Do you have a child? If so, you may be getting an extra $250-$300 per kid deposited into your bank account each month starting in July!
You can thank our beneficent government that is definitely not implementing universal basic income through this measure.
Here's Joe Biden with more on this fun plan:
I can't believe Biden actually invoked the ghost of Ronald Reagan by saying "help is here!"
Through this very economically sound plan, the government will give 88% of American families a "tax credit" of up to $3,600 per child under age 6 and up to $3,000 per child between ages 6 and 17. Families can receive half of this credit in advance – that is, before filing taxes each year.
The money will automatically be deposited by the IRS on a monthly basis, so don't worry about a thing, dear comrade!
Those who qualify include individual parents that make under $75,000 a year and parents filing jointly that make less than $150,000.
Here's the U.S Treasury's press release in full:
WASHINGTON – The U.S. Department of the Treasury and the Internal Revenue Service announced today that the first monthly payment of the expanded and newly-advanceable Child Tax Credit (CTC) from the American Rescue Plan will be made on July 15. Roughly 39 million households — covering 88 percent of children in the United States — are slated to begin receiving monthly payments without any further action required.
Treasury and the IRS also announced the increased CTC payments, will be made on the 15th of each month, unless the 15th falls on a weekend or holiday, allowing families who receive the credit by direct deposit to plan their budgets around receipt of the benefit. Eligible families will receive a payment of up to $300 per month for each child under age 6 and up to $250 per month for each child age 6 and above.
The American Rescue Plan increased the maximum Child Tax Credit in 2021 to $3,600 for children under the age of 6 and to $3,000 per child for children between ages 6 and 17. The American Rescue Plan is projected to lift more than five million children out of poverty this year, cutting child poverty by more than half.
Households covering more than 65 million children will receive the monthly CTC payments through direct deposit, paper check, or debit cards, and Treasury and the IRS are committed to maximizing the use of direct deposit to ensure fast and secure delivery. While most taxpayers will not be required to take any action to receive their payments, Treasury and the IRS will continue outreach efforts with partner organizations over the coming months to make more families aware of their eligibility.
Today's announcement represents the latest collaboration between the Bureau of the Fiscal Service and the IRS — and between Treasury and the White House American Rescue Plan Implementation Team — to ensure help quickly reaches Americans in need as they recover from the COVID-19 pandemic. Since March 12, the IRS has also distributed approximately 165 million Economic Impact Payments with a value of approximately $388 billion as a part of the American Rescue Plan.
The U.S. Treasury says this will "lift more than five million children out of poverty."
Yes, the department in charge of all national finance is telling us that you can spend your way out of poverty.
A few thoughts:
- Job performance in April was dismal, falling ridiculously short of the 1 million new positions expected.
- Businesses are desperate for help, but people aren't getting back to work.
- You can earn more right now sitting home playing your Xbox than you can working if you make less than $34k a year.
- The cost of goods and inflation is starting to tick upward.
- Every time you artificially lift people out of poverty, the market adjusts.
- There is a difference between "advanced payments" from the government and the previous $2,000 tax credit per child, where you basically didn't have to pay or received back money that you'd already earned.
- People may feel like they have more money in the short term, but the poorest individuals will be far worse off when the value of currency shifts and they get left behind.
- The only way to pay for all this (estimated to be $100 BILLION a year) is increased taxes that will further kill jobs.
The best way to get the economy back on track is to end government involvement and make it easier for small businesses to rehire individuals at competitive wages by lifting their tax burdens.
Instead, over here in crazy town we're doing the exact opposite.
Just to be clear: I've got three kids and I'm not Scrooge McDuck, so I say all of this as someone who will benefit – at least initially – from this madness.
What our government is doing right now is going to go down as the most ignorant, foolish spending spree in all of human history. What a fiscally insane time to be alive.
Venezuelan bread lines, here we come!
Thanks to subscriber @austinh for the tip on this story!