This post was originally published on this site
The third time may be the charm when it comes to stimulus checks.
More than 100 million stimulus checks of up to $600 each have been distributed to Americans since Congress passed a $908 billion pandemic relief package last month, according to the U.S. Treasury. In the coming weeks, these Americans may receive a third stimulus check of up to $1,400 on top of what they’ve already received.
Last month, President-elect Joe Biden referred to the $908 billion package as a “down payment” on a multitrillion-dollar additional relief package that would include a third round of stimulus checks.
“We need more direct relief flowing to families, small businesses, including finishing the job of getting people the $2,000 in relief direct payment,” Biden said on Friday, adding that a $600 stimulus check “is simply not enough.”
Before two incoming Democratic senators — Rev. Raphael Warnock and Jon Ossoff — were elected, the prospect of passing an even larger stimulus package was slim. But with a Democratic majority in both the House and the Senate, Biden may be able to fulfill his promise.
“There will be a push to stimulus checks fairly rapidly,” said Gregory Daco, chief U.S. economist at Oxford Economics. Lawmakers in the House already passed a standalone measure in December to increase the amount of stimulus checks individuals would receive from a maximum of $600 to $2,000. However, it failed to get passed in the Senate.
It’s likely that senators will revisit the already drafted legislation, referred to as the CASH Act, Daco said. But at least one Democratic senator, Joe Manchin from West Virginia, expressed reservations about the measure. Lawmakers should focus on vaccine distribution before considering another round of stimulus checks, he said Friday in an interview with the Washington Post.
He suggested that he might support another round of stimulus checks if they were “targeted” and go out “to those who need it,” Machin tweeted TWTR, -4.93%. Individuals who make more than $75,000 aren’t eligible for the current round of payments.
Machin’s stance on stimulus checks is crucial given the 50-50 breakdown in the Senate between Democrats and Republicans. His reservations could ultimately prevent a third round of stimulus checks from passing.
Beyond the direct payments, some lawmakers have said jobless Americans should receive additional relief in the form of extended unemployment benefits that continue beyond the March deadlines set by the most recent stimulus package. Lawmakers have also discussed bringing back the extra $600 a week in federal unemployment benefits that jobless Americans received through July.
“While the vaccine is being administered, it will take the better part of a year to widely distribute,” said Oregon Democratic Sen. Ron Wyden in a statement to MarketWatch. “The hardest-hit service industries are not going to come back right away, and continued relief, especially for workers experiencing long-term joblessness, is going to be critical.”
“My starting point here is going to be my legislation that would reinstate the full $600 weekly and tie additional weeks of benefits and the program for gig workers to economic conditions,” said Wyden, who will lead the Senate Finance Committee.
