The COVID-19 pandemic has led to widespread business closures and significant job losses, leaving countless families struggling financially. In response, the U.S. government enacted the largest stimulus package in its history, totaling $2 trillion, to provide much-needed support for those affected. If you’re wondering how this assistance can benefit your family, read on to discover the various forms of aid available and how to access them.
Immediate Relief: Coronavirus Checks
If you qualify for assistance, you won’t need to sign up to receive your economic impact payment. For individuals who received their tax refunds via direct deposit in the last two years, payments will be automatically deposited. If not, you can expect a check in the mail—so it’s a good time to verify that the IRS has your correct address!
How much can you expect? If you filed taxes in 2018 or 2019, possess a social security number, and earned under $75,000, you’ll receive $1,200. Couples earning less than $150,000 will get $2,400, and an additional $500 will be provided for each qualifying child. These amounts gradually decrease for higher incomes, phasing out entirely at $99,000 for individuals and $198,000 for couples. Even if you didn’t file a tax return in the previous two years, disabled veterans and Social Security beneficiaries may still qualify for relief, though some specifics are still being finalized.
Unemployment Benefits: State-Specific Applications
For those who recently filed for unemployment, relief is on the way, but you must apply. The stimulus package introduces the Pandemic Unemployment Assistance program, which extends benefits to individuals unable to work due to COVID-19—whether they are quarantined, furloughed, or self-employed. This program provides an additional $600 per week for four months, along with half of the average state unemployment benefit.
To access these funds, you’ll need to file for state unemployment, as eligibility varies by state. Some states may even waive the typical one-week waiting period, easing the process for you.
Paid Sick Leave: Inform Your Employer
For the first time in U.S. history, federal law mandates paid sick leave. This means that qualified employees can receive up to two weeks of paid sick leave if they are ill, quarantined, or caring for someone with COVID-19. Additionally, if you’re home caring for children due to school closures, you may qualify for up to 12 weeks of paid leave.
Eligible workers can earn their full pay, capped at $511 per day for their own illness, or two-thirds of their pay, up to $200 per day, for caregiving. Most employees in small to midsized companies, nonprofits, and government positions who have been employed for at least 30 days are eligible.
Make sure to check out the Department of Labor’s guidelines for more information on how to navigate the paid leave process.
Student Loans: Contact Your Loan Servicer
For those with federal student loans, a payment waiver is available for at least 60 days, during which interest won’t accrue, and your credit score won’t be affected. However, this waiver isn’t automatic—you’ll need to reach out to your loan servicer to ensure your loan qualifies. Private loans may not be covered under this relief, but some lenders are offering payment suspensions—so it’s worth making that call.
If your income has been impacted, consider exploring income-driven repayment options, which could lower your monthly payments to zero based on your current earnings.
Tax Filing: Automatic Extensions
Taxpayers now have until July 15 to file their returns without facing penalties or interest, extending the deadline by three months.
Mortgage and Rent Relief: Contact Your Provider
If you have a mortgage owned by Fannie Mae or Freddie Mac, you may be eligible for a payment suspension of up to 12 months. Borrowers with FHA loans are also protected from foreclosure during this time. Renters living in properties with federally backed mortgages cannot be evicted or charged late fees through the end of July.
Utility Providers: Reach Out for Assistance
Many utility companies have opted not to disconnect services for nonpayment, and major internet providers are suspending service terminations as well. It’s advisable to contact your provider to inquire about available relief options.
Credit Card Debt: Inquire with Your Issuer
If you’ve seen a drop in your income, check with your credit card issuer regarding potential relief options. They might allow you to defer payments or change due dates without incurring additional interest.
SNAP and WIC Benefits
The relief package allocates an extra $15 billion to the SNAP program, anticipating a rise in applicants. It also waives work requirements for eligibility. Meanwhile, the WIC nutrition program has received additional funding and allows remote certification for applicants.
Looking for More Help?
As the pandemic continues, the government is considering additional stimulus measures to provide further support, including funding for food security and worker protections. While the specifics are still being discussed, it’s clear that assistance is available during these challenging times.
Navigating the available resources can feel overwhelming, but remember: help is out there for families in need. If you’re interested in fertility guidance, check out more on our blog for relevant information.
In summary, the COVID-19 pandemic has resulted in significant financial hardship for many families, but various forms of government assistance are available to ease the burden. From direct payments and unemployment benefits to paid sick leave and relief for student loans, exploring your options is essential.
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