Where's My Coronavirus Stimulus Package Money?
(CBS4) - If it isn't there yet, for most people, the coronavirus stimulus money is coming. That's the simple answer.
Now, let's get complicated.
The $2.2 trillion stimulus package passed by federal government will provide Americans money to help get through these tough times, but it's not a slam dunk you'll get it soon. The critical factor to faster money is whether you used the direct deposit features when you filed your taxes in the past two years. If so, the feds have your bank information and the money is on its way. If you got your tax refund by mail or none at all, it will come by check, possibly as late as mid-August.
If you are a single taxpayer, you will get $1200 if your adjusted gross income on your taxes is up to $75.000 a year. Then, that amount starts to drop gradually until your gross income reaches $99,000. Then, you get nothing. That is, unless you have children who are dependents. If they are under 17, you get $500 for each of them up to $99,000 a year and it phases out gradually for every $10,000 of income for each child. For example, if you have three children who are dependents, then you'd get $1500 up to $99,000 in gross income. Since there are three children, says Debbie Freeman, director of tax and financial planning at Peak Financial Advisors, the amount of money you'll get is reduced over the next $30,000 of additional adjusted gross income level until there's nothing coming for that either.
If you are submitting taxes as married filing jointly, the amount of stimulus money you'll get is doubled. It will be $2400 up to $150,000 in adjusted gross income. It will drop gradually to nothing as your income rises to $198,000. A similar rule about children applies here. $500 for each child who is a dependent as long as they are under 17. It too will start to phase out over the top level. Add the thousand dollars per child over $198,000. If you have two children, it drops to nothing by $218,000.
The IRS says it is working on a tracking site it will call "Get My Payment" it will launch April 17th. "By this time next week we should be able to go online and get an idea of when to expect the stimulus payment," says Freeman. But be cautious of scammers she warns. "That is a huge concern. The IRS is not going to reach out to you. The IRS does not make phone calls." Do not click on phishing emails that claim to link you to the IRS site. Go to IRS.gov and find the link that way starting next week.
If you have not filed taxes over the past couple of years, the IRS has created a path for you to let them know where you are. That will include people with disabilities, low-income workers and some veterans who typically don't file. Here's a link to file: www.freefilefillableforms.com/#/fd/EconomicImpactPayment
A couple other good questions:
Will college students get money?
Generally not. Freeman says, "If you are still technically a dependent on their tax returns, between the ages of 17 and let's say 24, you're not going to get your own stimulus because you're claimed as a dependent on someone else's tax return." Yes, we realize parents who claim you as a dependent don't get the $500 stimulus on children over 17. That's just the deal.
Will this mean less of a refund on my taxes next year?
No. There's been a lot of bad reporting about this one and Freeman took the time to explain. "Since it is an advance on a refundable tax credit it will not impact your normal tax refund for 2020. You will not lose out on your expected income tax refund. If it turns out you were advanced more than you were allowed, there is no clawback provision and you do not have to pay it back. The government will not be seeking that money back next year, they'll just, in effect, call it a math error." And where have you seen the IRS do that before?
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