The White House announced on Thursday that payments would go out this weekend for those who have their direct deposit information in hand at the Treasury and the IRS.
Processing of the first batch of stimulus payments began on Friday and others will be launched in “the coming weeks,” a Treasury Department official told reporters on a conference call on Friday.
Although direct deposits are sent first, paper checks and prepaid debit cards will be sent before the end of the month.
No action is necessary for most people to receive the money. Social Security beneficiaries and those receiving Veteran Affairs benefits should also receive the money automatically, even if they do not report taxes.
Who gets paid and how much?
The total amount of $ 1,400 goes to individuals who earn less than $ 75,000 of adjusted gross income, heads of household (such as single parents) who earn less than $ 112,500 and couples who earn less than $ 150,000.
Payments are phased out as revenue increases, and lawmakers have narrowed the scope of this third round of payments so that not everyone who received a previous check will receive it now.
It cuts individuals who earn at least $ 80,000 a year in adjusted gross income, heads of households who earn at least $ 120,000, and couples who earn at least $ 160,000 – regardless of how many children they have.
But, unlike previous rounds, families will now receive additional money for adult dependents over the age of 17. Families will receive an additional $ 1,400 per dependent, so a couple with two children can receive up to $ 5,600.
The new income limits are based on the most recent taxpayer statement.
The money is expected to reach about 90% of households, according to an estimate from Penn Wharton’s Budget Model.