The next round of stimulus checks: What you need to know

JACKSON, Tenn. — We’ve received plenty of viewer questions about the stimulus checks.

Just one step remains before the American Rescue Plan Act of 2021 becomes law.

The House of Representatives is expected to pass the bill Tuesday, and after that, President Joe Biden will sign it into law.

That’s when stimulus checks will begin to go out.

First up, do you qualify for the stimulus checks?

Single people making under $75,000 a year, heads of household making under $112,500 a year, or couples making under $150,000 a year will receive the full $1,400 stimulus check. And if you claim dependents, you’ll receive more.

There’s a big change: In the previous stimulus, adult dependents were not eligible. In this one, they are, so you might receive even more money this go around.

If you make slightly more than those incomes, you will likely see a reduced amount. However, the phase outs for this bill are much faster.

Those making more than $80,000, $120,000, and $160,000 won’t receive any stimulus checks.

When it comes to taxes, there’s two big pieces of information to know.

If you’ve already filed your 2020 taxes, the check will probably be based on that income. If you haven’t, it will be based on your 2019 taxes.

Many have wondered if the stimulus payments affect the taxes they owe.

According to the IRS website, the stimulus payments are not included in your gross income, so you will not be taxed on them.

Similarly, if you owe child support or student debt to the federal government, the stimulus money is excluded from garnishment. That means you should be receiving the stimulus money you qualify for.

There is some other benefits too.

If you are receiving unemployment, the first $10,200 of that money cannot be taxed, and the payments will now go for another 26 weeks in most cases.

With a nearly $2 trillion bill, there’s a lot of benefits pertaining to health care premiums, tax credits and more.

If you can, talk to a CPA or a financial planner, they’ll have even more resources, and you might be putting some extra money into your pocket.

To see what else you might qualify for, click here.