The devastating impact of the Covid-19 pandemic and forced business shutdowns has left average Americans struggling with day-to-day needs. Even the economic stimulus from the CARES Act didn’t go far enough. Many households found that the $1,200 stimulus check quickly ran out. With the Senate failing to agree on a new stimulus act before the end of July, most of the CARES benefits have stopped.
So, what now? There’s been a lot of talk over the last few months about proposals for a new stimulus check. But so far, there seems no relief from the financial crisis.
Now, the latest deal on the table is the HEALS Act. If approved, this bill could see millions of Americans get a new stimulus check, benefit from tax incentives, and get a top-up on welfare. But the big question is — how much will the new HEALS stimulus check give you? Well, it depends.
What is the HEALS Act Stimulus Check Worth to You?
At the heart of the HEALS Act is a stimulus check worth up to $1,200. Under proposals, you can also claim up to $500 for all dependents in your household, regardless of age. Compared to the previous stimulus check under the CARES Act, you could be better off financially — especially if you’ve got a few kids or college students living at home.
Theoretically, an eligible family with two adults and four kids could get a stimulus check for $4,400 under the HEALS Act.
Related reading: How to track your stimulus check if you’ve still not received it.
What is the HEALS ACT?
The HEALS Act is the Health, Economic Assistance, Liability Protection, and Schools Act. The government’s website says that the HEALS Act would provide the following aid:
- Schools to receive more funding
- Liability protection for employers
- Extra money for jobless folks
- $1,200 stimulus check for eligible taxpayers and $500 for their dependents
The total cost of the HEALS Act amounts to $1 trillion. Compared to the HEROES Act, the economic relief package is much cheaper — $2 trillion cheaper. The lower cost means there’s more support from both sides of the House and Senate. As usual, there’s still a way to go before any new stimulus package comes into law.
When Will I Get Money from the HEALS Act?
The timeline for receiving any stimulus payout depends on the Senate passing the HEALS Act on August 7. If the bill goes through, it could take up to a week before the president signs the Act. If talks stall and there’s no agreement, then we’re looking at September 8 when the Senate returns from recess.
According to some reports, President Trump could sign executive orders to provide some financial relief in the meantime. These orders would do the following:
- Extend the eviction moratorium
- Enhance federal unemployment benefits
- Suspend payroll taxes
The HEALS Act vs. the HEROES Act
The difference between the HEALS Act and the HEROES Act is $2 trillion. In some ways, the HEALS Act is similar to what was proposed under the HEROES Act. Both of these economic aid packages include a new stimulus check for $1,200. Also, the HEALS and HEROES Acts extend the provision for extra unemployment benefits.
However, there are a few significant differences between the two bills. Some of these could severely impact your finances. Here are three main differences:
- Stimulus check eligibility — The new HEALS Act stimulus check is more generous as it includes all dependents in a household. The HEROES Act only included up to three dependents.
- Unemployment benefit — The HEROES Act proposes to continue topping up welfare checks by an extra $600 a week. However, the HEALS Act would only give $200 weekly.
- Eviction moratoriums — The HEALS Act doesn’t propose a ban on evictions due to defaulting on rent or mortgage payments. The HEROES Act would put a stop to evictions until the end of 2021.
Under the HEALS Act, you would be worse off if you’re out of work and receiving welfare. Here’s what could happen to your unemployment check. The HEALS Act would only give you an extra $200 a week, whereas the HEROES Act offers a generous $600. So, in a month, you’d be worse off by the tune of $800.
How Much Would the HEALS Act Stimulus Check Give You?
Let’s crunch the numbers to find exactly how much cash you could hope for if the HEALS Act comes into law.
There could be massive differences in your finances between the HEALS Act and the HEROES Act. These differences depend on the number of people in your household and if you’ve got a job.
For example, if there are two adults and four dependents in a household, under the HEALS Act, the family would receive $4,400. However, the HEROES Act would only be worth $3,900. Also, there is no upper limit on how much eligible families could receive.
Another benefit of the HEALS Act is that more folks could qualify for it. The Tax Foundation reports that — unlike the CARES Act — there is no age limit on dependents. According to some estimates, as many as 26 million people could now qualify for the new HEALS stimulus check. So, if you have dependents in your household over 17 yrs. old, you will get an even larger stimulus check this time around.
Similar to the CARES Act, eligibility in the HEALS bill for receiving a stimulus check depends on adjusted gross incomes (AGI). This is who qualifies for the HEALS stimulus check:
- Single people earning up to $75,000 — $1,200
- A married couple filing jointly with an AGI below $150,000 — $2,400
- Head of household earning up to $112,500 — the full amount for all themselves and all dependents, regardless of age.
Other Financial Benefits in the HEALS Act
Apart from the extra unemployment benefits and the stimulus check proposed in the HEALS Act, there are few more financial benefits. The other key economic provisions are for small businesses and education.
The HEALS Act Stimulus Check: How Much Will You Get?
Most people are sure that a second round of stimulus checks are coming. Just when money gets into your bank and how much you get is the question on everyone’s lips.
With the end of the CARES Act provisions, you might be toiling to make ends meet until any new economic stimulus arrives. Until then, you can find out about financial help in your area to pay for rent, groceries, and medicine. Also, you can check our resources on how to work from home during the pandemic.