On March 11, 2021, President Biden signed into law the American Rescue Plan, which enacts almost $1.9 trillion in pandemic relief and financial support in response to the ongoing public health and economic emergency caused by COVID-19.
The American Rescue Plan contains important financial measures to help improve the lives of people in the United States, including those who work independently and offer care through platforms like Rover. Among other measures, the relief package will provide another round of direct payments to individuals and an extension of unemployment benefits.
While we can’t offer legal or financial advice, we’d like to offer some general information and links to resources that may help you and your business:
Direct Payments | Many adults will receive a direct stimulus payment of $1,400, along with an identical payment for each of their children. Eligibility and the exact amount of payment will vary based on income and other factors. You must have a Social Security number to be eligible.
In general, most eligible individuals with an adjusted gross income of $75,000 or less will qualify for the full $1,400 payment. For taxpayers who file as head of household, your adjusted gross income must be $112,500 or less, and for married couples filing jointly your income must be $150,000 or less.
Income and eligibility are based on your most recent year of tax returns filed with the IRS. This should be either your 2020 tax return or your 2019 tax return, depending on whether you’ve already filed your taxes this year.
The payments will begin phasing out for individuals with higher incomes. The checks will be cut off for individuals with income of $80,000, heads of households with income of $120,000, and joint filers with income of $160,000. The payments for children also decrease in the same way.
You can learn more about upcoming or previous direct payments from the IRS.
Unemployment Assistance | The American Rescue Plan will once again extend the number of weeks that workers may claim unemployment benefits through state and federal programs and will include a weekly federal unemployment subsidy for some workers. It will also continue expanded eligibility for unemployment benefits to some self-employed individuals. If you’re currently receiving unemployment benefits, the American Rescue Plan will generally extend payments until September 6, 2021.
Learn more about unemployment benefit processes where you live.
For more information about the American Rescue Plan and how it might help you and your family, you can visit the White House website.
