Overview of this blog post
- Summary of the coronavirus economic stimulus for individuals and families.
- Some key financial statistics of the average American family before the coronavirus pandemic.
- Comparing the economic stimulus for individuals and families to the average cost of monthly rents across the United States.
Summary of the Coronavirus Economic Stimulus for Individuals and Families
The United States government is going to be sending you a check (via a deposit to your bank account on record with the IRS or an actual check if there is no record on file with the IRS) soon to counter the coronavirus-induced economic meltdown, the Trump administration and Congressional leaders worked out a massive economic stimulus plan that will flood the U.S. economy with cash and provide relief for Americans who are taking a financial hit. Part of the plan is to send almost everyone direct payments from the government’s coffers.
You will receive just one payment from the U.S. government.
You may have heard that stimulus checks will be for $1,200. That’s just the base amount. An additional amount of $500 will be paid foe each qualifying child. Since your actual check could actually be much higher or lower, use this stimulus check calculator to determine the amount of your check.
Some Key Financial Statistics of the Average American Family Before the Coronavirus Pandemic
- Four in 10 adults in America can’t cover a $400 emergency unless they were to sell some of their possessions or go into debt.
- A study conducted by Pew Charitable Trusts found 6 in 10 American families had experienced a financial emergency in the prior 12 months. The median cost of these emergencies was $2,000 — five times the cost of the $400 emergency that more than half of us can’t cover.
- Nearly 40 million working-age households (45%) do not have any retirement savings.
- The average household with retirement savings has $60,000 saved.
- 47% plan to rely on Social Security as their primary retirement income.
- The average Social Security benefit for retired workers is $1,461/month.
Comparing the Economic Stimulus for Individuals and Families to the Average Cost of Monthly Rents Across the United States
Format: State (15 largest) / Average Monthly Rent for 1 Bedroom / Average Monthly Rent for 2 Bedrooms
- National Average / $965 / $1,197
- California / $1,457 / $1,858
- Texas / $861 / $1,070
- Florida / $986 / $1,229
- New York / 1,296 / Pennsylvania / $830 / $1,027
- Illinois / $914 / $1,097
- Ohio / $667 / $857
- Georgia / $883 / $1,042
- North Carolina / $774 / $930
- Michigan / $725 / $927
- New Jersey / $1,263 / $1,550
- Virginia / $1,071 / $1,264
- Washington / $1,182 / $1,481
- Arizona / $874 / $1,105
- Massachusetts / $965 / $1,197
The amount of money Americans will receive due to the COVID-16 coronavirus pandemic will cover the rent, in most cases, for a one bedroom apartment for one month for a single person. If you are married, the base stimulus benefit of $2,400 (combined for both adults) will pay for a 2-bedroom apartment for two months based on national averages.
While housing is the largest expense for most families, all the other household expenses typically exceed the cost of housing. Fortunately, those who have been laid off, furloughed, or lost there job entirely, will be eligible for enhanced unemployment benefits from the state.
But the real issue of the moment is when will you actually receive your stimulus check and how soon will you start receiving your unemployment benefits so you can start paying your bills and put food on the table?
The electronic deposits to bank accounts have already started for the economic stimulus. If you are waiting for an actual check, you may have to wait for up to 5 months.
Regarding your enhanced unemployment benefits, you should start receiving your benefits once you have filed, your unemployment is confirmed and your application is approved. The states are under extreme pressure to process your unemployment claim and make payments quickly.
As the COVID-19 coronavirus pandemic has shown us, emergencies come without notice or time to prepare. This is why everyone needs to have an Emergency Fund of at least 3 month’s of bring-home income. There’s no time like the present to get started. You’ll never get started if you wait until it’s convenient. Start as soon as you can and remember that “a little bit often adds up to a lot” over time.
“Any fact facing us is not as important as our attitude toward it, for that determines our success or failure. The way you think about a fact may defeat you before you ever do anything about it. You are overcome by the fact because you think you are.”
― Norman Vincent Peale
Life Under Change
Quotes that inspire, motivate and challenge us.