urged Congress to pass another bill for emergency economic relief last week as the pandemic hits record highs across the country. Dallas Fed President Rob Kaplan said the US economy could experience a double dip recession, referring to the rise and second decline after a recession.
While Biden is reportedly gearing up to sign executive orders targeting climate change and foreign policy, the president-to-be could also renew some of these measures if a stimulus bill doesn’t bridge the gap. However, he could only act.
Without additional resources, these are the most important programs that will disappear before January 1, 2021.
Renewal 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.
Pandemic Un Employment Assistance Program for those who are not normally eligible
Another initiative of the CARES Act, the Pandemic Unemployment Assistance Program, also known as, provided economic relief to those who would not normally qualify for unemployment: the self-employed, contractors and handymen. The PUA will end 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.
The extra $ 300 extra unemployment check per week
Average weekly unemployment benefit 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 hasn’t happened, 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.
Eviction of moratorium to protect tenants and home owners
Thelimited 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 31 expiration date.
Federal Student Loan Deferral
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.
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