Fourth Stimulus Check: $1050 Payments Coming Soon for Some Americans; Are You Eligible?

A fourth stimulus check payment could be underway for eligible U.S. residents amid the sky-high price of goods with inflation making from food to utilities even more expensive.

Motley Fool reported that some states are stepping up to address the inflation in their respective areas.

Researchers at the bank of America wrote in a research note that the inflation genie "is out of the bottle." They added that it could be a long time before it goes back to normal.

States like California have taken the matter into their own hands to alleviate some of their residents' hardships, with the fourth stimulus check being issued.

Stimulus Check Payments

California is calling its inflation relief checks Middle-Class Tax Refund that could deposit as much as $1,050 in some eligible residents' bank accounts.

To qualify for the stimulus check payments, single residents must have an income of under $250,000 while married couples must have an income of under $500,000.

KTLA 5 News reported that the Franchise Tax Board says that the payments will be issued In phases. The first round will start on October 7.

The first group of eligible people who will receive the inflation checks will be Californians who received Golden State Stimulus payments through direct deposit.

The Franchise Tax Board said that the payments for the first tranche will be issued to bank accounts between October 7 and October 25 while the rest of the direct deposits will be released between October 28 and November 14.

California Gov. Gavin Newsom shared the developments in June.

Colorado will also be sending inflation relief checks. To be considered qualified, one should be determined as a full-year resident of the state in 2021 and at least 18 years old on Dec. 31, 2021.

Individual tax filers can collect $750 while joint filers are set to receive $1,500, according to a CNBC News report.

Florida also announced that a $450 one-time check will be deposited to families that are caregivers, foster parents, or on state assistance programs.

Stimulus Check Amid Inflation

As of May 2022, the inflation numbers have reached 8.6% based on U.S. Bureau of Labor Statistics data.

Nicholas B. Creel noted that today's inflation is being triggered by supply chain issues and fuel prices, noting that sending out stimulus checks increases aggregate demand, with more people spending money more quickly rather than receiving it.

He is part of the teaching staff at Georgia College and State University as an Assistant Professor of Business Law.

The assistant professor noted in a Forbes report that not extremely convinced that stimulus checks will make inflation much worse than it is right now.

He noted that it will help ease the burden of inflation on poor and middle-class families, whose budgets are being affected by the rising costs of goods.

However, one Standford JD/MBA and Hoover Institution Rising Fellow, Tim Rosenberg, said that it can create a trend where consumers are waiting for stimulus checks to pay for food and utilities instead of using them to pay down debt or build emergency savings.

Rosenberg added that if more stimulus does not follow, a severe recession could occur as families could face economic hardships abruptly.

This article is owned by Latin Post.

Written by: Mary Webber

WATCH: What to Know About Inflation Relief Payments in California - from NBC Bay Area