The economy has been in a zombie-like state of suspended animation since March when the coronavirus forced unemployment claims off the charts. While some of those claims have normalized, many Americans are still unemployed or underemployed. Congress has acquiesced to offering another round of $1,200 stimulus checks, but it won’t be easy getting both sides of the aisle to agree on where that money will come from.
While we wait for Congress to create a new stimulus package, you can still find ways to eke out more cash so you can get through the rest of 2022 and set yourself up for success in 2023.
Stimulus Check Cash Needs To Be Claimed
The short answer is: no. You’re not going to get a stimulus check this month, or any other time in the foreseeable future.
The original stimulus package was intended to help people through a tough time, and it did so by delivering $1,200 checks (a little more than $300 per month) to anyone who qualified for them. At first glance that seems like a pretty good deal!
But the truth is that most people don’t qualify for this payment because it only applies to households earning less than $75,000 per year and individuals earning less than $35,000 annually–and even then there are restrictions based on other factors such as age and marital status.
Many Americans didn’t receive their first check until June 2022; others had theirs canceled altogether when they were found ineligible once they filled out their paperwork (which was often confusing).
You may have heard that the stimulus package is in limbo, but there’s no reason to despair — you can still get a stimulus check and do whatever you want with it. First of all, let’s get some terminology straight: The money is a one-time payment from the government and does not need to be paid back.
If you’re worried about owing taxes on your gift from Uncle Sam, don’t; any amount over $600 will be taxed at 10%, but even if your check lands between $600–$2,000, you won’t owe anything more than 10% (and those who make under $10k per year will see their checks taxed at 0%). And like I said before: This isn’t debt forgiveness or a loan; it’s just a gift from Uncle Sam!