The first stimulus check has been released and the next coronavirus stimulus package might be coming soon. One big question on everyone's lip is what they can expect from the government. Currently, lawmakers have three options to choose from. All three means more direct financial aid for most Americans suffering the impact of the pandemic, as the nation's leader are threshing it out.
“There is going to be a pot of money, and it is going to go towards a combination of round two stimulus checks, continued unemployment and back-to-work bonuses,” said Ed Mills, a Washington policy analyst at Raymond James, reports CNBC.
Increased coronavirus cases in mostly Republican states would prompt more GOP support. With the Democrats jockeying for more votes in November this year, they are trying to push for the approval of the bill.
The extra $600 a week for unemployment benefits will end in late July. Some states are not reopening, so that makes the $600 very important.
It is a dilemma to give money to stanch the financial gaps, so one compromise is reducing something. Now that would be the unemployment benefits that gets slashed asap.
The Congress will decide once they get a recess from July 20-27.
Stimulus checks coming
After passing the federal CARES Act last March, it can allow the release of $1200 stimulus checks for qualified Americans. In one interview, President Donald Trump said more checks might be coming and another stimulus as well, mentioned Fox 23.
The Heroes Act was passed that added another round of stimulus checks, but with more money. Most families almost got $6000, with $1200 if there are dependents which is three children maximum. Added were adult dependents and non-Americans.
Not everyone who needed it got it, if anyone was not on federal benefit it will be a different calculation.
Mills added that the money given did have a good economic effect.
The $600 per week will be ending that came with the cares act and it ends late July.
Democrats want the $600 unemployment benefit
The congress Democrats are lobbying for continued unemployment benefits to go on till January, a similar bill to HEROES Act is just that.
One of their proposals is to continue the enhanced benefits when all there are lesser jobless rates.
The lack of jobs is why the Democrats want the $600 still active and when its better to deactivate it.
Others think that slashing the $600 to $400 a week will force people to get back to work, cited Forbes.
Work now and get these benefits
Instead of a dole out, the Republicans want people to work, not rely on federal aid.
Several back-to-work bonuses are given in several ways. Such as;
Sen. Rob Portman, R-Ohio, is thinking of giving a $450 weekly bonus to get back to work. Rep. Kevin Brady, R-Texas, sweetened the pot adding a single installment $1200 to all workers, confirmed Wall Street Journal.
Instead of the $600 to $400 slash unemployment, priority is given to a return to work bonus. Not letting them stay at home and get a bonus, which can be costly in the long run.
According to Mills, it needs more discussion to get everything to work out fine.
If given a choice of a single installment or expensive weekly payment, the most likely is the less expensive option.