Stimulus Checks Delayed for Some Social Security Recipients

By: Stacey Nickens

Almost 30 million Social Security and Supplemental Security Income (SSI) recipients will be experiencing a delay in receiving their third stimulus checks. The Social Security Administration (SSA) initially failed to send necessary information to the IRS. However, after a letter from four Congressmen prompted the SSA to do so, the SSA sent the necessary files to the IRS. As a result, certain Social Security and SSI recipients will be receiving their third stimulus check, but there will be a delay in the sending of this check.

Why did the IRS need to wait for data from the SSA?
The IRS will use taxpayers’ 2019 or 2020 returns to calculate the amount of their stimulus checks. However, many Social Security and SSI recipients do not need to file a tax return every year. For non-filers, the IRS will need to get income information from another source, such as the SSA. However, because the SSA didn’t immediately provide such information to the IRS, non-filers who receive Social Security or SSI will experience a delay in receiving their third stimulus checks.

How much should you expect in your third stimulus check?
All taxpayers are eligible for a $1,400 stimulus payment, and couples are eligible for a $2,800 stimulus payment. The full amount is available to individual filers with adjusted gross incomes (AGI) below $75,000 and joint filers with AGIs below $150,000. Individuals with AGIs between $75,000 and $85,000 will receive a partial check, and individuals with AGIs above $85,000 will not receive any stimulus. Joint filers with AGIs between $150,000 and $160,000 will receive partial stimulus checks, and joint filers with AGIs above $160,000 will not receive any stimulus.

If you are a recipient of Social Security or SSI, the amount of your check depends on your filing status. Those who file individual or joint returns will receive full or partial stimulus checks, depending on their AGI. If you are a Social Security or SSI recipient with dependents in your care, your check may be even larger. Dependents qualify for an additional $1,400 in stimulus. However, if you are a Social Security or SSI recipient and you are a dependent on another person’s return, you will not receive your own stimulus check. Instead, the adult child who claims you as a dependent will receive additional stimulus on your behalf.

How can I check the status of my stimulus payment?
You can use the IRS’s “Get My Payment” Tool to…

  • Check the status of your payment
  • Confirm how you will be receiving your payment (whether it be via direct deposit or paper check)
  • Get a delivery date for your check

What if I don’t receive the correct amount of stimulus?
Stimulus payments are considered advanced payments of the 2021 Recovery Rebate tax credit. Accordingly, if you are underpaid, you can claim the remaining stimulus on your 2021 tax return.

Source: Kiplinger