By the time you read this, odds are good that the House of Representatives will have signed off on a landmark piece of legislation defining the early days of Joe Biden’s presidency. The $1.9 trillion legislation includes a number of provisions that will help Americans struggling during the pandemic. The provision that most Americans will notice immediately is the direct payments of up to $1,400 for most Americans.
So, what do you need to know about this payment? When is it coming, how much are you getting, and how will you need to expect it to arrive? Let’s take a look.
Who Gets the Payment?
Most American adults are going to get some money from this bill, starting at $1,400 and phasing out for higher-earning households. For each person under 17, high school student over 16, and young adult in college that you claim as a dependent, you’ll receive an additional $1,400 payment. This is higher than both previous stimulus checks, which paid out an initial $1,200 and $600, respectively.
People who make $75,000 or less per year will be eligible for the full $1,400. If you make between $75,000 and $80,000, the check diminishes until it zeroes out for those making more than $80,000. Those thresholds are doubled for married couples who file jointly. If you’re the head of household, the first threshold raises to $112,500, phasing out at $120,000.
This is a narrower window than previous stimulus checks. The reason for this is complicated, though it involves changes made in the Senate to keep some moderate Democrats on-board with the vote. The vote was narrow: the 50-50 split Senate voted down party lines, with Vice President Kamala Harris casting the tie-breaking vote.
When to Expect Your Money, and How
Once Biden has signed the bill into law, people who get their tax return through direct deposit can expect to have the money in as little as a week, or as much as a few months. Whichever way you choose to get your tax return is typically how you’ll receive your stimulus check. If the federal government doesn’t have your bank information on file, they’ll mail you a paper check. These will take significantly longer to reach you than a direct deposit, so make sure to check that the IRS has your correct information.
The bill also includes a provision to allow an extra $300 per week for unemployment benefits, as well as money for vaccine rollouts and for state and local governments struggling to handle the pandemic.