Written by Melissa Smith on October 1, 2020.
For most of us, the first we heard of the CARES Act was when we received a Stimulus check, but the Cares Act has other components.
The four major components are:
- Aid for American Workers and Families
- Aid for Small Businesses
- Aid for State, Local and Tribal Governments
- Conserving Jobs for American Industry
Did you know that the Act provided $290 Billion in direct payments to Eligible Taxpayers? Most Taxpayers have already received their stimulus check through direct deposits, but some are still waiting to get their paper checks through the mail. This act also expanded unemployment benefits to the tune of $260 Billion. As such, most Americans that suffered unemployment during this period were provided an additional weekly benefit of $600 in addition to their regular Unemployment Insurance.
Another component of this ACT provided $150 Billion to states and local governments? This money helped local governments fight the Coronavirus and gave safeguards to residents. Business and local government was funded $510 Billion. This protected businesses from the loss of revenue allowed them to continue to pay their employees. Also, $377 Billion was provided to help with grants and loans to small businesses, and $127 Billion was allocated for hospitals and medical equipment to fight the virus?
So why is there the need for another Act? Because the American people need more help and we still have a disproportionate of individuals un-employed. The new proposal, if it passes Congress, will be signed into Law by the President, and it will be called the Health, Economic Assistance, Liability Protection, and Schools (HEALS) Act. This Act will include a $400 cut of the enhanced amount of Unemployment insurance and other provisions for small businesses. We will hear more about this in the upcoming weeks. Please like our ACS Facebook page so that you can keep informed.
If you have financial questions or need help managing your money, please reach out to the Financial Readiness Program, Army Community Service at (706) 791-3579, Christy Appiah, Financial Readiness Specialist.