Fourth Stimulus Check Possibility: Here's What Jobs Data Suggests About Another Round of Payments

The Internal Revenue Service (IRS) has distributed more than 169 million stimulus checks to Americans since the $1.9 trillion stimulus bill was passed in March. Last month, an additional 2.3 million individuals received one of the third stimulus checks, at $1,400 each.

Since the beginning of the crisis, Americans have received a total of $3,200 in stimulus checks. Under President Donald Trump, Americans received two $1,200 and $600 checks, as well as a $1,400 check from President Joe Biden. In the meanwhile, here's where we stand in terms of a fourth stimulus check report.

Will there be a fourth stimulus check?

The US unemployment figures released last week are excellent news for the economy, but terrible news for those expecting a fourth stimulus check as the Biden administration seeks alternative methods to boost the economy.

According to the Bureau of Labor Statistics, the unemployment rate has dropped to 5.4 percent, its lowest level since the beginning of the pandemic. While the unemployment rate has not yet recovered to pre-pandemic levels, the fact that more Americans are entering the labor force is promising.

But the pandemic is far from over, and many Americans may face financial difficulties this winter. The White House presently has no intentions to issue a fourth stimulus check due to the strengthening economy as seen by the unemployment rate.

Instead, Biden has decided to use the American Rescue Plan to provide relief. Individuals will benefit from three forms of stimulus relief under the American Rescue Plan Act of 2021. Here are what you may get at the moment if you are eligible, as per NJ.com:

Federal unemployment bonus - The federal government has extended the $300 weekly unemployment benefit until September 6, but half of the states opted out before the deadline.
Stimulus checks - Individuals who satisfy the criteria have received three stimulus checks of up to $1,400 each.
Child tax credit - The child tax credit has been increased to $3,600 per kid for eligible households.

Do Americans still need another round of stimulus payments?

Although three stimulus checks have already been sent, millions of individuals have been affected by the financial crisis. Almost four out of ten people claim that their yearly income is still lower than it was before the pandemic. According to a poll performed by TransUnion, a financial services business, this is the case.

Per Digital Market News, the pandemic exacerbated the difficulties encountered by some families who had already been struggling prior to the outbreak. According to the Center for Budget and Policy Priorities, one out of every four households has struggled to pay for necessities such as food or rent.

It's worth noting that the $1,400 stimulus check won't last long, which is the major issue that has plagued the lives of many Americans who are still trying to make ends meet. Indeed, a petition seeking a fourth stimulus check has nearly 2.6 million signatures on Change.org.

The petition, which was established the previous year and called on lawmakers to make monthly payments of $2,000, was launched the year before. Several legislators have shown interest in obtaining another stimulus payment. Nearly twenty-one Democrats in the Senate wrote to Biden in support of recurring stimulus payments, which would help citizens even more.

How do stimulus checks may help Americans and the economy?

According to a Tax Foundation study, the money from the initial stimulus check swiftly re-entered the economy, with around 75% of the dollar value being spent straight away. The second and third payments were less successful, but the data suggests that quick emergency funds distribution-even if the part is inadvertently handed to the deceased-has a favorable economic impact.

The economy has started to improve since March, owing to rising vaccination rates. Lockdowns have been removed around the country, and businesses have reopened. Although there has been a recent rise in COVID-19 cases, many of the Delta variants, the US economy has been trending higher, raising doubts about the necessity for a fourth round of stimulus payments.

According to National Interest, while the bill received support from more than eighty Democratic members of the House of Representatives and Senate, their efforts were in vain. The Senate has already proposed two budget plans, none of which includes funds for the fourth round of stimulus checks.