4th stimulus check update 2023 — Americans in line for $1,000 direct payment for five months – see if you qualify

Alaska $3,284 PFD, part one

Each year, Alaska offers a Permanent Fund Dividend, which gives a portion of the state’s oil revenues to residents.

In 2022, the amount was worth $3,284 – but keep in mind there was a $662 energy relief check attached to it.  

Alaska is continuing to send out cash to residents this year who have their applications in the status of “Eligible-Not Paid.”

Spring relief checks in North Carolina continued

Other pieces of eligibility criteria include:

• The home must have experienced a property revaluation increase as part of the 2022 Guilford County tax revaluation
• The homeowner must document a total household gross income equal to or less than $41,000 (one person) or $47,000 (two or more persons)
• There can be no outstanding taxes on the home that are owed to the City of Greensboro
• The Applicant cannot also receive assistance from the County Homestead Tax Exclusion Program

The amount of the return is the difference people paid in 2022 compared to 2021, ranging from $50 to $150.

To put your name in for consideration, an online application must be filled out by June 15. 

Spring relief checks in North Carolina

North Carolinians may be eligible to claim a $150 rebate if they paid property taxes.

The city of Greensboro set aside a pot of $250,000 for the program in an effort to support low-income residents who own their own property.

To qualify, you must be a Greensboro resident and lived in your home for the past five years.

Additionally, your house’s property tax value must be less than $250,000.

How to claim up to $2,500 in Montana tax rebates, continued

Montana taxpayers do not need to do anything extra in order to secure the income tax rebate.

The state’s revenue department will send checks out automatically, either via mail or through direct deposit.

Residents can expect the payments beginning in July, and all rebates should be processed by December 31.

For the property tax rebate, Montana residents should visit the transaction portal or apply by mail. The application will remain open from August 15 to October 1, 2023.

How to claim up to $2,500 in Montana tax rebates

If you live in Montana, you could be eligible for up to $2,500 in tax rebates.

Governor Greg Gianforte passed two rebates, including an income tax payment alongside a property tax program.

The state’s Department of Revenue will start issuing the rebates in July.

To qualify, you must be a full-year Montana resident and have paid state taxes on 2020 and 2021 income.

For 2021, up to $1,250 is available for single taxpayers. Married couples filing jointly could be able to score $2,500.

For the property tax rebate, homeowners will see up to $500 a year for 2022 and 2023 property taxes on their primary residences.

California Mortgage Relief Program

Thousands of struggling homeowners are getting help with missed mortgage payments during the pandemic from the California Mortgage Relief program.

Officials announced earlier this year that three new groups will be eligible for the aid: homeowners whose mortgages had a “partial claim” or deferral, those who missed a second mortgage payment after June 2022, and those with a primary residence that includes up to four units.

Homeowners who had previously received help from the state will be able to get more, as well.

Corporations can claim more stimulus payments

As a part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act in 2020, Employee Retention Credits were created to incentivize businesses to keep employees on their payroll.

Even though the incentive was implemented in 2020, businesses are still claiming the credit today.

To qualify, businesses must have either experienced significant declines in revenue during the pandemic or were shut down due to the government lockdown, according to the State Treasury.

Businesses that were started up during the pandemic also qualify for the credit.

No tax owed on California Middle Class Tax Rebates

There is good news for Californians filing their taxes as the IRS has confirmed that Middle Class Tax Refunds (MCTR) will not be taxed.

The state issued more than 16 million payments to Californians ranging from $200 for singles up to $1,050 for families.

Although millions received 1099 tax forms saying they must report the payments as income, the IRS has ruled that no taxes are due on that income.

According to the State of California Franchise Tax Board (FTB): “The MCTR payment is not taxable for California state income tax purposes.

“You do not need to claim the payment as income on your California income tax return.

Californians can read the full advice on the FTB website.

States with the lowest cost of living

• Below are the top 10 cheapest states to live in and how their cost of living compares to the national average, according to Insure.com.

States with the highest cost of living

Below are the top 10 most expensive states to live in and how their cost of living compares to the national average, according to Insure.com.

1. Hawaii (+88.29%)
2. District of Columbia (+56.87%)
3. New York (+48.30%)
4. California (+46.12%)
5. Alaska (+26.07%)
6. Maryland (+25.24%)
7. Oregon (+24.02%)
8. Massachusetts (+21.61%)
9. New Hampshire (+19.91%)
10. Washington (+19.11%)

Universal basic income available nationwide

UBI is a set of recurring payments that individuals get from the government.

They can be paid monthly, several times a year, or just once annually. 

Funding for guaranteed income can come from government or private sources.

While it’s unlikely another stimulus package will get passed on the federal level, some states and cities send UBI payments or guaranteed income to their citizens. 

The US Sun rounded up more than 40 examples of UBI, including in states like Alaska, Arizona, and Georgia.

No tax owed on California Middle Class Tax Rebates

There is good news for Californians filing their taxes as the IRS has confirmed that Middle Class Tax Refunds (MCTR) will not be taxed.

The state issued more than 16 million payments to Californians ranging from $200 for singles up to $1,050 for families.

Although millions received 1099 tax forms saying they must report the payments as income, the IRS has ruled that no taxes are due on that income.

According to the State of California Franchise Tax Board (FTB): “The MCTR payment is not taxable for California state income tax purposes.

“You do not need to claim the payment as income on your California income tax return.

Californians can read the full advice on the FTB website.

FICA and your paycheck

Most Americans have their taxes taken out of their payslip and the main one is known as the Federal Insurance Contributions Act (FICA).

The charge is more commonly known as payroll tax, and FICA refers to the law that requires employers to take money from staff paychecks.

Each month, your boss will take 6.2 percent of your wage and will contribute 6.2 percent per employee for Social Security, equalling 12.4 percent in total.

The current rate for Medicare is 1.45 percent for the employer and 1.45 percent for a worker, translating to 2.9 percent total, according to the IRS.

However, the Social Security element of payroll tax has increased in 2022 to a wage base limit of $147,000.

How to qualify for the EITC

You qualify if you work and earn below a certain maximum adjusted gross income (AGI), which we’ve rounded up below:

Filing as single, head of household or widowed:

• No children – AGI of $16,480
• One child – AGI of $43,492
• Two children – AGI of $49,399
• Three children – AGI of $53,057

Filing as married filing jointly:

• No children – AGI of $22,610
• One child – AGI of $49,622
• Two children – AGI of $55,529
• Three children – AGI of $59,187

Earned income tax credit, explained

The earned income tax credit (EITC) is the government’s largest refundable federal income tax credit for low- and moderate-income workers.

In 2021, almost 25million families received over $60billion in EITC credits, with an average payment of $2,411.

For the 2022 tax year, the EITC is worth as much as $6,935 for a family with three or more children.

Workers without children can claim a maximum of $560 for 2022, down from $1,502 in the 2021 tax year.

Tax credits in Washington worth up to $1,200

A Working Families Tax Credit is now available to low-income Washington residents.

It is worth between $50 and $1,200 – the exact payment varies by income and number of dependents in the household.

For example, joint filers with two kids making less than $55,529 qualify for up $900.

To be eligible, you must be a parent who has lived in Washington State for at least half the year in 2022 and filed a federal tax return for 2022.

To claim, you can apply online via the Department of Revenue Washington State through December 31, 2023.

National jobs outlook falls in recent months

Since January 2021, the unemployment rate has massively reduced from 6.3 percent in January of that year to a 54-year low of 3.4 percent two years later.

However, some economic experts warn the jobs situation is precarious.

Industries from tech to construction are dealing with widespread layoffs, creating one of the worst states of job growth since 2020.

In March of this year, the unemployment rate grew to 3.5 percent, indicating what could be dark times ahead for the U.S. economy.

Americans are saving less money than in years past

The overall household financial health for the majority of Americans has deteriorated over the span of two years.

In the final quarter of 2022, Americans had, on average, saved only 4 percent of their disposable income.

That is a far cry from the 14 percent Americans on average saved the two years prior.

Household debt also grew by 16 percent to $16.9trillion, and poverty rates hit their highest levels since 2018 in 2021, Forbes reported.

Gas prices keep at stubborn highs

Various sectors are experiencing high rates of inflation, and gas is no exception.

After Russia invaded Ukraine, gas prices reached record levels.

While the costs have significantly come down since then, the $3.66 average cost per gallon in April 2023 was 54 percent higher than in early 2021.

Minnesota property tax refund – deadline for applications

The 2022 Minnesota Property Tax Refund and Renters Refund programs are open for applications with the deadline set for August 15.

If eligible, Minnesota residents may get up to $2,930, but the amount varies depending on income or property tax levels.

This program is open to renters with an income of up to $119,790 and property owners who had a 12 percent or more property tax increase over the last year.

All claims must be filed through the Minnesota Department of Revenue.

Those who file their claim before August 15 will begin seeing the payments a little over a month after that date. Refunds can be tracked by using the Where’s My Refund? system.

No taxes on rebates for some states

Kansas Governor Laura Kelly has announced a proposal that would lead to a tax rebate of $450 for individuals and $900 for married taxpayers filing jointly.

The funds for the program would come from the state’s budget surplus this year.

Alongside the proposed payments, Kelly has vetoed House Substitute for Senate Bill 169, which would have established a flat rate tax.

The decision against the bill stemmed from her concern over how public education would fare if the law had been enacted.

More on the $600 payment

To qualify, you must prove employment in meatpacking or farmwork between January 27, 2020, and the end of the COVID-19 emergency declaration on April 11, 2023.

In addition to Delaware, 13 other states and territories are offering the payment:

Farm and food workers can get a $600 payment

Frontline farm and food workers who braved the pandemic are eligible for $600 relief payments.

The Delaware Department of Agriculture has been working with Pasa Sustainable Agriculture to provide one-time relief payments to farmhands and meatpacking workers who labored during the pandemic.

Relief takes off in Florida

Florida residents can get nearly $500 in cash this year and it could be in addition to $2billion in tax relief.

In December 2022, Governor Ron DeSantis signed a bill into law that will provide more than a million drivers with a toll credit.

It will give eligible residents in the state a 50 percent credit to their “account” each month, according to the law.

The direct cash is expected to be worth more than $480 on average through 2023, according to the Governor’s office.  

Two-axle vehicles will qualify and drivers must have toll accounts that are in good standing with the state.

Oregon also struggles to keep up with its EV rebate demand

Oregon will also suspend rebates for purchasing or leasing an EV for one year starting in May, according to Associated Press.

Drivers in states with active electric car incentives still have to wrestle with this year’s newly-introduced regulations.

Only six pure EVs qualify for a full tax credit in 2023.

Drivers can receive a full credit by purchasing a new Cadillac Lyriq, Chevrolet Bolt, Chevrolet Bolt EUV, Ford F-150 Lightning, Tesla Model 3 Performance, or Tesla Model Y.