How the second round of stimulus payments can benefit you

The second round of stimulus payments will soon be in the hands of millions of Americans. Read on to learn what you’ll need to do to get your money, how much you can expect to receive, and where you can find additional resources that may be helpful.

Most tax-paying individuals can expect stimulus relief aid

Many individuals who filed a federal income tax return in 2019 -- or those who collect Social Security benefits -- can expect to receive a stimulus check. The money will be either directly deposited into the bank account used for your previous tax refunds or your Social Security benefits, or mailed to your residence on file with the IRS.

For individuals who may not yet pay taxes or receive Social Security benefits, the IRS has created a page on their website to ensure they have the information needed to send you your money. This is the only site approved by the IRS, and the only way they will attempt to collect your information. Visit https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here to create your account with the IRS.

When can I expect my deposit?

Most people will receive their payments in early January with the majority of direct deposits occurring on Jan. 4, 2021. In fact, you may see direct deposit payments as pending before the official payment date on Jan. 4. Checks and debit cards will be mailed throughout the month of January.

How much money can you expect to receive?

• Individuals making less than $75,000 annually should receive $600 per adult, and an additional $600 per child you claim as a dependent.
• If you’re a joint filer making less than $150,000 in combined income, you can expect a payment of $600 per adult, and an additional $600 per child you claim as a dependent.
• For individuals with income above those amounts, the payment amount is reduced.

What do you need to do to receive the stimulus aid?

You won’t need to do anything to get this check — after all, you have enough to focus on right now! For most people eligible to receive the stimulus money, the funds will be deposited directly into your account. Some may receive a check or debit card in the mail, if you do not have a bank account linked to the IRS for taxes or Social Security. Please note that the government will never call you to ask for your account numbers or any other private information. There have been multiple scams brewing in the light of this stimulus package news, so please stay alert and cautious to protect yourself and your finances. It’s probably a good idea to talk about these scams with your parents or grandparents the next time you call or video chat with them. The elderly are often the most vulnerable to these fraudsters.

Read the latest updates on how you can ensure you receive your stimulus payment.

If you receive a paper check, how can you deposit it?

Paper checks will be mailed throughout the month of January. During this pandemic, the safest way to deposit your check is by using the remote deposit feature on your credit union or bank’s online or mobile application. You can also use deposit-taking ATMs at your financial institution to securely deposit the check.

Pro tip: Make sure to endorse the check with “For mobile deposit only at financial institution name” directly under your signature to ensure a seamless experience.

For those who receive a check made out to you and a joint filer, make sure to endorse the check with both of your names, and deposit it into an account you hold jointly. Checks from the government written to two parties can’t be deposited into a single owner’s account.

If you need further emergency assistance, please reach out to your financial institution or loan servicers. The Alliant Money Mentor will continue to share updates on any additional programs offered to consumers during this difficult time.  

Claire Hegstrom is an advocate of the credit union movement through and through. Passionate about financial education, she approaches money conversations from a candid and inclusive space focused on growth and awareness. As our credit union founding father, Ed Filene, once said, “Progress is the constant replacing of the best there is with something still better.” Claire hopes reading Money Mentor will help transform your life from the best to even better.

Katie Levene is a marketer fascinated with finance. Whether the topic is about the psychology of money, investment strategies or simply how to spend better, Katie enjoys diving in and sharing all the details with family, friends and Money Mentor readers. Money management needs to be simplified and Katie hopes she accomplishes that for our readers. The saying goes, "Knowledge is Power", and she hopes you feel empowered after reading Money Mentor.