March 29, 2021

Third stimulus checks: Are more payments possible?

As some people still await their third stimulus check, there is already talk of more…

As some people still await their third stimulus check, there is already talk of more possible payments. Over 18 million people are still receiving unemployment, so some economists say additional money might be needed this year to boost the economy.

As the latest federal direct payment has hit most bank accounts some people are wondering if there will be a fourth stimulus check coming later this year.

“More direct stimulus payments are certainly possible,” Peter Earle, an economist at the American Institute for Economic Research, told Acorns/CNBC. David Blanchflower, who teaches economics at Dartmouth College, also told CNBC the enacted stimulus package likely “won’t be enough” and said more stimulus could come later.

(File/Getty)

A group of 10 Democratic senators released a letter earlier this month that asks President Joe Biden to include additional stimulus money in the next spending bill, according to The Washington Post. The letter mentions “recurring” payments as part of the plan.

“We urge you to include recurring direct payments and automatic unemployment insurance
extensions tied to economic conditions in your Build Back Better long-term economic plan,” the group writes.

Whether or not additional payments will happen remains to be seen.

Social Security recipients could see faster payments as data is turned over to IRS:

The Social Security Administration transmitted payment information for nearly 30 million to the IRS to get stimulus checks out the door after several Congressional leaders said they were “alarmed” at the lack of payments.

Beneficiaries of Social Security, SSI (Supplemental Security Income), Veterans Affairs and Railroad Retirement Board haven’t received their third checks and still have no estimated timeline on when they will get payments.

Already about 90 million people have received their third wave of stimulus checks, according to a joint letter to the heads of the Internal Revenue Service and Social Security Administration.

“However, we were alarmed to learn recently that most Social Security, SSI, RRB, and VA beneficiaries who are not required to file a tax return have not yet received their payments and that the IRS is unable to provide an expected timeline for these payments,” said Reps. Richard Neal (D-MA), John Larson (D-CT), Bill Pascrell (D-NJ) and Danny Davis (D-IL) in the letter sent earlier this past week.

On Wednesday, the group sent a follow-up letter to Social Security Administration Commissioner Andrew Saul after learning the agency hasn’t sent the necessary payment files to the IRS, delaying the payments of nearly 30 million people.

“We are aware that the IRS asked SSA to start sending payment files two weeks before the American Rescue Plan became law on March 11, 2021,” they wrote Wednesday. “As of today, SSA still has not provided the IRS with the payment files that are needed to issue EIPs to these struggling Americans. We demand that you immediately provide the IRS this information by tomorrow, March 25, 2021.”

The SSA responded at 8:48 a.m. (EDT), according to the Congressional leaders, saying they had sent the info to the IRS.

“We are gratified that the SSA leadership finally recognized the urgency of the moment and acted swiftly on our ultimatum,” the group said in a joint statement Thursday.

They said the delays “defied congressional intent” and gave needless anxiety to taxpayers.

“Now the IRS needs to do its job and get these overdue payments out to suffering Americans. Further delays will not be tolerated by this committee,” the members of Congress said.

They also praised the work of SSA’s public servants.

The IRS has not confirmed the official payment date. Social Security recipients will get the payment the same way they would normally receive Social Security benefits.

When you could get your third stimulus payment, if you haven’t yet:

If you receive direct deposit, you have had received your payment this past Wednesday.

If you do not receive a direct deposit by that date, the IRS said you should watch the mail carefully in the coming weeks for a check or prepaid debit card — known as an Economic Impact Payment Card or an EIP Card. Checks will arrive by mail in a white envelope from the U.S. Department of the Treasury. “For those taxpayers who received their tax refund by mail, this paper check will look similar, but will be labeled as an “Economic Impact Payment” in the memo field,” a release from the IRS stated.

“The IRS continues to send the third round of stimulus payments in record time. Since this new set of payments will include more mailed payments, we urge people to carefully watch their mail for a check or debit card in the coming weeks,” IRS Commissioner Chuck Rettig said.

The first batch of the $1,400 stimulus payments was initated on March 12.