Stimulus Update: Parents, Teachers and Californians Could See Money Soon
A fourth stimulus check is likely out of the picture, but federal money from the American Rescue Plan is still steamrolling through several of its different programs. The advance portion of the child tax credit continues its monthly distributions and teachers are on pace to receive one-time bonuses throughout the country as states begin to offload the federal stimulus money.
The next round of advance child tax credit payments will be deposited into bank accounts on September 15. The deadline to opt out of these payments for the September payment has already passed, but if you wish to opt out for the October payment, there is still time. These payments will continue through December, and amount to half, $1,800, of the total $3,600 benefit amount. Over 90% of American families with children are eligible to receive the money, so make sure you enroll if you have not already done so through the IRS website.
Another use of stimulus money that is still underway are teacher bonuses. States throughout the country have decided to give their teachers a “thank you” bonus with money provided to them by the federal government. Also being seen as a retention bonus for weary teachers after a difficult year and rising Delta variant concerns, states like Georgia, Hawaii, Michigan and Tennessee have plans in place to dole out either $500 or $1,000 bonuses to teachers by the end of the year. Texas, Colorado and California have proposed plans as well.
California has even gone so far to enact their own stimulus check, with Governor Gavin Newsom announcing on August 27 that “Golden State Stimulus II” checks will be sent out this week. California was the first state to issue its own stimulus checks, with it being estimated that two out of every three Californians will be eligible to receive at least $600 — if they already filed their 2020 taxes. The state’s progressive income tax schedule and thrifty budgeting allowed a surplus that was able to pay out now two stimulus checks to low and middle-income residents that are struggling from the pandemic.
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