Stimulus Check Calculator
Welcome to the stimulus payment calculator, where we answer your question "Who is eligible for the stimulus and how much stimulus will I get?" The $2 trillion coronavirus stimulus package, announced on 25th March, is the biggest one in history. This pandemic has changed our private lives (and will continue to do so), and many of us have lost our source of income for who knows how long. The new bill, also referred to as the Coronavirus Aid, Relief, and Economic Security Act (or CARES Act for short), which was voted through by the Senate by an unanimous 96-0 and signed by the President on Friday 27th March, is trying to address this problem.
Note that this stimulus check calculator does not address every possible exceptional situation mentioned in the bill. For more information we encourage you to seeor to find any additional information on the coronavirus relief package.
The idea behind the coronavirus stimulus package
With the virus raging around the world, and more and more Americans tested positive for it every day, the economy is suffering. People prefer not to risk being infected and stay home. Employers, if possible, have suggested home office and have closed their workplaces for the time being. Some states (e.g., California) are in complete shutdown and forbid work as we know it. So what about those whose work cannot be done remotely? And what about people working in places such as schools, restaurants, or bars, which are being closed down? Where are they supposed to find the money to survive this difficult time?
That's precisely the problem the $2 trillion coronavirus stimulus package is here to address. It is a one-time (which may be repeated later on, if needed) social fund to all those struggling and worrying about the near future. To quote the Congress itself:
"The bill also provides funding for $1,200 tax rebates to individuals, with additional $500 payments per qualifying child. The rebate begins phasing out when incomes exceed $75,000 (or $150,000 for joint filers)."
Who is eligible for the stimulus? Where do you sign up?
All working Americans (that is, those that filed their 2019 or 2018 tax return) or those on Social Security, will be considered in the CARES Act. Admittedly, not everyone will get financial support, since the amount given depends heavily on your yearly income.
The authorities will get all the information they need to send the money from your tax return. This means that you don't need to fill out any documents or stand in a long queue. Once calculated, the sum will be transferred to you using the information provided in your tax return. If there is no information for a direct transfer, they will mail you a coronavirus stimulus check. As you might have expected, that option is bound to take longer.
Stimulus check: How much will I get?
Let's list the main factors on which the $2 trillion coronavirus stimulus package will work:
- The more you earn, the less you get. Every American that earns $75,000 a year or less is eligible to receive $1,200. If you earn more than that, subtract $5 from that number for every additional $100 of income, up to a salary of $99,000 a year.
- There's additional money for every child. A married couple or a single parent can obtain an extra $500 for every child under 17.
- The support for married couples is calculated together. This means that a couple is eligible to receive $2,400 if their total income doesn't exceed twice the number mentioned for a single person, i.e., it is not higher than $150,000. Again, their checks will be reduced on a sliding scale if they earn between $150,000 - $198,000. Also, we still add the $500 for every child.
- In special cases, such as being a single parent, the rules are less strict. If you qualify as the "head of household," you are eligible for $1,200 if you earn up to $112,500. Similarly to the first point, the more you exceed that number, the less you can get, but this time the cap is $136,500.
Example: a 4-person family
Let's say that you're a married couple with two young kids. You earn $90,000 a year and your partner earns $70,000. How much stimulus will you get from the CARES Act? Let's look into the calculations together with the stimulus check calculator.
First, let us compute your combined income.
income = $90,000 + $70,000 = $160,000
This is the number we put into the above stimulus payment calculator. We see that it is more than the $150,000 mentioned above, so you won't get the full $2,400. But how much will it be? Let's begin by computing how much we exceed the cap by:
excess = income - cap = $160,000 - $150,000 = $10,000
The rule is that from the base sum of $2,400, we subtract $5 for every $100 in the excess. This means that we have to subtract:
difference = (excess / $100) * $5 = ($10,000 / $100) * $5 = $500,
and so you are eligible for:
support = base - difference = $2,400 - $500 = $1,900.
But wait, that's not all! We forgot about the kids! You should never forget the kids! Input the number of children into the coronavirus relief package calculator to obtain:
total_support = support + no_of_kids * $500 = $1,900 + 2 * $500 = $2,900.
And there we have it - you'll get a $2,900 coronavirus stimulus check. Hopefully, it will get you through this tough time.
Do I qualify for the stimulus check?
Every American that filed their 2018 or 2019 tax return or those on Social Security will get a check, as long as their income does not exceed $99,000 (or $136,500 for those qualifying as “head of household,” e.g., single parents). However, the coronavirus relief package in its current form does not include the people using an Individual Taxpayer Identification Number (ITIN).
How much will I get?
The sum you receive depends on your yearly income, your marital status and the number of children (aged 17 or less) you have. For specific calculations we encourage you to try out our stimulus check calculator for yourself.
Where do I apply to get the payment?
You don't. If you've included your bank account number in your recent tax return, you'll receive a direct transfer. If not, the authorities will mail you a check.
How to claim the stimulus payment?
The payment will be transferred directly to the bank account you've included in your recent tax return. If you haven't included any, you'll get a check by mail.
How many checks will there be?
So far, there's only one scheduled in the CARES Act. That being said, the government stated that there might be another in the future if they believe it necessary.
When can I expect the stimulus checks?
According to Treasury Secretary Steven Mnuchin, people should expect the stimulus payments to arrive within three weeks, i.e., by mid-April. Admittedly, the checks sent by mail may come a bit later than the direct transfers.
Do I have to pay it back?
No, it's yours forever.
Will the payments be taxed?
No, you pay no income tax on the amount received.
Can I claim an adult as a dependent?
You cannot claim an adult as a dependent, even if you are there primary caregiver. You can only claim those under the age of 17 as a dependent.