The House of Representatives voted in favor of the COVID-19 pandemic relief package, also dubbed as the ‘American Rescue Plan’. It has been a lengthy negotiating process with not a whole lot of bipartisanship. In-fact, not a single Republican Senator voted in favor of the stimulus package.
The ‘American Rescue Plan’ will now go to President Biden’s desk, where he is expected to sign the legislation into law on Friday afternoon. He will likely discuss the importance of the benefits that are integrated into this stimulus package during his first national address on Thursday night.
With the Senate Chamber and House of Representatives voting in favor of the $1.9 trillion stimulus package, stimulus checks could be released to millions of citizens within weeks. Most individuals that make less than $80,000 per year on their most recent tax return will receive the entire $1,400 stimulus payment.
As with previous stimulus payments, individuals that have tax information on-file with the IRS will likely receive their funds much quicker because of the ability to utilize direct-deposit technology. It may take a few extra weeks to fully-deploy stimulus payments through the mail system. Now that the economic relief package has cleared both chambers of congress, everyone that is eligible to receive relief will likely inherit their stimulus payments by the end of March.
Stimulus checks aren’t the only important addition to the American Rescue Plan. An extension to expanded unemployment benefits will also be included in the package and this will include an additional $300 per week to individuals that are currently enrolled in their state’s unemployment system.
This includes expanded unemployment for independent contractors and gig workers through September 6th, 2021. Congress added a provision into the legislation that would also make $10,200 of unemployment benefits non-taxable for most households that don’t meet certain income thresholds.
With stimulus checks, unemployment compensation, and several other forms of relief being spread out across multiple industries, there’s no doubt that the $1.9 trillion stimulus package will have a major positive benefit for the citizens of the country. The lurking problem that will eventually have to be handled by congress is the national debt that continues to skyrocket as congress spends massive amounts of money to combat a failing economy during a national pandemic.
President Biden will have the opportunity on Thursday night, not only to reassure the citizens of the country that everything will be okay, but also to unify the citizens of this country. He hopes to spread a positive message and ensure everyone in our country that this stimulus package is being signed immediately to provide relief.
The economic future is still uncertain, but it seems that the ‘American Rescue Plan’ will at least serve as a temporary form of relief to millions of struggling citizens that are facing major challenges in terms of managing their finances during this uncertain economic time.