The 3 stimulus plans Congress is debating that could put extra cash into your bank account

FILE - In this April 23, 2020, file photo, President Donald Trump's name is seen on a stimulus check issued by the IRS to help combat the adverse economic effects of the COVID-19 outbreak, in San Antonio. Hundreds of thousands of dollars in coronavirus relief payments have been sent to people behind bars across the United States, and now the IRS is asking state officials to help claw back the cash that the federal tax agency says was mistakenly sent. (AP Photo/Eric Gay, File)FILE - In this April 23, 2020, file photo, President Donald Trump's name is seen on a stimulus check issued by the IRS to help combat the adverse economic effects of the COVID-19 outbreak, in San Antonio. Hundreds of thousands of dollars in coronavirus relief payments have been sent to people behind bars across the United States, and now the IRS is asking state officials to help claw back the cash that the federal tax agency says was mistakenly sent. (AP Photo/Eric Gay, File)



Associated Press


  • Congress is expected to debate a Phase 4 stimulus package next month.
  • Many economists say additional action is needed to keep jobless people afloat since unemployment remains in the double-digits.
  • Three plans under consideration are stimulus checks, extra unemployment payments, and hiring bonuses.
  • Visit Business Insider’s homepage for more stories.

Congress is expected to debate another economic relief package next month — and lawmakers are starting to roll out their ideas for what direction it should take.

So far, Congress and President Donald Trump approved over $3 trillion in emergency spending to confront the coronavirus pandemic and manage its economic fallout. The biggest chunk of that came in March from the CARES Act, a $2 trillion relief package that pumped cash into every corner of the American economy. 

For individuals, it had two pillars: a wave of one-time, $1,200 stimulus checks and a $600 federal boost to weekly unemployment payouts that shored up people’s finances during an economic collapse.

Now Congress is looking at three measures that could provide financial relief and add extra cash into people’s bank accounts. Here are all the details.

Read more: Jefferies says buy these 14 cheap stocks that are financially strong and positioned for market-beating returns

Lawmakers are weighing another round of stimulus checks.

stimulus checks

Stimulus checks.


Jeff Fusco/Stringer



Trump supports sending another wave of stimulus checks, The Washington Post reported. However, White House advisers and Republican lawmakers are deeply divided, and there are still no specifics on possible amounts or thresholds for eligibility.

Treasury Secretary Steven Mnuchin opened the door to a second round earlier this month. But National Economic Council Director Larry Kudlow said the administration might push to send checks to “people who lost their jobs and are most in need.”

There are significant rifts among congressional Republicans as well. Many don’t believe it’s needed to boost the economy, but some lawmakers have signaled they are open to the idea if it’s a targeted measure.

Read more: The stock market’s fear gauge is sending a persistent warning that has a 30-year track record of signaling meltdowns ahead

Under the CARES Act, $1,200 stimulus checks were sent to individuals earning under $75,000 a year ($150,000 for couples), plus an extra $500 for dependent children. Payments phased out at $99,000 for single-filers and $198,000 for couples.

A new bill from Sen. Marco Rubio introduced Thursday would give mixed-status families with unauthorized immigrants a $1,200 stimulus check.

Over 159 million Americans had received direct payments by the beginning of June, per the IRS.

Read more: From a late-night infomercial to a 1,040-unit empire worth $188 million, how Jacob Blackett perfected his real-estate-investing strategy after losing $70,000 on his first deals

An extension of boosted unemployment payments is also under consideration.

FILE PHOTO: People line up outside a Kentucky Career Center hoping to find assistance with their unemployment claim in Frankfort, Kentucky, U.S. June 18, 2020. REUTERS/Bryan Woolston

People lining up at an unemployment office in Kentucky.

Reuters


Democrats are seeking to extend the $600 federal boost to unemployment benefits through January 2021. It’s currently set to expire on July 31.

But many Republicans argue that amount should either be phased out or lowered so workers don’t earn more on unemployment than they were making at their old jobs. 

The nonpartisan Congressional Budget Office estimates that five out of six recipients would get more money from the government than from their previous employer if the supplement was extended through the end of the year.

Unemployment, though, is projected to remain in the double-digits for much of the year, according to the Congressional Budget Office and the Federal Reserve.

A group of top bipartisan economists recently called on Congress to extend the federal boost to weekly unemployment payments past July for up to $400, but tie it to the economic health of individual states.

Read more: A market-crash expert known as ‘Dr. Doom’ warns a 10-year depression is coming — and says investors are far too confident about a possible recovery

LoadingSomething is loading.

More:

Economy
Policy
Features
Rob Portman

Chevron iconIt indicates an expandable section or menu, or sometimes previous / next navigation options.

Read More

By |2020-06-28T13:29:23+00:00June 28th, 2020|Business|0 Comments

Customer Reviews

5
0%
4
0%
3
0%
2
0%
1
0%
0
0%
    Showing 0 reviews

Leave a Reply

Your email address will not be published. Required fields are marked *

Thanks for submitting your comment!