The CARES Act is part of a major stimulus package designed by the US federal government in order to fight the economic crisis generated by the COVID-19 outbreak.
To be sure, the information that will focus most attention by citizens is related to the expansion of unemployment insurance that will eventually benefit US persons who have lost their jobs due to the crisis.
These extra federal benefits, which are added to the state unemployment payments, began arriving for many Americans a couple of weeks ago.
Who qualifies for unemployment benefits?
The benefits are designed to help anyone who has employment related problems. Self-employed and independent contractors now qualify for unemployment through the Pandemic Unemployment Assistance program. This temporary, federally funded program allows those who don’t qualify for traditional unemployment to receive benefits during the pandemic. That includes gig workers, such as ride share drivers, who have lost money because no one needs a ride anymore.
How to file for unemployment benefits?
File online or by phone through your state. You can find out the number or URL at CareerOneStop.org, a website sponsored by the Labor Department. Applicants will need to provide personal information along with information on their most recent job. That includes your start and end date, along with details on your wages.
How much can citizens get?
Most states replace roughly half of a person’s income, up to a maximum. Each state determines how much people receive based on their prior income and other factors, and some states are far more generous than others. In February, the average payment was $215 in Mississippi and $550 in Massachusetts. Nationwide, the average payment is roughly $385 per week.
The extra $600 from the federal government will be added to that total each week until July 31. Though the extra benefits are only now making their way to the unemployed, they will be retroactive to March 29. That means the first check some people receive, provided they can show they’ve been unemployed since late March, could be for several thousand dollars.
When will the money arrive?
It depends on where you live. Many Americans have already started to receive the payments. California began including the extra federal benefits in unemployment checks on Sunday. Florida started Tuesday. A total of 32 states say they will begin adding the extra federal benefits to unemployment payments by the end of this week. Many states have been forced to adapt antiquated technology to process the new claims. Connecticut, for example, was forced to update a system that was only able to process payouts in the triple digits. The federal government sent $1 billion to states to improve their unemployment systems, which is reportedly being used to hire more workers and update technology. How long do added unemployment benefits last? The extra federal benefits will be paid through July 31, and the self-employed will be eligible for benefits through the end of 2020. Another provision of the CARES Act provides for an additional 13 weeks of state unemployment benefits after someone has exhausted their regular benefits. In most states, people can only get unemployment benefits for 26 weeks.
* With information originally posted by New York Mag