Stimulus and once of payments from state governments are becoming more prevalent nationwide as local governments find ways to support their residents amidst the rising cost-of-living. While nationwide federal stimulus payments have not occurred since the COVID-19 pandemic, this has not stopped states from soldiering on with their own payment programs in order to reach as many residents as possible, particularly those from low-income backgrounds.
Stimulus payments help reach citizens in time of crisis
During the COVID-19 pandemic, stimulus played a critical role in supporting citizens across the nation amidst widespread job loss and sudden hikes in inflation and cost-of-living. With unemployment rates hitting levels not seen since the Great Depression, the Biden Administration released three rounds of Economic Impact Payments (EIPs) between March 202 and March 2021 in order to provide immediate financial support. This most recent tax season was the last chance citizens had to claim the third EIP amounting to $1,400.
While rumors have recently been circulating regarding a new $2,000 stimulus payment to be released by the federal government, no such payment has yet to be confirmed by a White House representative. This rumor possibly stems from original talks of President Donald Trump expressing support for a $5,000 stimulus check reward to citizens if the Department of Government Efficiency reached their original saving goal of $2 trillion.
New $400 payment for residents of this state
While no confirmed widespread federal stimulus payments have been announced by the Trump Administration, if you are a resident of New York state, you are in luck to soon be receiving a once-off payment worth up to $400 for eligible individuals.
Earlier this year, the state announced in their 2025 budget speech that the state would be sending once-off payments worth up to $400 for eligible New Yorkers in order to offset the costs associated with risen inflation rates. According to the New York Department of Taxation and Finance, in order to be eligible to receive the once-off payment, the following criteria must be met:
- You filed Form IT-201, New York State Resident Income Tax Return;
- Your reported income is within the qualifying thresholds; and
- You were not claimed as a dependent on another taxpayer’s return
Additionally, the following income thresholds must be met in order to receive the payment:
- Single filers must earn less than $150,000
- Married couples filing jointly must have a combined income less than $300,000
- Married couples filling separately must each earn less than $150,000
- Heads of Households must earn less than $150,000
- Surviving spouses must earn less than $300,000
Depending on your income level and filing status will determine the amount you can receive from the inflation payment if you meet the above income thresholds. Only married couples filing jointly earning less than $150,000 combined and surviving spouses earning less than $150,000 qualify to receive the full $400 payment.
When to expect your $400 payment
If you meet all of the above criteria, no further action is needed from you and you will be automatically sent your inflation payment as the state will refer to your filed tax return to determine your income eligibility and address. Over eight million New Yorkers are expected to benefit from this payment, with the state set to send off the first payments from October.
This month will also see residents of Virginia receive once-off payments thanks to the tax surplus the state has entered. These tax rebates are also worth up to $400 and will be paid out to citizens who had a tax liability for the 2024 tax year, provided your qualifying rebate amount does not exceed your actual tax liability amount for your 2024 income tax liability. Residents of the state have until November 3 to file their state income tax in order to receive the rebate.
Disclaimer: Our coverage of stimulus checks, tax reliefs, tax rebates, tax credits, and other payments is based on the official sources listed in the article. All payment amounts and dates, as well as eligibility requirements, are subject to change by the governing institutions. Always consult the official source we provide to stay up to date and obtain information for your decision-making.
