The biggest stimulus bill of all time was passed last week and there is a lot in there. I’m going to go through some of the key provisions that impact personal & business finance today, but I’m not going into anything medical since that is solidly outside of my area of expertise. Believe me, you do not want me to be your doctor. I used to think I wanted to go into medicine (as in for a whole minute my sophomore year of high school), but then I cut my finger while removing brownies from a pan and fainted hard on the kitchen floor. I still have the scar, but I digress...
DIRECT PAYMENTS
Most Americans (anyone who makes less than $75,000/year) will receive $1,200 in direct payments. This is a one-time thing (at least for now) and we’re not exactly sure when the payments will be made. If you’ve done direct deposits with the IRS in the past they’ll use that same info to send you the money. Note: if you haven’t been filing taxes you may have a tough time getting this payment! Make sure to file your 2019 taxes ASAP (and let me know if you need CPA recommendations!).
UNEMPLOYMENT
Unemployment benefits now include freelancers, gig workers and furloughed employees. This is a huge win for a lot of the Verdi community and I’m really excited about it! They are also extending the time frame so that you can stay on unemployment for longer. I’m keeping an eye out as this area of the law could be expanded or added onto depending on how long “safer at home” lasts.
SMALL BUSINESS LOANS
If you own a small business and can pledge to not lay off your employees you may qualify for a forgivable business loan! I’m digging into more of the details on this and will share those via instagram.
BAILOUTS
The Federal Reserve is controlling a $425 billion fund for loans for distressed companies. There is also a separate $75 billion pot for specific industries (i.e. hotels, airlines). There is a lot more oversight in this law (disclosure of recipients, oversight board, no stock buybacks allowed, no companies owned by senior government officials qualify) than in the 2008 Wall Street bailout, but I expect there may not be enough. Similarly with the small business loans, I am still unpacking a lot of this information and will keep sharing via insta.
XOXO
