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We just heard some pretty noteworthy comments from Senate Majority Leader Mitch McConnell regarding a second round of stimulus checks.
Mitch McConnell announced today that the GOP supports the second wave of stimulus checks.
“We want another round of direct payments, direct payments to help American families keep driving our national comeback,” McConnell said.
This is significant language because most of the comments that we have heard from McConnell and from other Republicans have stated things like, we are “considering more stimulus checks” or “more checks are being discussed.”
But now, it is clear that the GOP actually wants to send out an additional round of direct payments. That is a pretty big breakthrough.
So given the GOP support and the ongoing support from the White House, I think it is safe to assume at this point that more stimulus checks will definitely happen.
There still is the large looming question regarding eligibility, though.
A potential proposal of a $40,000 income cut off for the second wave of stimulus checks was brought up a few weeks ago and started to gain traction, especially within Republican circles.
Shortly after that, we heard that it was not likely that a $40,000 a year income would be implemented. That came from an anonymous insider.
But it looks like senators like Mitch McConnell are still very much focused on providing a very tailored approach which I think could affect the eligibility of check recipients.
“The legislation I have begun to sketch out is neither another CARES Act to float the entire economy nor a typical stimulus bill for a nation that’s ready to get back to normal,” McConnell said on Tuesday.
Those comments make a pretty clear that this package is currently being drafted to be much less substantial than the packages we have seen before. To me, it absolutely suggests that fewer individuals would be eligible for the next round of checks or that the checks would be a smaller amount (or potentially both).
But remember that is just the package that is being proposed by Republicans and that will inevitably be met with some level of resistance from Democrats who would prefer a more comprehensive package, likely with much bigger payouts.
So overall, it’s great to see the support of the GOP now being explicitly stated. However, there are words from McConnell that still suggest a potential heavily targeted approach when it comes to more checks.
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Daniel Gillaspia is the Founder of UponArriving.com and creator of the credit card app, WalletFlo. He is a former attorney turned full-time credit card rewards/travel expert and has earned and redeemed millions of miles to travel the globe. Since 2014, his content has been featured in major publications such as National Geographic, Smithsonian Magazine, Forbes, CNBC, US News, and Business Insider. Find his full bio here.