04/13/2020
Do I qualify for a stimulus check? When will I get my stimulus check? Will I really get $1,200?
Here’s what you need to know.
Stimulus Checks
As part of the CARES Act – the $2.2 trillion stimulus package – the federal government is sending stimulus checks (also known as Economic Impact Payments) to millions of Americans. There have been many assumptions about what this means, how it works, and how it impacts your wallet. Let’s set the record straight so you’re completely informed.
Does everyone get a stimulus check?
No. However, most Americans will receive a stimulus check.
Well, how do I know if I get a stimulus check?
If one of the following describes you, then you will get a stimulus check:
You are a U.S. citizen or permanent resident who filed federal income taxes for 2018 or 2019 if you meet the income thresholds;
You receive Social Security retirement, disability (SSDI), or survivor benefits; or
You receive Railroad Retirement benefits.
Do I need to do anything to get a stimulus check?
If you fit the criteria above, then you don’t need to do anything to get a stimulus check. You will get a stimulus check automatically.
You mentioned income thresholds.
The stimulus check – including whether you get one and how much your stimulus check is for – is based partially on your adjusted gross income on your 2018 or 2019 federal tax return. There’s good news and bad news. The good news is that there is no minimum adjusted gross income threshold to get a stimulus check. That means the lower your adjusted gross income, the more likely you’ll qualify for a stimulus check. The bad news is that there is a maximum amount of income you can earn that will disqualify you from receiving a stimulus check.
What are the income thresholds to get a stimulus check?
Let’s start with the bad news. If your income is greater than these amounts, you will not get a stimulus check:
Single Filer: $99,000
Joint Filer (no children): $198,000
Now, the good news. If your adjusted gross income is lower than these numbers, you can qualify for a stimulus check of $1,200:
Single Filer: $75,000
Head of Household: $112,500
Married/Joint Filer: $150,000
How much money will I get?
If your adjusted gross income is less than these numbers, your stimulus check amount will be:
Individuals: $1,200
Married Couples: $2,400
Dependent Children: $500 (must be less than 17-years-old)
What if my income is below the maximum income amount, but higher than the income levels that get the full $1,200 stimulus check?
Here’s what happens: the stimulus check amount phases out by $5 for every $100 above certain income levels based on your tax filing status. This means your stimulus check will get reduced by $5 for every $100 more in adjusted gross income that you have above $75,000 (individual/single filer), $112,500 (head of household) and $150,000 (married.joint filer) up to the maximum income threshold.
So, does everyone get a $1,200 stimulus check?
No. If you qualify for a stimulus check, your stimulus check may be less than $1,200 because if you have higher adjusted gross income, the amount of your check can be lower due to the phase out.
Do I have to pay income taxes on my stimulus check?
No, you don’t have to pay income taxes on your stimulus check.
When will I get my stimulus check?
The golden question. The answer is: it depends. If you included your direct deposit information on your 2018 or 2019 federal tax return, then you may receive your stimulus check this week. The first checks were sent as early as April 9 via direct deposit to taxpayers who provided their direct deposit information on their 2018 or 2019 federal tax return. Check your bank account to learn if your deposit has arrived. Most direct deposits should arrive by April 14.
I didn’t provide my direct deposit information on my tax return. When will my stimulus check arrive?
If you did not provide direct deposit information, the IRS will send you a paper stimulus check. The IRS will start sending paper stimulus checks beginning April 24. Each week, the IRS plans to send approximately 5 million paper stimulus checks, starting with taxpayers with the lowest adjusted gross income. If that schedule holds, paper checks could take several months between May and September (depending on your adjusted gross income) to arrive.
How do I get my stimulus check faster?
If you didn’t include your direct deposit information on your 2018 or 2019 federal income tax return, don’t worry. There’s good news for you. On April 17, the IRS will release a new online tool called Get My Payment, which will also enable you to input your direct deposit (bank account) information to get your stimulus check faster.
I’m a college student. Will I get a stimulus check?
It depends. If someone claimed you as a dependent on their federal tax return, then unfortunately, you won’t get a stimulus check. If you’re ages 17-24, and someone claimed you as a dependent on their federal tax return, that person also will not get the dependent payment either. Why? To qualify for the $500 dependent payment, the dependent must be 16-years-old or younger. Now, let’s assume that you’re a college student who is financially independent and filed a 2018 or 2019 tax return. In this scenario, you can qualify for a stimulus check.
My child is a senior in high school and I claimed my child as a dependent. Do I get paid?
If your child is older than 16-years-old, unfortunately you won’t receive the $500 for each dependent. That means that many high school juniors and seniors – even if you financially support them – won’t qualify as dependents for purposes of the stimulus check. Now, let’s assume that you’re a college student and you’re financially independent. In that scenario, assuming you meet all other requirements, you can get a stimulus check.
I claim my parents as dependents on my tax return. Can I get a stimulus check for them?
Unfortunately, no. A dependent for purposes of the stimulus check means the dependent must be 16-years-old or younger. So, they would not qualify for the $500 dependent payment, which uses the same language and requirements as the Child Tax Credit.
My husband owes taxes to the IRS. Will the government use my stimulus check to pay back taxes?
No, the federal government will not take your stimulus check to pay back taxes. The same is true if you’re currently on an installment payment plan for your taxes as well.
