According to a memo recently received by the Associated Press, the federal government is set to begin sending out payments under the stimulus law in mid-April, but many Americans won't see this money in their accounts until much later. The Ways and Means Committee has said that the IRS will start making these payments to approximately 60 million Americans through direct deposit around the week of April 13, but individuals for whom the IRS cannot determine their direct deposit information from their 2018 or 2019 tax returns may not see their checks until at least mid-August.
The stimulus plan, which was signed into law by President Trump on March 27 in order to help ease the financial burden placed on Americans during the coronavirus pandemic, seeks to put a one-time payment directly into the hands of Americans. Under the $2.2 trillion rescue package, anyone making below $75,000 with a social security number will receive $1,200, with an additional $500 per child. Americans making more than this amount will see their payment decrease.
Despite the fact that Treasury Secretary Steve Mnuchin believes that "this money does people no good if it shows up in four months," a prolonged timeline may be exactly what's in store for millions of Americans. The IRS will begin sending out paper checks to individuals around the week of May 4. These will be issued at a rate of 5 million checks per week, extending the timeline for all eligible recipients to receive their checks to 20 weeks, or until August 17.
In the memo, the committee states that they remain "focused on ensuring all eligible Americans receive their payment as quickly as possible," and that they continue to have "extensive conversations with the IRS and the Department of Treasury." Americans should be aware that this timeline is subject to change and that further supplemental aid packages may be discussed in the upcoming months. To address questions of eligibility and access, the IRS intends to create a portal at the end of the month, where taxpayers can check the status of their stimulus payment and update their direct deposit information.