Second Stimulus Check: Could Get You Up to $1,200 Based on Your Dependents
Hopes for a second stimulus check are dim, but if ever one will be approved, who counts as your dependent in taxes may get you more COVID-19 relief funds.
Americans may have to wait until after the election or end of 2020 to get a second stimulus check after the Democrat and the Republican lawmakers did not reach a deal in passing a second stimulus package.
In the first stimulus check under the CARES Act that was approved in March, each American adult received a one-time payment of $1,200 and each child dependent under the age of 16 years old were entitled to $500.
No limit was placed on the number of children eligible for the stimulus check as long as they were 16 years old and under and were claimed as a dependent on the tax return. Thus, a family of four - that is a mother, father and two children under 16, received $3,400.
Should another relief bill that includes a second stimulus check get approved, your dependents can still help you get a higher COVID-19 relief aid, according to an article on the CNET.
However, as there is no new COVID-19 bill passed yet, there is still no specific amount on how much a dependent will be receiving, but we can base it on the proposals that each party is pushing.
Under the Republicans relief package proposal dubbed as the HEALS Act, each dependent, no limit in number, will get $500. In the Heroes Act, the Democrats proposal, each dependent, only up to three, will be allocated with $1,200.
Note that in both bill proposals, the dependent will be allocated a budget regardless of age. They can be college students or adults such as elderly relatives, or could be both if they are totally disabled.
This means that Americans can actually get more money should a second stimulus check be sent out. However, a New York Times report stated that Americans may have to wait longer for a second stimulus check after the Democrats had unanimously blocked the skinny stimulus package of the Republicans on September 10.
According to the Democrats, the amount proposed, which was a fraction of the $1 trillion plan that the Republicans negotiated with the Democrats, was not enough to cover federal aid needs that continue to mount.
A second stimulus check will probably be possible after the election or before 2020 ends should both parties be able to come with an agreement, and a bill can be passed before the U.S. government partially shuts down in October in preparation for the November 3 election.
With the economy up for a long recovery as there is still no end in sight for the COVID-19 pandemic, how should a second stimulus check be spent if ever there will be one sent.
According to financial experts in an article on CNBC, a second stimulus check should be spent on high-priority bills after the basic needs, of course. You should use it as cash on hand, especially in these pandemic times, or if you have some liquidity, put it toward savings as it could tie you over until the pandemic ends.
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