As reported by cnet,

Could your next stimulus check be bigger than the first? We can make an estimate.


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If there is a second stimulus check, you could end up with a bigger payout than you had before. Right now, the negotiations to yield an agreement on legislation continue, so the timeline for this to happen is still unknown.

Congress is currently focusing on a bipartisan relief proposal that would renew a renew a handful of benefits set to expire but doesn’t include another direct stimulus payment, which was expected to bring up to $1,200 per person. Leaving out the popular direct payment would shed billions from the total cost of the bill and also a layer of complication, which may make the package more likely to get a vote in such a short amount of time.

A new bill that does have a second stimulus check has a more likely chance of passing in the new year and expected changes to the eligibility rules could mean that you and your dependents could get more money, less money or no money at all. If there is a second stimulus check, those who qualify will fall into different priority groups.

More information is below. We regularly update this story.

How much bigger your second payment could be in $$$

Again, we won’t know the rules for sure until a bill is signed into law. But we do know some possibilities, based on previous proposals and possibly even the most recent Republican offerings. For most people, the total amount you’re likely to receive is based on your adjusted gross income, or AGI, and other eligibility requirements.

Here’s how much more stimulus money you could potentially see if…

More people qualify as a dependent: The Democratic proposal for the next bill expands the definition of “dependent” to include anyone you can claim on your tax returns — such as children over 16 and adults under your care. By today’s sums, that’s $500 more per person you support, with potentially no cap. If you had one dependent who qualified in the first round and three that qualify in the second, that would get your family $1,000 more if you had no other changes.


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Child dependents get more money: The most recent White House proposal would keep the same age restriction for children, but double the payout to $1,000. So if you have one dependent, your second check could be $500 larger.

You gain another dependent: If you had or adopted a child, you may see $500 to $1,000 more, depending on the final bill.

Your employment status changed: If you became unemployed this year or your wages dropped, that could lower your AGI, which is used to determine the payment. For example, if you got a partial payment with the first check, you may receive a full payment if you are no longer employed.

You got married: Depending on several variables that include your spouse’s filing status and any new dependents, a change in marital status could result in a larger check. For example, if you were single and filing alone, you got $1,200 max. Married, you could be eligible for $2,400 maximum, since the IRS formula used to determine your total stimulus money is based on your combined household income.

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The amount of stimulus money you could get in a second round of checks is still undetermined. 


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You now share custody of a child: If you meet specific qualifications, you and the child’s other parent may both be entitled to claim extra stimulus money. That means you could get $500 more in the second check, especially if anything in your situation changes from the time you filed your 2018 tax return to 2019. The second check allowance will be based on your most recent tax filing.

A rule change concerning incarcerated people becomes permanent: A federal judge has ruled that the IRS owes stimulus checks to inmates in prison who qualify. If the ruling stands, these people may be entitled to a second stimulus check of up to $1,200, as well as the first. That’s a potential $2,400 total for individuals, with more potential money for dependents.

You’re an “undocumented immigrant”: Democrats propose that undocumented US residents should be eligible for stimulus relief funds if they pay taxes, as part of the Heroes Act that passed the House of Representatives in two forms, but which is not law. If that qualification goes through, it could mean that some people who did not get a check as part of the CARES Act could get a second check. If it works retroactively, individuals may be eligible for both payments. This is contingent, along with the rest of the stimulus check qualifications, on the details of a new law.

There’s a potential for $1,200-$2,400 for this group, with more for dependents. For a married couple with two young children who didn’t receive the first check, the second round could possibly yield as much as $3,400.

Keep reading below for how you could get less money than before.

With a rule change, your family could get more money

Here are some potential scenarios for how the two different approaches could play out for families. You can use our stimulus check calculator to get a more specific estimate for your particular situation.

Stimulus check calculations with dependents

Scenario 1 Scenario 2 Scenario 3 Scenario 4
Tax filing status Single Head of household Married Married
2018 or 2019 tax AGI $45,000 $60,000 $160,000 $190,000
Estimated total with:
1 dependent under 17 ($1,000 total) $2,200 $2,200 $2,900 $1,400
3 dependents under 17 ($3,000 total) $4,200 $4,200 $4,900 $3,400
1 dependent of any age ($500 total) $1,700 $1,700 $2,400 $900
3 dependents of any age ($1,500 total) $2,700 $2,700 $3,400 $1,900

Looking for more stimulus check information? Here’s the status with negotiations today, and here’s what you need to know about stimulus checks and older adults, and if you’re in a child support situation



Source link: cnet

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