President Joe Biden just signed that huge $1.9T stimulus package, and politicians and lawmakers have been dissecting it ever since. It’s a gigantic piece of legislation so there’s lots to discover.
Both parties have problems with the bill, though Republicans seem to dislike it more. Many claim it has very little to do with pandemic relief, and also sends too much of our money overseas.
There might be an even bigger issue, though.
When the epidemic was at its peak, the government passed down individual relief checks as well as additional unemployment assistance.
However, critics say they went too far, citing examples of many people actually receiving more money for sitting home. And that situation continued for many months.
Now, it appears the latest stimulus package is once again giving certain citizens incentive to NOT work.
In this case, it involves parents with three or more children — if they play their cards right, they’re in line for a serious chunk of change.
This according to an analysis by Breitbart:
The combination of child tax credits, enhanced unemployment benefits, and stimulus payments in the newly signed Covid relief bill could create a powerful disincentive for working.
Just how much? A bit of back-of-the-envelope math suggests that a family with two parents who are not working and three minor children could make the equivalent income of more than $92,000.
That almost doesn’t seem possible. But the numbers are difficult to ignore:
The bill offers a $300/week bonus on top of the regular state benefits to start. Breitbart uses the example of the average New Jersey unemployment payout of $419 per week.
That means you’d now be getting $719 each week for each parent, or $1,438 per household — that translates to a significant annual income of $74,776.
On top of which, the first $10,000 in benefits can’t be taxed, so it actually comes out to more than that.
Then you’ve got the 3 children: each nets the household $3,600 in refundable tax credits, which would boost the overall earning to $85, 576. Then the stimulus checks pushes the total over $92k.
This could all happen without either parent holding a job.
Now, it’s important to note that these benefits aren’t permanent; as it stands, they won’t last the full year. However, don’t forget that Congress has often extended the time the jobless can collect.
You’d think they’d want to incentivize working. Given the situation, you’d want people to return to work as quickly as possible, wouldn’t you? Isn’t that the best way to stimulate the economy?
Sitting at home does nothing but drain our resources even further.
Apparently, though, Democrats don’t agree, and maintain that such assistance is necessary to keep families afloat.
- The $1.9T relief bill evidently includes more incentive for parents not to work.
- It’s possible that unemployed parents with 3 children can bring in over $92K in a year, just by taking all the benefits.
- The benefits aren’t permanent, of course. But the government has repeatedly extended the timeline for these relief payments in the past.