“Inflation Relief” Checks of Up to $1050
Gov. Signs $308 Billion Budget:
By Edward Henderson
California Black Media
Around 23 million California residents will receive “inflation relief” checks of up to $1,050 soon. The aid is included in the new budget deal reached by state lawmakers and Gov. Gavin Newsom on Sunday, June 26th.
“California’s budget addresses the state’s most pressing needs, and prioritizes getting dollars back into the pockets of millions of Californians who are grappling with global inflation and rising prices of everything from gas to groceries,” said Newsom in a statement.
The checks are designed as tax refunds and will come from the state’s robust $97 billion budget surplus. The total state budget for the next fiscal year (2022-2023) is $308 billion.
The relief payments are based on income, tax-filing status and household size – similar to the stimulus checks sent to Americans by the federal government during the pandemic.
Single taxpayers who earn less than $75,000 a year and couples who file jointly and make less than $150,000 a year will receive $350 per taxpayer. Those with dependents will receive an additional $350 per child. For example, a couple that earns under $125,000 and has two children qualify for $350 per adult plus $350 for each additional child, up to a total check of $1,050.
Higher income Californians will receive smaller payments. Single taxpayers who make between $75,000 and $125,000 a year and couples who earn between $150,000 and $250,000 will receive $250, plus the same payment for each dependent, up to a maximum of $750 per family.
Single people who earn between $125,000 and $250,000 and couples who earn between $250,000 and $500,000 annually would receive $200 each, plus the same amount for their dependents. The maximum payment couples in that salary range will receive is $600 per family. Couples who earn above $500,000 and single taxpayers who earn above $250,000 aren’t eligible for the payments.
Checks will be sent via direct deposit or debit cards by late October.
“In the face of growing economic uncertainty, this budget invests in California’s values while further filling the state’s budget reserves and building in triggers for future state spending to ensure budget stability for years to come,” Newsom said. “In addition, California is doubling down in our response to the climate crisis – securing additional power-generating capacity for the summer, accelerating our clean energy future, expanding our ability to prepare for and respond to severe wildfires, extreme heat, and the continuing drought conditions that lie ahead.”
Other hot button issues addressed in the finalized budget include a $47 billion multi-year infrastructure and transportation package, $200 million in additional funding for reproductive health care services, and funding for education, universal preschool, children’s mental health and free school meals.
Gov. Newsom signed the budget into law on June 30.