Need a Fourth Stimulus Check? Four Ways to Get Paid.

Fourth Stimulus Payment

Need a Fourth Stimulus Check? Four Ways to Get Paid.

Even though millions of recipients are still waiting for the third round of direct relief, members of Congress have called on the White House for a fourth stimulus payment. 

Just as President Joe Biden signed off nearly $450 billion for the third round of stimulus payments under the American Rescue Plan, there’s already been a murmur about a fourth direct payment.  

The Internal Revenue Service announced Wednesday that the agency sent out two million more stimulus payments to Americans, bringing the total disbursed so far to about 163 million. Those eligible for the most recent stimulus payment include single filers earning up to $75,000, and joint filers making up to $150,000. Individual filers earning up to $80,000 and joint filers making up to $160,000 will receive smaller amounts. Eligibility is based on the most recent tax return and adjusted gross income.

And even though millions of recipients are still waiting for the third round of direct relief, members of Congress have called on the White House for a fourth stimulus payment. 

Here’s how that additional payment could look, according to Zack Friedman, an economist and the founder and chief executive officer of Make Lemonade.

Send $2,000 Checks Every Month 

Several Democrats on Capitol Hill are calling for recurring $2,000 stimulus payments until the pandemic is over. More than seventy-five congressional lawmakers have joined in support of the effort, arguing that the trio of direct payments were not enough to help families keep food on the table and ahead on bills due to the economic impacts of the coronavirus pandemic.  

Another largely partisan effort from Democrats back in January pushed Biden to stand behind additional stimulus checks, but the president has not signaled his support for the measure. And with a closely divided Congress, it’s unlikely this type of expensive program would pass, as several key Democratic votes have recently come forward, urging party members to work with Republicans on future legislation. 

An infrastructure and jobs bill lies at the centerpiece of Biden’s current policy agenda, and if Republicans are involved in the effort, it’s unlikely a bill with recurring stimulus checks would pass.

Maintain the Child Tax Credit 

Under Biden’s relief package, the president expanded child tax credits, so that families with children could see an additional $300 check each month amid the seething economic crisis.  

The bill boosted the credit from $2,000 to $3,000 and allowed parents with children under the age of 6 to qualify for $3,600. The measure also permits parents of children at an age of seventeen to be eligible for a tax credit. The credit is fully refundable, and the $2,500 earned-income requirement has been eradicated. 

Taxpayers will get half of the credit in monthly cash payments from July through December, which could be between $250 to $300 a month for each eligible child. The rest of the tax relief can be claimed on their 2021 tax returns. 

The monthly payments, however, are only temporary.  

A group of Democrats is now pushing the White House to make the enhanced child tax credits permanent, but Biden has only signaled a willingness to extend the payments until 2025.

Give $1,000 to Parents Every Month 

Sen. Josh Hawley (R-Mo.) unveiled legislation this week that would establish the Parent Tax Credit, or a tax cut of up to $12,000 per year for parents who are trying to start a family or need a stronger financial ledge to raise children. Hawley said that current childcare programs are unfair to parents and argued that his plan would allow parents to care for their children at home. 

This program could be another form of a stimulus payment for families, but to be eligible, parents must have one child under the age of thirteen. They also must be employed part-time, working twenty hours per week and earn at least the minimum wage.  

Extend the Unemployment Insurance 

Biden’s rescue package implemented $300 weekly jobless benefits until September. Congress could extend unemployment insurance even longer to offer more federal aid until the pandemic is over, but the extension would only benefit a targeted group of Americans.

Cancel Student Loan Debt 

The last way that Americans could see another stimulus payment, according to Friedman, is by student loan cancellation. 

Biden asked Education Secretary Miguel Cardona to put together a memo on the president’s “legal authority” to unilaterally forgive student loans without congressional action. The president has also called on Congress to cancel $10,000 worth of federal student loan debt, as nearly 43 million people are plagued with the financial burden. 

Rachel Bucchino is a reporter at the National Interest. Her work has appeared in The Washington Post, U.S. News & World Report and The Hill. 

Image: Reuters.