Many people have been eagerly anticipating their stimulus check, and some have already received their checks. The bill passed by Congress provides economic impact payments to individuals in response to the economic issues caused by the COVID-19 pandemic. The economic impact payments will be up to $1,200 for individuals; up to $2,400 for couples; and $500 per eligible child. How do these stimulus checks work if you are disabled?
Am I Eligible?
Many Americans with disabilities are eligible for the stimulus check. For those who receive Social Security and do not usually file a tax return, the IRS has confirmed that the stimulus check will be automatically deposited to their bank accounts. Such individuals do not need to file a tax return to receive a payment.
In other cases, people who typically do not file a tax return will need to submit a simple tax return to receive their stimulus check. Families will receive up to $500 for each eligible child they claim as a dependent on their tax return. However, adults who can be claimed as a dependent may not receive a payment.
Will the Stimulus Check Affect My Eligibility for Benefits?
No, the economic impact payment is not treated as income by federal programs (or federally funded state and local programs). In addition, the money is disregarded as a resource for 12 months. This means that people with disabilities can accept these payments without putting Supplemental Security Income (SSI), Supplemental Nutrition Assistance Program (SNAP), Medicaid, and other benefits at risk.
What Should I Do With My Stimulus Check?
While many Americans will need to use their stimulus payment for urgent expenses, some people may be able to save all or a portion of the payment. For ABLE-eligible individuals, they can save this money in a tax-advantaged ABLE account. This stimulus check affords such individuals an opportunity to build an emergency fund, invest for the future, and have money available when they need it most.
Source: ABLEnow Three Things to Know About Stimulus Payments