Everyone is waiting eagerly for the next round of stimulus checks. It is almost confirmed that the stimulus checks this time will be the same as before at $1,200. However, the benefits you will receive from the next relief package will not just be limited to the coronavirus stimulus checks. Rather, your total benefits could be worth much more.
Coronavirus stimulus checks are part of total benefits
The CARES Act included a lot of benefits, including the stimulus checks, federal unemployment benefits, an eviction moratorium and more. Similar and more benefits could be part of the next stimulus package as well.
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So far we have had no confirmation, but we do know that stimulus checks will be part of it and that they could be $1,200. Apart from the coronavirus stimulus checks, there will be many more benefits that could magnify your total benefits.
The first benefit that you may get from the next stimulus package is the weekly unemployment check. A similar benefit under the CARES Act of $600 a week expired on Saturday. However, lawmakers are planning to extend the federal unemployment benefits by a few more months.
Democrats are in favor of extending the $600 a week unemployment benefit. Republicans may agree to extend the benefit but at a lower amount. There are reports that the Senate may propose a federal unemployment benefit of $300 or less per week.
"We're not going to pay people more money to stay at home than work," Treasury Secretary Steven Mnuchin told CNBC last week.
In addition to stimulus checks, another direct payment you may get is a return-to-work bonus. Such a bonus would serve as an incentive for laid-off workers to return to work. Kudlow says the CARES Act 2 may include it.
Another provision that could increase your total benefits is the Paycheck Protection Program (PPP). Under the PPP program, small businesses get forgivable loans to pay salaries and other business expenses. The program could benefit you if you are a small business or work in such an establishment. Such funds could protect your job or business.
Senate Majority Leader Mitch McConnell has said that the next stimulus package would include payroll protection "with a special eye toward hard-hit businesses."
The next stimulus package could also include an employee retention tax credit. Such a provision would allow employers to claim refundable tax credits for wages paid during the coronavirus pandemic. Although it is not a direct payment, it encourages employers to keep workers on the payroll.
On Sunday, White House economic adviser Larry Kudlow told CNN that it could be part of the Senate proposal. Democrats already support such a provision.
One more indirect benefit is rental assistance. Such a provision could help renters pay their rent and ensure cash inflow for landlords to cover their property expenses. Another indirect benefit that may enlarge your coronavirus stimulus check is a payroll tax cut.