Sigh of Relief

After a weekend of anxiety, the COVID stimulus bill is a go

After five days of national uncertainty, President Trump signed the long-awaited COVID relief bill, which was packaged up with an omnibus bill—money to keep the government running. In return, he demanded concessions from Senate Majority Leader Mitch McConnell, including a separate standalone bill to raise the bill’s $600 direct payments to $2,000 (unlikely to pass) as well as other requests that may or may not come to fruition.

But the big news is a slew of devastating consequences that now seem averted. Eviction protections will not lapse; the government will not shut down; money will flow for vaccine distribution; unemployment insurance will not be cut off; schools and the airline industry will see some relief; and a new round of forgivable PPP dollars will see the light.

Americans earning $75,000 (adjusted gross income) or below will receive checks for $600, a sum that will quickly take a dive for incomes in excess of that amount ($50 will be subtracted from the $600 payment for every additional $1,000 of income) before evaporating entirely at $87,000. Dependent children are also eligible for the $600 direct payments; therefore, a family of four will receive $2,400. Similar to the Cares Act from the spring, paper checks will likely face some delay: Taxpayers who have their direct deposit information on file with the IRS will receive their money more quickly than those who do not.

Watch this space for further updates.

Drew Limsky
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