After paying their taxes, new parents will be eligible for a second stimulus payment in 2022, with new parents getting an additional $1,400.
The stimulus payment is available to single parents earning up to $75,000 per year and couples earning up to $150,000 per year. On Nov. 15 and Dec. 15, people received the final batches of Child Tax Credit (CTC) payments for the year.
The final amount is due in April 2022, when parents file their tax returns. Anyone who qualifies for the entire amount will receive $1,800.
Once their tax returns are filed, parents who have been receiving $250 should be entitled to a payout of $1,500. However, any parent can choose to forego the advance payments this year and get the money in a lump sum in 2022.
The money comes from the American Rescue Plan, and many families have already gotten four CTC installments to help them get by while simultaneously helping the US recover from the coronavirus outbreak.
Families can get up to $3,600 per child under the age of six under the new law. Parents with 18-year-old dependents are eligible for a maximum of $500 in CTC.
To be eligible for the $500, dependents must be between the ages of 19 and 24. Many low-income families will be getting their first tax returns, which means the IRS will require their banking information in order to send them to advance payments.
You should contact the IRS if you haven’t received your payments yet. Families can use GetCTC.org or the IRS website.