The $2000 Per Month Stimulus | What You MUST Know

What's up you guys! It's Graham here. So, within the last 24 hours, I've seen a lot of talk and discussion about a brand new proposed stimulus plan that would give every single eligible American not only a one-time check for $1,200 but instead $2,000 per month for up to 12 months if you make under one hundred and thirty thousand dollars a year.

This is during a time where unemployment is skyrocketed, and 22 million people have now reported to be without work. Not to mention, the SBA just announced this morning that they have completely run out of funding for small businesses, which means all $250 billion has been claimed in a matter of weeks. That's right! As quickly as this plan was created and agreed upon, it was gone.

Or as South Park would say, it's gone. Now, in all fairness, this should not be a surprise. We knew this was going to be an issue because it was widely publicized that $250 billion was not going to be enough for small businesses. That’s the reason why they’ve been in talks about implementing another $250 billion to redeploy back into the program, which I have a feeling is probably gonna go through at some point or another.

Although this new stimulus proposal for individuals, the one that pays $2,000 a month for every eligible American, is something we should really talk about. Because not only does this impact the majority of people here in the United States, but it's also a lot of money, and there are quite a few misconceptions out there about what this actually means and the likelihood of this actually happening.

So, with that said, here are the details currently in the works to turn that $1,200 stimulus check into a $2,000 monthly amount. My own thoughts about this and the likelihood of this actually happening. We’re also going to be talking about the likelihood of you smashing a like button for the YouTube algorithm because, according to my previous videos, less than 10 percent of my viewers actually go and smash the like button for the YouTube algorithm.

And that, I got to say, is unacceptable because I know we could do better than that. So let’s see if we can get this video to 20 percent, and if we do that, I'm going to be opening up one of my videos next week with a short drum cover.

So, wow! That’s what we have to look forward to, I guess. So, anyway, with that said, here are the details you came for, and let’s begin the video. To start, here’s the proposal currently in place, and for anyone who wants to read this bill word for word, I’m going to be linking to it down below in the description.

But here are the most important points that make this so sensational, and it’s being called the Emergency Money for the People Act. First, every American age 16 and older making $130,000 or less per year would receive $2,000 a month. That would be doubled for married couples, meaning if they earn $260,000 a year or less, they would be receiving $4,000 a month.

Qualifying families with children would also receive an additional $500 a month per child up to $1,500 a month. Then, for every $1,000 you make above the $130,000 and $260,000 thresholds, your benefit would be reduced by $50 a month. Meaning if you make more than $170,000 filing single or $340,000 filing married, you would receive nothing.

Next, these monthly payments would not be counted as income, meaning they're tax-free. If you had no earnings, were unemployed, or are still unemployed, you would still be eligible to receive the benefits. This would also apply to college students and adults with disabilities who are claimed as dependents by somebody else.

The language in the bill also extends these benefits to non-residents of the United States as well, depending on if they meet certain qualifications. It also allows payments to be made through an electronic transfer application that can be used on mobile devices to receive payments, which some people say would allow payments to be made through PayPal, the Cash App, Venmo, or Zelle. Yes, seriously!

Anyway, the way this is worded is that if it passes, the payments are gonna be going through for six months. Then, if unemployment levels have not fully recovered, then we could vote to pass it on for an additional six months.

Now, keep in mind this is only a proposal, and to show you just how far this is away from actually being a reality, here are the steps this must go through. First, this bill has to go to what's known as the House of Representatives, and there, this bill is going to be discussed, debated, and changed. Then, from there, they’re gonna be voting by majority rule about whether or not this bill is actually good enough to get passed on to the next step, the Senate.

Now at this point, if it actually goes to the Senate, they’re gonna be doing the exact same thing, except they’re gonna be way more strict. They’re gonna argue way more, they’re gonna take way more time, and they’re going to dissect and tear apart every single word to clarify as many of the misinterpretations as possible.

After that, a brand new draft is going to be created, at which point they’re going to be voting on it. Then again, at that point, if more than 50% of the Senate agrees, it’s going to be going on to the next step, and that would be the president.

At that point, the president can either read it and sign off on it, and we’re good to go, or the president can choose not to sign it and veto it, giving the reasons for not signing it. Now, if that happens, at that point, it goes back to the Senate, and if two-thirds of them agree that this bill should be passed, then they could override the president's order and enable this to go into effect.

Basically, how this works is this: remember when you were a kid, and you and your friends would get together and come up with crazy ideas? Once you guys all came up with a solid enough plan, you would go and take that idea to your friends’ parents and see if they would say yes or no to it.

Then, at that point, if you get a yes, you can go to your parents and say, "Hey, we came up with this crazy idea; his parents were okay with it; are you okay with it?" And then you patiently wait for a yes or no. Well, basically, that’s exactly what’s happening here.

This is just an idea that’s been thrown around that needs to be heavily scrutinized and voted on twice before going to the president for final approval. So, in all reality, this bill is in its infancy, and it’s highly unlikely, if not impossible, for it to be passed as it currently stands.

It's also incredibly expensive to maintain this, and if we go and look up the income demographics, we could see that almost 90% of Americans are earning less than $130,000 per year and would receive the full benefits of $2,000 a month.

With 328 million people in the United States, if we exclude the 20% that are 15 years old or younger and the 10% who make more than $130,000 a year, and then maybe we just reduce this by an extra 5% for margin of error, that means this would cost, at minimum, 224 million people times $2,000 a month, and that works out to be $448 billion a month just to keep this going.

So that means if this gets passed and lasts for six months, that’s $2.6 trillion that just goes to this, and that alone is 25 percent larger than the entire CARES Act in six months. You guys know me; I don’t get into politics, I don’t take sides, I remain completely neutral.

But I also understand we’re probably more likely to see Dave Ramsey applying for the new revamped American Express Centurion card than we are seeing this passed by the Senate, at least without a significant modification and change.

Although, the reason why this bill is gaining so much traction online should really be no surprise. Especially when you go and look at the data, it becomes very apparent that for 80% of Americans, a $1,200 check only covers one month or less of their expenses.

So, sure, $1,200 is enough to hold people over temporarily, but unless things get better, they will probably get worse. Not to mention, small businesses are still in dire need of funding, as noted by the SBA completely running out of their $250 payment protection program this morning.

It looks as though more funding is going to be required if they want to keep this going. Now, to look into this further, we should go and see what other places are doing similar to us, and we should really look no further than our neighbor to the north, Canada.

They’re giving their citizens $500 a week for up to four months for anyone who lost their job due to the illness or has exhausted their employment insurance, and this applies to anybody who has earned more than $5,000 in 2018 or 2019. To prevent people from taking advantage of this, you may not have left your job voluntarily, and there are some income requirements you must abide by to continue receiving money.

You also need to continually reapply for this payment month by month to make sure your situation has not changed, and the amount you receive is also taxable, meaning a portion of that is going to need to be paid back depending on how much money you end up making this year.

This is very similar to what we have in the United States, where unemployment benefits are increased by $600 a week for those who have been impacted by the illness. Although, in Canada, it does seem like they’re a little bit more balanced in terms of who gets it. For example, they’re stepping up the support for essential workers who make less money than they would have otherwise had they been fired and been collecting unemployment.

They’re also separating this from their unemployment insurance, which means you cannot collect both unemployment and this at the same time. But you can get one or the other with the maximum of the $500 a week.

From my perspective, there’s still a lot to be ironed out here in the United States, and it’s becoming apparent that most likely there is going to be another round of stimulus coming, but it’s unclear exactly when and how much that’s going to be.

Here’s the thing: from a totally objective standpoint, this $2,000 a month proposal has a lot of holes in it. Almost anyone with any amount of income over the age of 16 years old can qualify for $2,000 a month. But what if that person was only making $1,000 a month before? Would they be justified in getting now $3,000 a month?

Or what if a person is claiming $4,200 a month from unemployment, which could potentially be worth more than what they were making while they were working? Would they still be eligible to collect an extra $2,000 a month tax-free on top of that? And does someone making $130,000 a year really need an extra $2,000 a month if they’re still working?

My whole thing is this: I wholeheartedly agree there needs to be just as much done to help protect people as there is to help protect businesses. I think it’s reasonable for people to see airlines getting tens of billions of dollars, and even though those companies help drive ten million jobs in the United States, at the end of the day, those airlines are nothing without the customers that use and support them.

So any stimulus plan should really aim to be as well-balanced as possible with the greatest economic benefit for the lowest long-term cost. That’s why I think $2,000 a month tax-free to everyone making under $130,000 a year is probably getting ahead of ourselves.

If something like this ever happens, I would maybe like to see this in proportion to the income that is lost due to the illness. I think we’re potentially getting a little carried away if unemployment is paying people more than the people who are putting themselves at risk by continuing to work.

If that’s the case, I like Canada’s approach to this by at least giving workers a benefit to bring them up to the same level that everyone else is getting with unemployment. I also believe if someone is still working, and their income has not been impacted by the illness, sure, we would all like to see free money—that’s great; we all want that.

But it’s probably better to save those resources for the people and businesses who are really struggling and need it the most. Plus, it’s also just as equally important to make sure that people and businesses actually get that money in a timely manner; otherwise, I feel like this is all for nothing.

But overall, it’s a really complex matter with a lot to consider, and it’s understandable that not even the Senate can go and agree on something like this with weeks of discussion. Ideally, we can come up with a plan that works for everybody and a fair distribution towards people and businesses who really need it the most in a way that’s well executed and still fair for the people who continue to work who have not been impacted by the illness.

It’s clear people need money, but it’s unclear exactly how much money they’re going to get. So don’t get your hopes up about getting an extra $2,000 a month, and I personally wouldn’t have that much faith in this because you know the saying: if it sounds too good to be true, then you got to smash the like button for YouTube’s algorithm if you have not done that already.

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