If you live in California you might have a stimulus check heading your way. A decades-old law means the Golden State is paying out more to residents.
For the last several weeks, residents have had checks from $600-$1100 coming to their mailboxes. Those have gone out to two-thirds of Californians. As part of the state’s Golden State Stimulus II, the government is sending out these checks. Governor Gavin Newsom signed the state’s budget in July which included these payments.
One part of the plan includes $12 billion in COVID relief that will go out to 15.2 million households. That makes up two-thirds of the tax-paying base. While these payments are expected to end with the 2021 year, 2022 could mean more of the same. The law is expected to be signed again meaning more relief.
Thanks to a little law called the “Gann limit” Californians are going to get a tax break. Basically, if the state goes over a certain level of spending, the government would pay the citizens a rebate to give back. With a potential of a $31 billion surplus for next year, it will be hard for Newsom to not pass the Gann limit.
Newsom said, “I’m very proud of the historic tax rebate,” last month. He went on to say, “And I look forward to making the decision that I think is in the best interests of 40 million Californians.”
For those still struggling to get back on their feet, these checks and rebates are allowing them to have some breathing room. There are checks on the way as we speak.
800,000 Stimulus Checks Coming to Californians
Right now, California is still in the midst of sending out stimulus checks. The Golden State Stimulus II payments have started to go out to households this week. There will be 800,000+ checks sent out in total. Those that qualify for the check are likely to get the money as a refund option on their tax return.
Depending on the makeup of a household, folks can expect to get between $600-$1100. As usual, this check is coming in the form of physical checks and direct deposits. Those that qualify for the checks include people who have filed their 2020 taxes by October 15, 2021. They must have an Adjusted Gross Income of $75,000 or less for the 2020 year. Have wages of $75,000 or less. Of course, you must be a resident of the state as well.
Stimulus checks are being distributed by ZIP code. With over half a billion dollars in checks mailed out in the next two weeks, there will be a lot of households receiving the checks in the coming days. If they are also getting a rebate for next year, that could take a lot of pressure off of families for the holidays and the new year.