President Trump Supports Another Stimulus CheckWill Congress Back It

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US President Donald Trump gestures before boarding the smaller Air Force One as he leaves the … [+] Morristown Municipal Airport, in Morristown, New Jersey en route to Washington,DC. (Photo by Nicholas Kamm / AFP) (Photo by NICHOLAS KAMM/AFP via Getty Images)

AFP via Getty ImagesIn an interview with Scripps yesterday, President Trump stated that he supported a very generous second stimulus package and he hinted it may include a second stimulus check (analysis).

Now the Washington Post is reporting that President Trump is supportive of a second stimulus check with the belief that a second stimulus check would help his reelection campaign. However, there remains pushback from leading members of Congress who believe a second stimulus check will be too costly and won’t be the solution the economy needs going forward.

What Form Will the Next Stimulus Package Take?

In his recent interview with Scripps, President Trump was directly asked about a second stimulus check, but his response only hinted at a second stimulus check and used the phrase “stimulus package.” Reading between the lines tells us there is still support in Congress for another stimulus package, but it may or may not include another stimulus check.

In recent weeks, President Trump has also called for payroll tax waivers, tax cuts for businesses and individuals, a $450 Back-to-Work bonus, a $4,000 tax deduction for domestic travel, and massive infrastructure spending.

To date, there have been several proposals for second stimulus checks. However, only the HEROES Act has been passed and it is still awaiting a vote by the Senate.

The HEROES Act calls for a $1,200 stimulus check per qualifying adult, and $1,200 per qualifying dependent, up to a maximum of $6,000 per household. This article covers the HEROES Act stimulus check proposal.

Unfortunately, it’s not looking good for the HEROES Act. The proposal calls for $3 trillion in spending and has been likened to being a “wishlist” for the democratic party. Senate Majority Leader Mitch McConnell declared it “dead on arrival” in the Senate.

It is expected that the Senate will make their own proposal for a second stimulus package, and it may or may not include a second stimulus check.

Why A Second Stimulus Check May Still Be An Option

Even with all the pushback from the Republican-controlled Senate, we may still see another stimulus check.

There is still a clear need for additional financial support. Over 45 million people have filed for first-time unemployment benefits since March. While the country is opening back up, there are still tens of millions of people who are unemployed, and millions are still making first-time unemployment claims. The CARES Act included an additional $600 per week payment on top of state unemployment benefits for those who are unemployed due to the Covid-19 crisis. However, that benefit is scheduled to end at the end of July. It is not likely to be extended, partially due to the fact that some people are making more money from unemployment benefits than from working.

This comes at a time when 4.3 million homeowners missed their mortgage payments last month, a delinquency rate of 8%. If you take rent into account, the numbers are even greater, with CNBC reporting 30% of Americans missed their housing payments in June.

The CARES Act included some eviction restrictions and many state and local governments also initiated a moratorium on evictions. However, many of those restrictions will soon end.

Our country is sitting on a ticking time bomb with tens of millions of unemployed workers, expanded unemployment benefits ending soon, and millions of people unable to make rent or mortgage payments.

Don’t Discount the Political Value of a Second Stimulus Check

This is an election year, and there is a lot on the line. The political value of sponsoring, supporting, or passing a second stimulus check bill will go a long way toward the campaign hopes of many politicians, including our current president and presidential hopeful Joe Biden.

For Now, We Wait

The Senate is not likely to pass the HEROES Act and they have suggested they will propose the next stimulus package that will be passed. As such, we may have a few more weeks before any meaningful progress is made on a second stimulus package and potential second stimulus check. And waiting is difficult for the millions of Americans in financial straights.

Related:

HEROES Act Proposal – $1,200 Stimulus Check For Individuals And Up To $6,000 For Families

What Your Next Stimulus Check Might Look Like

Stimulus Payment Round 2: A Rundown Of 5 Current Stimulus Proposals

$2,000 Monthly Stimulus Check? 5 Reasons It May Not Happen

Some Earning More Money On Unemployment Than While Working – What Is Their Incentive To Return To Work?