300 additional weekly unemployment check
Average weekly unemployment benefits does not always equal an employee’s income and typically ranges between $ 300 and $ 600. To help fill the gap, theadded one . When that bonus expired on July 31, Trump signed an executive memo paving the way for a smaller weekly bonus of $ 300 (for a six-week period), with the expectation that Congress would soon approve another aid package. That did not happen, and most states have used up the six weeks of additional funding. The $ 300 bonus will end on December 27, according to the president’s memo, and is expected to go unused.
More months of unemployment benefits
Individual states handle unemployment insurance claims and determine whether a person is eligible, how much they receive, and for how long they can collect. While it varies from state to state, the. Beginning January 1, those additional 13 weeks provided by the federal government are over.
Some states have already filled the void themselves, including extending their disbursement period to 59 weeks, according to the Center for Budget and Policy Priorities. Others, including Alabama, Arkansas and Utah, have taken no action against it, which could leave unemployed workers in those states unaided when the new year begins.
Money for freelancers, contractors and handymen
Another initiative of the CARES Act, the Pandemic Unemployment Assistance Program, also known as, offered economic relief to those who would not normally qualify for unemployment: the self-employed, contractors and handymen. The PUA ends on December 31. If the federal government doesn’t renew it, it’s up to the states to determine whether to step in on January 1.
Eviction protection for tenants
Theprovided limited protection in evictions by focusing only on homes with a federal mortgage loan or households that received some form of federal funding. The by the Centers for Disease Control, calling for an end to evictions for non-payment of rent. This agency order covered more households, including tenants in 43 million households, but it also has a December 31st expiration date.
Student loan deferment
Students who pay off federal student loans were also given a reprieve under the, allowing them to defer their loan payments (and halt interest accrual) until the end of September 2020. In August . On January 1, borrower servicers may again charge interest on these loans and students may have to pay them back unless the servicers offer deferment options.
For more information, here, and here it is .