Want to know about College Students Stimulus Check? Here we go. Thanks to relief packages like stimulus checks that the government provides to those in need in difficult times, including college students. If you are one of those students who lost their jobs during a recession or COVID-19 pandemic, the stimulus package can help you stable your financial condition while you are still in college.
As a college student, you must be wondering what a stimulus check is and how to get one. Don’t worry! In this article, you will get answers to your questions regarding college students getting stimulus checks.
Let’s get started.
What is A Stimulus Check?
A stimulus check is a payment made by the US government to individuals to stimulate the economy during times of economic distress. The payment is intended to provide financial relief to households that have been impacted by a crisis such as the COVID-19 recession and inflation. The payments are usually issued in the form of a check or direct deposit.
The American Rescue Plan, a $1.9 trillion relief package, was signed into law by the US President on March 11, 2021. The package offers direct payments to individuals and families, extensions to unemployment benefits, financial aid for colleges and universities, and tax relief for low-income households.
The first round of stimulus payments was for $1,200 checks, with $500 for each eligible dependent under 16 years of age, with a limit of three dependents. The President recently announced that the national and public health emergency declaration would be extended one more time until May 11, 2023, but would terminate after that.
Do College Students Get Stimulus Checks?
Yes, college students can get a stimulus check if they qualify for the specific eligibility criteria.
However, most college students can’t get a stimulus check as they are dependents on their parent’s tax returns. Additionally, college students who are not claimed as dependents but are still listed as students on their tax returns may not meet the income threshold for eligibility.
To be eligible for a stimulus check, an individual must have a valid SSN (Social Security number), must not be claimed as a dependent on someone else’s tax return, and must have a certain level of income.
For the first round of stimulus checks, individuals earning less than $75,000 per year or couples earning less than $150,000 per year were eligible for the full payment of $1,400. However, the income limits and eligibility criteria may change with each stimulus package.
If you are an eligible college student, you will receive your stimulus check through direct deposit. However, if you don’t provide your bank information to the IRS (Internal Revenue Service), you may receive a paper check or debit card in the mail.
Different Types of Stimulus Checks
There are different types of stimulus checks that the government may use to stimulate the economy.
1. Monetary Stimulus:
The first is Monetary stimulus which involves central banks increasing the money supply to encourage economic activity. This is done by lowering interest rates, buying government securities, or increasing the money supply directly.
2. Fiscal Stimulus:
Fiscal stimulus involves government spending or tax cuts. This includes infrastructure projects, unemployment benefits, or tax rebates. In Fiscal Stimulus, the government provides cash to companies and individuals that are going through economic distress in the form of loans, subsidies, or tax incentives.
3. Quantitative Easing:
This is a monetary policy in which central banks reduce long-term interest rates. They also boost the economy by purchasing a range of financial assets, such as stocks, corporate & government bonds.
The most recent stimulus checks were part of the American Rescue Plan. These checks provided $1,400 in direct payments to eligible individuals, with additional payments for dependents.
Eligibility Criteria for Students to Get Stimulus Check
To be eligible for a stimulus check, college students must meet the following criteria:
- Have a valid SSN (Social Security number)
- Be a US citizen, permanent resident, or qualifying resident alien
- Not be claimed as a dependent on someone else’s tax return
- Have a certain level of income, as determined by the eligibility criteria for the specific stimulus package
It’s important to note that the eligibility criteria may change with each stimulus package, so it’s important to check the specific requirements for each payment.
How can College Students get Stimulus Checks?
College students can ensure they receive their stimulus checks by:
- Filing their tax returns for the current year, if eligible.
- Ensuring their bank information is up to date on the IRS website.
- Using the “Get My Payment” tool on the IRS website to check the status of their payment.
College students who have not filled out taxes can also receive stimulus checks if they meet eligibility criteria. They can provide their information to the IRS using the non-filers tool on the IRS website. Alternatively, they can file a tax return for the current year and claim the recovery rebate credit.
How Much Amount Can Students Receive in a Stimulus Check?
The amount of money that college students can receive in a stimulus check depends on their individual circumstances and the eligibility criteria for the specific stimulus package. For the 2021 stimulus checks, eligible individuals received a payment of $1,400, with additional payments for dependents.
However, college students who are claimed as dependents on their parent’s tax returns are not eligible for stimulus checks.
How Can Students Use Stimulus Checks?
Here are some ways that students can use their stimulus checks:
- Paying bills, such as rent, utilities, or phone bills.
- Buying groceries or other essentials, such as toiletries or school supplies.
- Saving for the future, such as creating an emergency fund or investing in a retirement account.
- Investing in their education, such as paying for textbooks or tuition fees.
- Supporting their mental or physical health, such as paying for therapy sessions or gym memberships.
- Investing in personal or professional development, such as taking online courses or buying books related to their field of study.
- Treating themselves to something that they enjoy, such as a new hobby or a small purchase that brings them joy.
Conclusion: College Students Stimulus Check
Stimulus checks have been an important tool for governments to provide financial relief to individuals and families during times of economic hardship.
College students may be eligible for different types of stimulus checks, depending on their employment status and financial situation.
While the eligibility requirements and payment amounts may vary, stimulus checks can provide much-needed support for students as they navigate the challenges of higher education.
By understanding the different types of stimulus checks and their eligibility criteria, students can take advantage of this financial relief and make informed decisions about how to use their stimulus funds.