A second batch of stimulus checks is scheduled to arrive in Americans' bank accounts this week, with most cash payments expected to arrive by Wednesday.
Checks being delivered via direct deposit started processing on Friday and will be available by Wednesday, March 24, according to a joint news release from the Treasury Department, IRS and Bureau of the Fiscal Service. Some individuals could see the funds arrive even sooner.
The latest round also includes a "large number" of checks and pre-paid debit cards, the agencies said, urging people to "watch the mail carefully" for the money in the coming weeks.
The IRS has already delivered checks to 90 million Americans. The initial payments totaled more than $242 billion and went mostly to eligible taxpayers who provided direct deposit information on their 2019 or 2020 returns. It's unclear how many checks the agency will deliver this time around.
“The IRS continues to send the third round of stimulus payments in record time,” IRS Commissioner Chuck Rettig said in a statement.
The $1,400 payments are part of President Biden's $1.9 trillion American Rescue Plan, which he signed into law on March 11.
Individuals with an adjusted gross income of $75,000 or less, and couples with an adjusted gross income of $150,000 or less, are eligible to receive the fully promised $1,400.
Americans who earn more than the threshold line will still receive a partial check. But the money will phase out faster than the first two rounds, cutting off individuals who earn $80,000 a year or more, and couples who earn $160,000 a year or more. For those filing as head of household, the phaseout begins at $112,500 and tapers off at $120,000.
The checks are directly tied to your latest processed tax returns, either from 2020 or 2019. If you didn't qualify for the latest round of checks based on 2019, but you do qualify now, you should file your taxes as soon as possible, experts say.
That's because the 2019 tax return may not accurately reflect an individual's current financial situation, given that millions of Americans lost their jobs, or saw their income reduced, last year as a result of the pandemic. Filing ahead of the May 17 deadline could help Americans who made good money in 2019 but struggled financially in 2020.
If your income was lower (or you lost your job), or if you had a child, got married or could no longer be claimed as a dependent last year, you should consider filing your tax return as soon as possible in order to guarantee that you receive a stimulus payment.
You can check the status of the payment using the IRS’s Get My Payment tool. The first payments will go to Americans with direct deposit set up, the IRS said. After that, the agency will mail paper checks and pre-paid debit cards to anyone who qualifies for the money.