Will College Students Get a Second Stimulus Check? (Hint: It Depends!)
Lots of college students (and their parents) were fucking insane in March when they found out they weren't getting a $ 1,200 stimulus check. But now Congress has approved a second stimulus check of up to $ 600 (assuming President Trump signs the bill). But will college students get a check this time?
SEE MORE Second Stimulus Check Calculator
The short answer: it depends.
Scroll to continue with the content
Microsoft and Redis
Take part in an exclusive one-day kick-off event.
Register for the event and see what you can do with Azure Cache for Redis.
[Stay up to date on all the new developments in the Stimulus Bill space - sign up for the Kiplinger Today e-newsletter. It's free!]
Dependent college students will not receive a second stimulus check
For both the first round of payments approved by the CARES Act in March and the second round of economic reviews recently approved by Congress in the COVID-related Tax Relief Act, anyone who could be claimed to be dependent on someone else's 2019 tax return will count (regardless) whether they are actually claimed as dependent) is not entitled to cash.
SEE MORE, how your second stimulus check differs from the first
Unfortunately, that hits most college students hard. College students who were 23 years old or younger at the end of 2019 and who have not paid at least half of their own expenses that year may be eligible for 2019 tax filing from their parents. So these students are out of luck when it comes to stimulus checks.
Independent and senior college students can receive incentive money
But what about self-supporting students? In general, if a student paid at least 50% of their own living expenses in 2019, they will not be eligible as dependent on their parents' 2019 tax return. Likewise, college students who were 24 years of age or older in the past year cannot normally be claimed as dependent on their parents' most recent return. Despite what you've heard about college students in general who are not eligible for a second stimulus check, self-sustaining and senior students can receive stimulus money.
Under the COVID-related tax break act, these college students are eligible for a second stimulus check of up to $ 600 (a total of $ 1,200 for married couples). If they have dependent children, they can receive an additional $ 600 for each qualified child. You can buy a lot of textbooks with that kind of money!
SEE MORE 6 Money Smart Ways to Spend Your Second Stimulus Check
However, the second stimulus checks will expire for people with higher incomes. Hence, for wealthier Americans, the above amounts may be lower - or even reduced to zero. Payments will gradually be reduced to zero if for individuals with 2019 gross adjusted income over $ 75,000. Married couples filing a return together will find that their second stimulus check shrinks when their AGI exceeds $ 150,000. (Use our second Stimulus Check Calculator to see if your payment is being reduced.)
How Eligible College Students Get Their Money
The IRS must send all second stimulus checks (or direct deposit payments) by Jan 15, 2021 under the COVID-related Tax Relief Act. The tax authority will review your 2019 income tax return to get the information they need to calculate and process your payment.
SEE MORE Who does not get a second stimulus check (not everyone is eligible!)
The problem is that many self-supporting and senior students fail to file a tax return because their income is not high enough to claim one. (There was no requirement to file filing for 2019 tax returns, single persons with income less than $ 12,200 and married couples with income less than $ 24,400.) Eligible college students who did not file 2019 tax return may not receive a second stimulus check, because the IRS won you do not have the information required to write a check.
But do not worry. Even if you don't get a check now, you won't lose the money - you just have to wait a little longer for it. If the IRS doesn't send you a second stimulus check by January 15, 2021, you can claim the amount owed as a refund or reduction in tax you owe when filing a 2020 tax return. (You must submit your return by April 15, 2021 or request an extension.)
Youngest graduates could get $ 600 next year
There's also good news for college students who don't get a second stimulus check because they were claimed dependent on their parents '2019 tax return but cannot be claimed as dependent on their parents' 2020 tax return. (Recent college graduates might fall into this category.) While they don't get a second stimulus check now, they may still be eligible for an equivalent tax credit when they file their own 2020 tax return next year. Although they won't get paid in 2020, they will still benefit from the Stimulus Check program in 2021.
SEE MORE Your Second Stimulus Check: How Much? When? And other FAQs
You should check here to buy the best price guaranteed products.
Alexander Vindman, the White House staffer who sparked Trump's 1st impeachment, tells his story
No hard feelings: Jewett finishes with racer who tripped him
A Trump supporter was arrested after a church prayer group member sent texts to the FBI that showed him inside the Capitol Building on Jan. 6
U.S. Women's Soccer Goes Where It Hasn't Gone In 9 Years After Win Over Netherlands
The Best Beauty Instagrams of the Week: Sita Abellán, Zoë Kravitz, and More
The life lessons of "Three Little Engines"