Treasury Secretary Steven Mnuchin revealed that a payroll tax cut will not be included in the Republican’s HEALS Act for the second stimulus check.
What This Means
A payroll tax cut is essentially the money taken out of paychecks to fund federal programs. Programs that the money helps fund include Medicare, Social Security, etc. CNN reported that workers on average pay 7.65% of their paychecks to this.
“Not in this, but we’re going to come back again. There may be a CARES 5.0,” Mnuchin revealed to CNN, regarding the payroll tax cut. Mnuchin told the outlet that the President’s priority and the current goal is to “get money into Americans quickly and one of the problems with the payroll tax cut is it takes time.”
Mnuchin confirmed to ABC News This Week: Sunday Morning that he and White House Chief of Staff Mark Meadows will be negotiating every day until they reach an agreement. “We understand there’s a need to compromise,” he told the outlet. “But, on the other hand, there’s also a big need to get kids into schools, get people back to jobs and keep the economy open and keep people safe.”
House Speaker Nancy Pelosi said that the Democrats would support a $600 check. “They’re in disarray on many of their members in the Senate; Republican members don’t want any addition,” she said. “And we’re saying three things — support our state and local heroes, strategic big plan to end the virus, and third put money in the pockets of America’s working families and we do that. And we have other issues that relate to food that are contentious.”
How Much Could You Get?
Mnuchin confirmed that residents could get up to $1,200 in the second and final stimulus check. Unfortunately, not all people are eligible for the entire sum let alone a check.
The first stimulus check did not include dependents age 17 or older, this time it’s different. In addition, the Republican’s plan would pay $500 for each dependent up to 24-years-old that are college students.
Furthermore, CNET reported that households could qualify up to $6,000. Which means up to five family members could receive full checks.
Finally, those who are not United States citizens who pay taxes and file tax returns can use an individual taxpayer identification number.