Although millions of people are still receiving their third stimulus check to cope with the economic crisis caused by the coronavirus, many of them wonder if they will have a fourth financial support in the future. What are the 3 reasons why there might not be another EIP?
A fourth and even a fifth stimulus check is being requested by some members of Congress to keep 12 million more Americans out of poverty. What are the 3 reasons why there might not be a fourth stimulus check?
Millions of people have already received their third stimulus check, and while the economy is already showing some signs of recovery, there are still people who would need a fourth financial support.
However, there are several reasons why this is unlikely to happen, and here are three of them.
1. Some don't need the checks
The first round of stimulus checks issued was approved by both parties in Congress. However, some legislators complained that there were many well-off people who did not need the payment but still received it.
This is because stimulus checks for the full amount were sent to individual taxpayers who earned up to $ 75,000 per year and jointly filing taxpayers who earned up to $ 150,000 per year.
While it is logical to assume that a couple making $ 150,000 could survive without receiving a stimulus check, there are people who lost their wages or income between the time they filed their 2019 taxes and when, due to COVID-19, businesses closed.
In other words, there were people who made a lot of money in 2019, but who, having lost their job in 2020, needed the stimulus payment.
Since it is very difficult to differentiate the people who do not need the check from those who do, there are legislators who could argue that there will be many people who will receive the money even when they do not need it.
2. Vaccination benefits
So far, 4 in 10 adults were fully vaccinated (43.7%), as reported in The Ascent, and as more people receive their first or second injection, the economy will continue to recover.
No one really knows what the economy will look like in a post-pandemic world, but if all goes well, any legislator who is against a fourth round of direct stimulus checks can say that the recovering economy is proof that it is not. it is required to give more money to citizens.
3. Political struggle
Politicians belonging to one party are unlikely to work to make their opponents look good. In other words, GOP lawmakers probably won't want to endorse a fourth stimulus check (unless it's on their own terms), as that could increase Democratic President Joe Biden's popularity.