The American Rescue Plan – Do YOU Qualify for Stimulus? 04.09.21
The American Rescue Plan Act 2021 is a $1.9 trillion COVID-19 economic relief package signed into law by President Biden just a few weeks ago.
Click below to watch our President, Joseph F. Eschleman, CIMA®, outline how & where YOU might qualify for this stimulus.
American Rescue Plan
Another Stimulus Bill Passed: What That Means for You
Wondering how the most recent federal stimulus bill passed by President Biden might benefit you? Hear what the President of Towerpoint Wealth has to say …
There have now been three rounds of stimulus legislated by the United States government in the ongoing effort to provide economic relief to Americans. During the coronavirus pandemic, financial support initially came in the form of an impressive $2.2 trillion Cares Act passed in March of last year. We then witnessed the passage of the Consolidated Appropriations Act this past December, which included another nine hundred billion dollars in COVID-19 stimulus relief.
However, our federal government felt that neither of these packages provided enough economic relief. And in one of his first major moves in office, President Biden signed the $1.9 trillion American Rescue Plan Act just last month. What can be found in this latest stimulus package? And more importantly, how might you benefit from it?
In addition to what your state pays, President Biden’s $1.9 trillion relief package extends federal unemployment benefits until September 6th, 2021 for an additional $300 per week. The extension of unemployment benefits delivers direct relief to millions of Americans who have lost their jobs in the wake of COVID-19. In addition to the extension, the stimulus package also includes improvements to the unemployment insurance system and additional funding for OSHA to ensure workers’ safety.
Paycheck Protection Program
Many believe that small businesses are the heart of the United States economic engine. In that vein, direct economic support for small businesses was included in the stimulus bill via new funding for the paycheck protection program, commonly known as PTP. This stimulus is directed specifically at our nation’s more than 30 million small businesses, “mom-and-pop” outfits, and nonprofits that provide essential services for our everyday lives. If you own a small business or help to operate a non-profit, it is important that you look into a potentially forgivable paycheck protection program loan.
Eligible American taxpayers will receive direct stimulus payments of $1,400, while families with children will also receive $1,400 per dependent. There are earned income phaseouts for this latest round of direct stimulus, so be sure to check with your CPA or tax advisor to see if you qualify for the child tax credit. Previously, the Child Tax Credit offered eligible families a two thousand dollar tax credit per child under the age of 17.
With the changes made under the new American Rescue Plan Act, the child tax credit is temporarily expanding for 2021. Eligible families may now receive up to $3,600 for children five or under, and up to $3,000 for children aged six to seventeen.
More Testing & Vaccinations
The American Rescue Plan Act also provides $66 billion for COVID-19 vaccination distribution and testing and $360 billion for state and local government assistance. Another $510 million is included for FEMA emergency food and shelter programs that support the homeless and struggling families with shelter and meals, as well as direct rent, mortgage and utilities assistance.
Is your head spinning yet? Too many zeros making your eyes glaze over? Reach out to our experts at Towerpoint Wealth on Facebook, LinkedIn or Instagram. We’ll walk you through how we can help you eliminate the hassle of figuring it all out, and what kind of relief you might qualify for.