23 Million California Residents to Receive up to $1,050 in Inflation Relief Funds
On June 30, California approved an inflation relief package — one which will see 23 million residents of the state receive a direct payment of up to $1,050. The $17 billion inflation relief package includes $9.5 billion for tax refunds to help address inflation and offset rising prices.
See: 9 Bills You Should Never Put on Autopay
Find: Here’s How Much Cash You Need Stashed If a National Emergency Happens
“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,” Governor Gavin Newsom, Senate President pro Tempore Toni G. Atkins and Assembly Speaker Anthony Rendon said in a joint statement. “The centerpiece of the agreement, a $17 billion inflation relief package, will offer tax refunds to millions of working Californians. Twenty-three million Californians will benefit from direct payments of up to $1,050. The package will also include a suspension of the state sales tax on diesel, and additional funds to help people pay their rent and utility bills,” they added.
The amount of the California inflation relief payments varies depending on the income and dependents in the household, and eligibility is divided into three categories. Payments are expected to be going out to individuals by the end of Oct. 2022 and conclude by the middle of Jan. 2023, according to California’s Franchise Tax Board.
Couples filing jointly with an income of $150,000 or less can receive $1,050 with a dependent, and $700 without a dependent. Couples with an income of $150,001 to $250,000 will receive $750 with a dependent and $500 without a dependent.
Couples filing jointly with an income of $250,001 to $500,000 are slated to receive $600 with a dependent and $400 without one.
For heads of households making $150,000 or less, they qualify for $700 with a dependent and $350 without. Those with an income of $150,001 to $250,000 qualify for $500 with a dependent and $250 without. As for those with an income of $250,001 to $500,000, they qualify for $400 with a dependent, and $200 without.
Finally, “other individuals” with an income of $75,000 or less qualify for $700 with a dependent and $350 without. Those with an income of $75,001 to $125,000 qualify for $500 with a dependent and $250 without. And those with an income of $125,001 to $250,000 qualify for $400 with a dependent and $200 without.
Live Updates: Financial Trends, Money News and More
POLL: Do You Think a Gas Tax Holiday Would Make a Difference on Your Wallet?
These checks will provide some much needed relief as, according to AAA, California has the most expensive gas in the nation. On July 5, AAA’s national average gas price was $4.80 per gallon, while California’s was an average of $6.20 per gallon.
MarketWatch reports that more than 10 other states have authorized direct payments to residents, while legislators in certain states (such as New Jersey and Indiana) are calling for direct cash relief.
More From GOBankingRates
Social Security: Women Get $354 Per Month Less Than Men - Here's Why
Looking To Diversify in a Bear Market? Consider These Alternative Investments
This article originally appeared on GOBankingRates.com: 23 Million California Residents to Receive up to $1,050 in Inflation Relief Funds
