The idea of a universal basic has caught on across several states and cities. While the federal stimulus checks in 2020 and 2021, and the state stimulus checks in 2022 were one-time payments. While the federal stimulus checks were generous, the state stimulus checks were mostly tax rebates and were inflation relief payments.
The Universal income floor has been set above the poverty level. To many, it remains a surprise that millions are unable to participate in the economy as they have no earnings. The main argument for universal basic income is that basic income will serve as an income floor for displaced workers. It will help to rectify the growing inequality in income.
Critics, however, argue that free money through monthly stimulus checks, or even tax rebates, will only incentivize laziness. Experts have suggested different ways of guaranteeing a basic income floor. It may be decided based on income, including negative income tax.
We have seen policies designed around universal basic income in Finland and the Netherlands.
One important thing to keep in mind concerning the fear of inflation that is so commonly linked to universal basic income. Entrepreneurship flourishes when more people have more money and the overall risk is reduced. Basic income is good for business and in this new world of ours where startups can efficiently and quickly take on well-entrenched industries, preventing competition in a consumer economy fuelled by stimulus checks and tax rebates is going to be quite difficult.
Basic Stimulus Check And Tax Rebate For Americans
Several cities have announced fresh basic stimulus checks or tax rebates for residents. The first quarter of 2023 was marked mainly by the California Middle-Class Tax Refund. The Golden State sent out many stimulus checks that covered over 65% of the population.
The payments went directly to people’s mailboxes through the paper stimulus check and also through direct transfer. By the end of 2022, the Franchise Tax Board of California, the agency tasked with the distribution of stimulus checks and tax rebates, has already issued 7,020,930 direct deposits and 9,112,953 debit cards.
The payments range from $200 to $1,050 and the total has come to only $8.8 billion that has been paid to Of the nearly 20 million payments, the Golden State gave out 18 million payments. The remaining payments were mostly debit card payments and the delay was further compounded by delays by the US Postal Service.
Most people expecting a direct account credit will see the stimulus check amount reflected in their bank accounts. But some of the payments will require additional review, the Franchise Tax Board of California clarified.
For those who have not received their stimulus checks yet, the first thing that the state administration has advised is to confirm with the authorities that you qualify for the Middle-Class Tax Refund, the tax rebate that is being given out by the California state authorities.
The next step would be to verify your place in the given schedule. This will allow you to easily determine if the payments that you will get are on schedule or will be delayed for various reasons. The Franchise Tax Board has revealed that direct credit to bank accounts normally takes between three and five days before they show up in the account of beneficiaries.
But debit cards sent by the authorities through the US Postal Service are expected to encounter long delays that could extend to even six to eight weeks.
Those who believe that they have qualified for the stimulus check issued by the California tax board but have not received it yet should immediately contact customer service at 1-800-542-9332.
Most of the delays that potential beneficiaries experience were those who received their payment debit cards but who initially failed to inform the tax agency of any change in address since the time of the last filing.
The Franchise Tax Board of California has revealed the final figures of the payments that ended in March 2023. The FTB has said that the payments have directly benefitted more than 30 million taxpayers and filers in California along with their dependents. And the numbers are expected t grow.
New Stimulus Checks And Tax Rebates Announced Across The US
Residents of Stockton in America were in for a pleasant shock as the Californian city recently extended its universal basic income experiment. The scheme gives a section of selected residents $500 per month for two years. The money is meant to help t them come through the economic downturn that followed the COVID-19 pandemic.
The success of the pilot program initiated by Stockton earlier in 2022 has prompted the mayor of eleven cities to come together and take a second look at implementing various programs.
The experiment goes back to a concept that was presented by none other than Martin Luther King Jr. The experiment goes ahead at a time when the American Congress faces major questions about how low and moderate families can best be supported. This comes even as they continue to face a tough financial situation.
People holding even three jobs were finding it tough to cover their expenses. And to pick up extra cash, people were working their whole life away but continued to live paycheck to paycheck.
One of the major reasons for this imbalance between the amount of work and the remuneration is the lack of high-paying jobs. This has been further compounded as many Americans lack the requisite qualification to land them good jobs or promotions.
Many residents in Stockton have opted to participate in a program that was offered by the city administration. The Stockton Economic Empowerment Demonstration program has given out $500 per month for eighteen months to 125 city residents in the initial pilot program. The extra money has enabled beneficiaries to think about their future without getting caught up in just existing on a day-to-day basis. It has allowed them to prepare and train for more meaningful full-time jobs.