New Petition Calls A New Stimulus Check Plan: Despite the fact that the U.S. unemployment rate dropped to 3.9 percent, some Americans want to see greater help from the federal government this year. More than four and a half million Americans signed a Change.org petition calling not only for a fourth stimulus check but are calling for a $2,000 per month stimulus check for the duration of the Covid-19 pandemic.
As the novel coronavirus is now being seen as an endemic disease – meaning it could be here from now on like the seasonal flu – it seems like those who signed the petition expect the government to support them indefinitely.
The call for a monthly stimulus check was launched by Colorado restaurant owner Stephanie Bonin in 2020 when the pandemic led to lockdowns, and many businesses were forced to shutter.
Bonin warned that it took nine months for Congress to send a second stimulus check, and “just moments to spend it.” She called upon Congress to make recurring checks automatic if certain triggers are met.
“I’m calling on Congress to support families with a $2,000 payment for adults and a $1,000 payment for kids immediately, and continuing regular checks for the duration of the crisis. Otherwise, laid-off workers, furloughed workers, the self-employed, and workers dealing with reduced hours will struggle to pay their rent or put food on the table,” Bonin wrote.
Chances of Ongoing Stimulus Check?
While some 80 lawmakers have publicly backed the idea of sending recurring payments, there is very little chance this could work.
Republicans and moderate Democrats have warned that the high level of government spending has resulted in rapid inflation, which climbed to 7 percent at the end of 2021 – the highest since June 1982. As a result, there is virtually no chance of monthly stimulus payments being passed. It is as unlikely even a fourth stimulus check would be approved.
That said, there are some Americans who could see some other forms of stimulus in 2022.
Parents who had a child last year could expect to see their refunds padded by $1,400 when filing their 2022 taxes. Most people have already received their American Rescue Plan payments in full, while those who haven’t might be able to claim their Economic Impact Payment as the Recovery Rebate Credit.
“Provided that they file their tax returns first, parents of children born in 2021 will be eligible for the stimulus check early next year,” Scott McKinney, head of marketing at Debt Bombshell told GOBankingRates.com. “Like with previous stimulus checks, they would still be required to meet the income eligibility requirements, which means that they need to make no more than $75,000 per year.”
In addition, some states – including California, Georgia, Connecticut, Florida, New York and Tennessee – have disriputed their own stimulus money, making it even more unlikely that the federal government issue additional stimulus. However, the stimulus was provided to certain occupations including teachers or first responders, while others were reserved for students or administered through an expansion of programs like SNAP.
A New Stimulus Check Could Flame Inflation
With inflation at the highest it has been in four decades, there is also the concern that any additional stimulus would only turn up the heat even more. Consumer demand could exacerbate the already stressed supply chain. Given that fact, there is little reason to suggest the federal government sees a need for further stimulus payments.
“At this point, I’d say the odds of another round of stimulus checks are fairly slim,” Riley Adams, licensed CPA, senior financial analyst for Google and chief editor of Compare Forex Brokers, told GOBankingRates.com. “For that to happen, data would need to show a rapid spike far above consensus expectations for Omicron cases. This would need to result in large shelter-in-place orders coming out across most, if not all, states. As a result, it would be hard to coordinate and take action on the need for another round of stimulus checks nationally when so many states would opt not to follow a shelter in place order, preferring instead to remain open to avoid a potential downturn in the economy.”
Peter Suciu is a Michigan-based writer who has contributed to more than four dozen magazines, newspapers and websites. He regularly writes about military small arms, and is the author of several books on military headgear including A Gallery of Military Headdress, which is available on Amazon.com.