A good portion of the recipients of the third stimulus check decided to keep the money, according to a new study.
Photo: pasja1000 / Pixabay
32% of Americans kept the third stimulus check or did not use it, which contrasts with the use that was made of money from the previous two rounds, particularly the first, according to a study by the Peter G. Peterson Foundation.
The study, whose results were publicly disclosed on May 14, sought to determine how americans spent stimulus checks and how the above affected the economy.
The results showed that 49% of those who received the third check for $ 1,400 under the “American Rescue Plan”, used the money to pay the debts, while 32% kept the funds and only 19% spent the funds.
This last figure in particular contrasts with those of the first check. The study revealed that in the case of the first round of payments of $ 1,200 under the Coronavirus Aid, Relief and Economic Security Act (CARES), 74% said they had spent the money, 14% saved it, and 11% saved it. used to pay debt.
In the case of the second round of $ 600 under the Coronavirus Relief and Response Supplemental Appropriations Act of 2021, 51% of respondents said they used the money to pay debt, 26% saved the incentive, and 22% spent it.
IRS has sent more stimulus checks per third round than in previous rounds and in less time
Until last week, the Internal Revenue Service (IRS), the agency in charge of distributing stimulus checks, had distributed about 167 million payments corresponding to the third round of $ 1,400.
The above figure exceeds those of the two previous rounds.
The first stimulus check distribution initiative sent some 160 million payments to taxpayers nationwide for a total of more than $ 270 billion.
As for the second round, the IRS disbursed about 147 million “Economic Impact Payments”, totaling more than $ 142 billion.
11 batches of third round checks for a total of 167 million payments
Also, the IRS has sent more stimulus checks in less time as part of the third round. The 167 million have been distributed in 11 lots since March 12, just over two months after the approval of the stimulus bill promoted by the Biden Administration.
In the case of the first round, approved in March 2020 in the federal Congress, by the end of the year the IRS was still disbursing checks to non-filers who provided their personal information through the “Non-filers” tool.
As for the second check approved at the end of December, the law established the date of January 15 as the deadline for the IRS to distribute most of the payments. On February 16, the agency said in a statement that it had completed payments for that round and the previous one.