Hennessy/SOPA Images/LightRocket via Getty Images)
SOPA Images/LightRocket via Getty Images
Will President Donald Trump send you a second stimulus check by executive order?
Here’s what you need to know.
Trump signed executive orders today for a payroll tax cut, enhanced unemployment benefits, an eviction moratorium and student loan relief. Trump indicated all week that if Congress did not finalize a stimulus deal, he would take executive action to provide relief to the American people. One thing missing from today’s executive orders—second stimulus checks.
There is bipartisan support in Congress for a $1,200 stimulus check, and Trump supports a second round of stimulus checks too. Trump has even said second stimulus checks could be more than than $1,200. However, his executive orders do not include any checks.
Many Americans are wondering: “When will I get a second stimulus check?” Now that Trump has taken proactive steps to provide financial relief, the next question is whether he will act on stimulus checks. The answer is likely no. Trump has targeted a payroll tax, unemployment benefits, an eviction moratorium and student loan relief as his four areas of focus for an executive order. He never mentioned including stimulus checks as part of his executive order plan. Why? The reason is separation of powers. Presidents can issue executive orders, but typically measures such as stimulus checks must be passed by Congress through legislative action. Congress controls federal spending, which likely would include stimulus payments.
While Congress has stalled on a stimulus package, that doesn’t mean you won’t get a second stimulus payment. Congress largely agrees on a second round of stimulus payments, although there are four main plans for a second stimulus check. The breakdown centers around other provisions in the Heals Act, which is the $1 trillion stimulus package Republicans proposed. Democrats, led by Senate Minority Leader Chuck Schumer (D-NY) and Speaker of the House Nancy Pelosi (D-CA) want a stimulus package of at least $2 trillion, although Republicans have rejected this amount. Congress could approve stimulus payments as standalone legislation.
Before the impasse, Congress agreed in principle to $1,200 stimulus checks on the same terms as the Cares Act, the $2.2 trillion stimulus package that included the first round of checks. While Congress did not finalize the amount of dependent payments, Congress did agree in principle on waiving the age cap so that dependents of any age — including high school students, college students and adult dependents — could qualify for dependent payments. Congress can still approve a stimulus package, including with stimulus payments. However, now with Trump’s executive orders, many of the key issues appear to have been addressed. In addition to stimulus payments, Congress also would focus on state and local aid, including funds to reopen schools, as well as potential liability protection for schools and businesses.
When will my second stimulus check come?
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Zack Friedman is the bestselling author of the blockbuster book, The Lemonade Life. Apple named The Lemonade Life one of "Fall's Biggest Audiobooks" and a "Must-Listen."… Read More
Zack Friedman is the bestselling author of the blockbuster book, The Lemonade Life. Apple named The Lemonade Life one of "Fall's Biggest Audiobooks" and a "Must-Listen." Zack is the Founder & CEO of Make Lemonade, a leading online personal finance company that empowers you to live a better financial life. He is an in-demand speaker and has inspired millions through his powerful insights, including more than 135 million people who have read his advice. Previously, he was a chief financial officer, a hedge fund investor, and worked at Blackstone, Morgan Stanley, and the White House. Zack holds degrees from Harvard, Wharton, Columbia, and Johns Hopkins.Read Less