Monday, September 26, 2022

When Does The Unemployment Stimulus Start

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What About The Other Enhanced Unemployment Benefits

Report: A fourth stimulus check might be coming

Beyond the extra $600 a week, the federal government is funding 13 additional weeks of unemployment insurance benefits via the CARES Act’s Pandemic Emergency Unemployment Compensation program for workers who have exhausted their state benefits. Workers in most states are eligible for 26 weeks of unemployment benefits. With this program, most people will get 39 weeks of unemployment insurance.

However, a handful of states do not offer that many weeks of UI, like North Carolina, which only gives 12. In these more complicated cases, workers can still get 39 weeks of unemployment benefits by taking advantage of a combination of the CARES Act’s unemployment programs. In North Carolina, the worker would get 12 from the state, 13 from the PEUC and then an additional six weeks from regular Extended Benefits, says Evermore.

That means virtually everyone who qualifies for unemployment due to the coronavirus pandemic can receive benefits for up to 39 weeks . These extended benefits will continue past July 31, ending on or before December 31, 2020. As of now, they will not extend into the new year.

If you are currently receiving benefits and cannot find a new job, you should continue to recertify each week, says Evermore.

Payment Status For Pua Peuc And $300 Fpuc Under Arp Sep 2021 Extension

State
NN

Were PUA and PEUC extended? Both PUA and PEUC programs were also extended until September 6th, 2021. Additional weeks will cover people who have exhausted their current weeks or balance. See this article on what actions you may have to take to get these UI extensions, which will then enable you to get the $300 FPUC payment.

Have Any States Started Paying Yet

Yes. Arizona this week became the first state to send out benefits, according to the Arizona Department of Economic Security. The state has issued about $201 million in benefits to about 400,000 claimants thus far, which includes the beginning of retroactive payments for the weeks ending Aug. 1 and Aug. 8.

The DES anticipates receiving funding on a week-by-week basis, and will make payments until federal funding is exhausted. The state had implemented a new system toward the beginning of the shutdown for Pandemic Unemployment Assistance, a federally funded unemployment program created by the CARES Act in the spring, DES said.

“We recognized the need in our community for this additional assistance and worked as swiftly as possible with FEMA and the Department of Labor to make the necessary system changes to our existing systems,” a DES spokesperson told USA TODAY in an email.

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When Does The Extra $400 Unemployment Benefit Start Everything To Know About Trumps Executive Order

Our mission to help you navigate the new normal is fueled by subscribers. To enjoy unlimited access to our journalism, .More than 30 million Americans were receiving the weekly $600 enhanced unemployment benefits before it expired the week ending July 25.On Saturday President Donald Trump signed a memorandum that would grant $400 enhanced weekly unemployment benefits to those out-of-work Americans if their state picked up $100 of the tab. That order by Trump announcement came after Democratic and Republican leaders were unsuccessful Friday in their negotiations for a broad stimulus bill, which would have included an extension or replacement for the $600 weekly enhanced unemployment benefit.The memorandum raises a lot of questions for jobless Americans. Here are some of the most pressing.

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Why Did Benefits End Early In So Many States

When Did The Unemployment Stimulus Start

Citing labor shortages in the spring, 26 state governors claimed pandemic-related unemployment benefits were producing limited incentives for workers to take jobs. Many economists and analysts disagreed, highlighting several factors that prevented people from finding suitable work, including low wages, lack of health care, inadequate child care and fear of contracting COVID-19.

With unemployment claims still fluctuating as the economy struggles to return to pre-pandemic “normalcy,” reports are showing that the early cancellation of the federal programs had little impact on labor markets. A recent JP Morgan Chase Institute study confirmed that states that ended supplemental unemployment insurance programs during the summer saw a limited impact on job growth.

According to an August report by the Century Foundation’s Andrew Stettner, “Politics, not economics, drove the attack on unemployment insurance.” The states that cut off the enhanced benefits before the federal expiration were mostly Republican-led.

Arkansas, Indiana and Maryland were slated to cut off benefits early, but successful lawsuits forced those states to preserve the federal coverage, at least temporarily. In issuing their rulings, judges noted that the ending of benefits made it harder for the unemployed to afford basic needs. Lawsuits were also filed against state governors elsewhere, which were either denied by judges or are still held up in the courts.

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Why $600 A Week

When you add $600 to the national average unemployment payment $371.88 a week at the end of 2019 the replacement rate goes from 38 percent to almost exactly 100 percent. In other words, that amount is what it would take for Congress to replace what the average American worker receiving unemployment would have earned.

I would never two months ago have ever thought of advocating for 100 percent income replacement, said Michele Evermore, a senior policy analyst at the National Employment Law Project. But then when the pandemic hit, it was very different. We needed a policy mechanism to do something that unemployment insurance doesnt usually do, and thats keep people home.

Unemployment benefits are typically meant to keep people afloat but stay low enough to incentivize them to find a job. Now, when seeking work may be both fruitless and dangerous, the incentives have nearly reversed.

But if the goal is to replace everyones wages, why not do it in a manner similar to how other countries are paying large percentages of worker salaries to prevent layoffs? While state unemployment systems are revealing their lack of preparedness for a crisis of this scale, the United States didnt have many options that already existed to quickly get money to the people who will need it, according to Ms. Evermore. The unemployment insurance system is the system we have, she said.

Are Some States Ending The $300 Payment Early

Yes. Several states have announced an early termination for the $300 supplementary weekly payment in order to encourage workers to return to work versus staying on unemployment benefits. You can see a list of states ending enhanced UI benefits early here. It is expected that after Independence day federally funded unemployment benefit programs and payments will be cut off in these states, several months before the current end date of available extensions.

I will continue to update the table below and this article as state unemployment agencies update their systems. It is expected most states will be making these payments, including any back payments by mid-April per DOL guidelines. Some will pay out sooner rather than later, and active claimants will get paid first.

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Will The Federal Minimum Wage Be Boosted To $15 An Hour

A $15 minimum wage provision wont be included in the package. Late last month, the Senate parliamentarian said the provision wasn’t allowed under the guardrails of budget reconciliation, a process that requires each provision in the bill to adhere to strict rules.

Senate Democrats’ attempt to reinsert the provision Friday failed when eight Democratic caucus members voted with all Senate Republicans against Vermont Sen. Bernie Sanders proposal.

The federal minimum wage is $7.25 an hour, and Congress hasn’t raised it in more than a decade.

President Donald Trump Issued An Executive Order On 8 August Which Included A $300 Enhanced Payment In Unemployment Benefits

How unemployment benefits are calculated

On 8 August, U.S. President Trump signed an executive memorandum, freeing up $44 billion from the Federal Emergency Management Agency Disaster Relief Fund to provide financial assistance to Americans who have lost wages due to the Coronavirus pandemic. Four states – Arizona, Iowa, Louisiana, and New Mexico have already requested grants to take part in the program which will give a weekly a $300 enhanced unemployment payment to those who have lost their job or are out of work as a result of the crisis. FEMA however, is not responsible for issuing payments directly to individuals the states and territories will distribute the funds through their own unemployment insurance systems, as a supplement payment.

The Lost Wages Assistance program replaces the weekly $600 top-up payment which was part of the CARES Act and ran from until the end of . The $300 LWA payment is a supplement on top of standard unemployment benefit paid by each state. Each state has the choice on whether to top up the payment by providing an additional 25% or not. To be eligible for the extra benefits, an individual must be receiving at least $100 as part of their regular unemployment insurance from any of the following:

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Unemployment Aid: When Would The $300

Unemployment aid will continue to provide a lifeline for millions of workers who continue to struggle to find a job amid the coronavirus pandemic, thanks to President Donald Trump’s signature on the $900 stimulus bill that extends three major jobless programs.

But when those benefits actually land in the pockets of jobless people has come into question due to Mr. Trump’s delay in signing the relief bill, citing his opposition to its $600 stimulus checks. He categorized the $600 amount as “ridiculously low.”

Two major programs for the jobless, which provided aid to more than 12 million unemployed workers, expired on December 26. Mr. Trump signed the bill the day after they expired..

The Pandemic Unemployment Assistance program, which covers gig workers and self-employed workers and the Pandemic Emergency Unemployment Compensation program, which provides additional weeks of jobless aid to those who have run out of their regular state unemployment benefits, both expired December 26.

Because the bill was signed a day after those two unemployment programs ended, concerns have been raised that jobless workers may suffer from a gap in aid payments. But experts say it’s unlikely that benefits will lapse because of that, and the Department of Labor told The Hill that it “does not anticipate that eligible claimants will miss a week of benefits due to the timing of the law’s enactment.”

Could Pandemic Benefits Be Reinstated

As the federal expiration deadline approached, White House officials made it clear they were not planning to continue the enhanced jobless benefits past Labor Day, saying they were intended to be temporary. When multiple states pulled out of pandemic-era unemployment programs prematurely during the summer, Labor Department officials had said their hands were tied and they couldn’t counter decisions by governors.

On Sept. 15, Rep. Alexandria Ocasio-Cortez announced that she would be introducing a bill to retroactively extend enhanced jobless benefits until February 2022. Saying she’s not sure of the prospects of the legislation being passed, Ocasio-Cortez noted that she “could not allow this to happen without at least trying.” The following day, she and 12 other Democratic lawmakers wrote a letter to the House leadership urging them to include an expansion of unemployment aid in the $3.5 trillion budget package known as the Build Back Better Act.

It’s not clear at this time which states will choose to use any leftover pandemic funds to continue jobless benefits. According to a CBS News report, not every state has shut the door to continuing some benefits, with some local officials reviewing options for providing assistance after the Labor Day expiration.

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I Am An Independent Contractor Am I Eligible For Unemployment Benefits Under The Cares Act

You may be eligible for unemployment benefits, depending on your personal circumstances and how your state chooses to implement the CARES Act. States are permitted to provide Pandemic Unemployment Assistance to individuals who are self-employed, seeking part-time employment, or who otherwise would not qualify for regular unemployment compensation. To qualify for PUA benefits, you must not be eligible for regular unemployment benefits and be unemployed, partially unemployed, or unable or unavailable to work because of certain health or economic consequences of the COVID-19 pandemic.

The PUA program provides up to 39 weeks of benefits, which are available retroactively starting with weeks of unemployment beginning on or after January 27, 2020, and ending on or before December 31, 2020. The amount of benefits paid out will vary by state and are calculated based on the weekly benefit amounts provided under a states unemployment insurance laws. Under the CARES Act, the WBA may be supplemented by the additional unemployment assistance provided under the Act.

Who Lost Federal Unemployment Benefits On Labor Day

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At the very start of the pandemic, the March 2020 CARES Act established temporary federal unemployment aid programs, and the American Rescue Plan in March 2021 extended those benefits to Labor Day. Here’s who was affected by the programs’ expiration, according to a detailed analysis of Labor Department data by the Century Foundation.

More than 3 million additional people lost Federal Pandemic Unemployment Compensation, the weekly bonus — initially $600, then $300 — that helped out-of-work Americans supplement benefits and recover some lost wages. If you’re still eligible to collect state unemployment insurance , you’ll continue to receive some compensation after the cutoff. But the amount will be lower without the weekly $300 bonus.

Some 3.3 million people lost all their Pandemic Emergency Unemployment Compensation, or PEUC, which extended aid to those who had already exhausted their state’s benefits period . This category includes workers who would have no longer been eligible to receive unemployment because they passed their state’s benefit window. The program provided up to 53 weeks of additional aid for those who had exceeded state allowances.

That’s not the full picture of everyone affected by unemployment. Reported jobless rates generally don’t account for those who have left the labor force entirely and are no longer counted as looking for work, such as the long-term unemployed.

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States Ending $300 Weekly Payment Early

The following states are ending the $300 payment earlier than the Sep 6th expiry:

States Ending Unemployment Early
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
Iowa$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
Mississippi$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC
$300 FPUC, PUA, PEUC, MEUC

When Will Workers Get Benefits

The Trump administration has pledged the additional aid would reach workers in a matter of weeks, but that has been met with criticism.

States applying for the federal grants will get an initial obligation of three weeks of needed funding, according to a recent memo issued by FEMA. The agency will make additional disbursements to states on a weekly basis in order to ensure that funding remains available for the states who apply for the grant assistance.

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Whats On The Table With The Current Stimulus Check

The coronavirus does not care that we are divided. The coronavirus will not care if Washington Democrats decide it suits their partisan goals to let relief run dry.

The American people are hurting and Congress should have their backs.

Leader McConnell

The latest stimulus package was revealed by Senate Majority Leader Mitch McConnell at the end of July. Its called the HEALS Act and includes an identical stimulus check proposal as the first one, which came from the CARES Act in March.

Eligibility for a second round of stimulus payments will be based on your most recent adjusted gross income. The general structure of the stimulus check amounts, as established in the CARES Act, is:

  • Single filers who earn $75,000 or less annually will get $1,200.
  • Single filers who earn more than $75,000 will see their payment amount reduced by 5% of the amount they earn over $75,000, up to $99,000 as the cutoff point.
  • Joint filers who earn less than $150,000 a year will get the full benefit.
  • Joint filers who earn more than $150,000 will see their payment amount reduced by 5% of the amount they earn, up to $198,000.

People who were excluded from the CARES Act will likely be excluded from the HEALS Act, barring any major negotiations or concessions between Republicans and Democrats in Congress. People without social security numbers, people who file their taxes with TIN numbers, people in prison, and otherse will be among the exclusions.

What Does The Stock Market Have To Do With Any Of This

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The stock market has been all over the place amid the coronavirus crisis. Major indexes plunged as the gravity of the situation began to take hold in February and March, and stocks have become pretty volatile. But does it matter what the stock market does? Well, yes and no.

The stock market right now is signifying underlying turmoil in the economy. It can also be a leading indicator, albeit a noisy one, of where the economy might be headed, and amid coronavirus, its take appears to be ¯\__/¯. As stocks plunged at the takeoff of the crisis in the US, a lot of investors appear to have pulled out their money and parked it in cash, and uncertainty has created an enormous amount of volatility.

The stock market will likely start to recover before the economy does thats what happened after the financial crisis, when it turned up in March 2009 and the recession ended three months later in June but we wont know if or when that will be. What happens in the stock market can have a wealth effect as well that is largely behavioral consumers spend more in a bull market. A small majority of Americans own stocks, but the richest Americans own most of the stocks.

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