The surprise “plus-up” stimulus checks are worth up to $1,400 and will be sent out by the end of the current year, and here’s how you can sign up for the payment.
Now, what are Plus-up payments?
Plus-up payments are extra stimulus checks sent out to those who received a stimulus check based on their 2019 tax return or information obtained from the Social Security Administration.
Some tax-payers whose income was lower in 2020 than in 2019 are eligible for the “plus up” payment.
The same goes for anyone who claimed an elderly or disabled dependent on their taxes in 2020. This includes elder or disabled relatives or college students who are under the care of individuals.
The latest round of IRS stimulus checks will come to an end on December 31, 2021.
Stimulus Check: A Brief Explanation
For example, a married couple bearing one child had an AGI of $165,000 in 2019, and because their income was more than $160,000, they are not eligible for any portion of the third payment. However, they had another child in 2020 and the AGI had dropped from $165,000 down to $155,000.
They would then fall within the $150,000 to $160,000 threshold with an additional dependent and would be eligible for $2,800 in stimulus money.
To claim your “plus-up” check, you need to file a federal tax return.
This payment is sent separately from your 2020 tax refund and is sent within two weeks of your processed return.
About 500,000 of those payments were made via direct deposit, while the rest were via checks.
To obtain more information on how these stimulus checks work, visit the IRS FAQ page.