ORLANDO, Fla. - Millions of Americans could be expecting their stimulus money as early as Thursday.
An internal plan obtained by the Washington Post shows the IRS will start generating stimulus checks Thursday. Information from the U.S. House of Representatives shows at the latest, on April 13, the Internal Revenue Service will start sending 60 million people direct deposits. Lowest income individuals will get the money first.
Around April 23, the stimulus money will be sent to Social Security beneficiaries who get their benefits through direct deposit and didn't file taxes in 2018 or 2019.
For those who don't have direct deposit on file with the IRS, checks will be sent out starting May 3.
Certified Wealth Strategist Kat Almulla says this money will help struggling families.
"You could probably put a hold with your mortgage or rent, discuss that with your lender, but groceries, medication, gas, important things for your family," Almulla said.
People should be expecting a letter from the IRS within 15 days of receiving the money for security reasons.
"The IRS may have made a deposit into an old bank account, you may not have checked that bank account or it may not still be open,"
The stimulus money will show as a credit on your 2020 tax return. People will not have to pay it back and it won't be taxed as income.
"This is pretty much the government saying we know that you’re losing your job, we know that business is down," Almulla said. "We are going to give you money to supplement the income you lost by these changes."
Almulla says if you aren't out of work and still have a steady income, do not splurge.
"We can’t take vacations and go shopping," Almulla said. "We need to be diligent about this money that we didn’t expect. If you don’t need it, you can fund your IRA for this year or next year, you can pay down a credit card, you can set it aside as an emergency fund."
She suggests using some of the extra money to help others.
"You could donate it to a food drive, to a homeless shelter," Almulla said. "Donating to your community, a great way for us to band together."