An Update on the Coronavirus Relief Bill
With the $2 trillion Coronavirus Relief Bill unanimously approved by the Senate Wednesday night, we now wait for the House to take up the Bill and send it to President Trump to be signed into action. The expectation is that this will occur by Friday. As the largest fiscal stimulus package in modern American history, here’s a quick rundown of what you can anticipate coming from the Bill:
- Single-households that earn $75,000 or less a year (as per their latest tax return) will be supplied with a one-time payment of $1,200. Couples who earn $150,000 annually will receive a one-time payment of $2,400 with an additional $500 per child within that household. These benefits are capped around the $99,000 income level and tapper between $75,000 and $100,000.
- State benefits will increase to $600 per week during that same four-month window, and regular state unemployment aid will be extended for an additional 13 weeks. Unemployment benefits will also be expanded to include gig workers, self-employed contractors, and freelancers. These members of the workforce will have an approximation of their salaries remunerated on a state by state basis for the ensuing four months.
- $500 billion of corporate aid will be supervised by an inspector general alongside a congregational board to properly administer provisions and prevent instances of fraud.
- At least $350 billion will be supplied to small businesses to put toward payroll, and employers will be able to defer payment of the 6.2% Social Security payroll tax. Lost salaries will additionally be backed up by federal installments that operate like grants to allow business owners to keep their employees staffed during the economic downturn.
- Companies will be given a $50 billion tax credit to facilitate employee retention.
- Industries that have been critically impacted, namely airlines and cargo carriers will receive $25 billion and $4 billion in direct financial assistance respectively.
Whether you’re a landlord or an apartment investor, this is potentially good news, at least temporarily. The added unemployment benefits should keep your renters afloat for the next four months. We’re keeping a close eye on this Bill to see what, if any, changes happen between now and when it passes. Check back often to see how this unfolds and get expert advice from a multitude of sources.
You can read more about the Coronavirus Relief Bill here: