A stimulus check is a direct payment made via paper check or direct deposit to a certain individual taxpayer. This can be one of the swiftest ways to put money back into the pockets of people dealing with the economic crisis (Expert, 2022). It was a payment made by the U.S. government for qualified individuals during the economic crisis. The government’s aim is to put confidence and encourage consumers to spend. (Halton, 2022)
Stimulus checks continuously benefit the finances of millions of Americans. Some people may still receive stimulus money that keeps their account balance growing and some people might find their tax funds much small due to a lack of stimulus aid in 2022.
As you prepare for the financial effects of the stimulus check, here are four things you need to know.
- A number of states have authorized financial relief checks for some or all residents. Some of these payments will be going out at the end of this year and the beginning of next year. Some Americans are still watching their bank account balances grow due to stimulus checks.
- Stimulus payments sent by states are available only to residents of those states that choose to receive them. But there remains a chance of more relief from D.C. that could be available nationwide. Some lawmakers are pushing for additional federal stimulus relief.
- Many people will receive a much smaller tax refund when they file their taxes for 2022 next year. This is due to a lack of federal stimulus aid in 2022, which will affect millions of Americans.
- The chances of another federal stimulus payment will go down dramatically after Jan. 3, 2023. That’s when the new Congress will be sworn in, and Republicans will take control of the House of Representatives. Democrats will no longer be able to pass a COVID relief bill without their support.
You should be aware of these issues so you’ll know exactly how stimulus checks will affect your finances in the coming months.