U.S. Treasury Proposes Sending $500 Billion to Americans as Soon as April
A Congressionally approved coronavirus stimulus package could result in a check in your mailbox.
It's looking increasingly likely that American households will be receiving stimulus checks in the next few weeks from the U.S. Treasury. The Associated Press is reporting that the U.S. Treasury is planning to deliver $500 billion in checks to millions of Americans, with the first round coming as early as Apr. 6.
This money is very likely part of a $1 trillion stimulus package that Congress is proposing to help limit the immediate economic crisis caused by the coronavirus pandemic.
President Donald Trump and Treasury Secretary Steve Mnuchin have worked closely with Speaker Nancy Pelosi on a House-approved bill that is now with the U.S. Senate. Earlier on Wednesday morning, Senate Majority Leader Mitch McConnell promised to pass this bill as quickly as possible.
Concrete details of the stimulus have yet to emerge. Significant questions remain as to who will be the recipients of the congressionally approved funds, though experts believe that it will mostly be limited to households or adults.
So what do these numbers mean in terms of the total amount Americans could potentially expect? If the $500 billion is divided per adult, the total amount would be roughly $2,380 per person. If it's divvied up by household, however, the amount comes in at around $3,907 per household.
The conventional thinking, at the moment at least, suggests that the checks will come in phases with an initial check of about $1,000, presuming the stimulus bill gets passed and signed by the president.
Why is the government looking to cut checks for U.S. citizens? With social distancing and self-quarantining, people are not spending money at bars, restaurants, hotels, and on travel. As a result, we are starting to see massive layoffs of hourly wage earners at businesses that are closed down in an effort to limit the spread and contain the effects of the coronavirus pandemic. Simply put, the coronavirus has had a disastrous effect on the global economy, and no one has been hit harder than the most vulnerable among us.