Stimulus Payment Quirk

[Lee DeRaud]

Suppose your social security is direct deposited. Do the details of tax returns matter?

Depends. For SS recipients whose income is low enough that they didn't file 1040s in 2018/2019, it goes there automatically. But it appears that the 1040 info takes precedence, possibly because the IRS is handling this, not the SSA.

I'm working off a very small sample here, but I have yet to encounter a person in my situation (direct-withdrawal IRS payment in 2018 and 2019) who has gotten their payment as of this date. (And yes, I have SS direct-deposit as well.)

As of this morning the site is now showing my payment as "yes, you're getting one, we'll update this page when we have a projected payment date". Sounds like they've outsourced the payment process to Amazon.

[Lee DeRaud]

Another fact is that some tax prep companies often have your refund sent to their account and then they take their cut and you get the remaining amount deposited into your account or as a check. This is particularly true of tax helpers who give you immediate tax payments.

I have often thought that, if I ever really needed an additional income stream, I had two sure-fire ways to do it, both involving people whose coping skills are, shall we say, sub-optimal:
1. assemble IKEA furniture
2. type tax info into TurboTax
No way I'd ever run out of customers in either category.

[Doug Garson]

I think the biggest reason is that you may not own the account which paid your taxes. Maybe your parents or your in-laws paid your taxes for you, for whatever reason. So to make sure the YOU get the money, they want the numbers for YOUR account.

OK, never thought of that circumstance, valid point.

[Jim Becker]

Probably, the Social Security Administration and the Internal Revenue Service are two different agencies of the government performing two different functions.

jtk

If you receive SS in any form, the direct deposit should be automatic if you qualify for the CARES benefit since SS is deposited that way these days.

[Jim Koepke]

If you receive SS in any form, the direct deposit should be automatic if you qualify for the CARES benefit since SS is deposited that way these days.

My understanding is the CARES benefit is being distributed through the Federal Treasury of which the IRS is a part.

If you have seen this explained otherwise, please post the information or a link.

jtk

[Jim Becker]

My understanding is the CARES benefit is being distributed through the Federal Treasury of which the IRS is a part.

If you have seen this explained otherwise, please post the information or a link.

jtk

I'm only reiterating what has been published relative to the deposits...it was stated the folks on Social Security would see the payment in the same account that their SS is normally deposited into if they qualify for the benefit. I do get SS, but I don't qualify for the CARES benefit, so I can't confirm that. I can confirm that my 90yo mother's was deposited promptly last week as was my daughter's. Both are on SS. The deposit does come from IRS/Treasury.

[Jim Koepke]

Did they file taxes for 2018 or 2019?

Candy collects SS, mine hasn't started. My pension from California may keep me from ever receiving SS payments even though it was paid into before my public sector employment.

We received our stimulus payment right after it passed.

jtk

[ChrisA Edwards]

I've been getting SS deposited for about 11 months now. I also did our joint 2019 return and paid the IRS directly out of our bank account, same account as where I receive my SS.

I've received two small IRS refunds, by check, for adjustments to our 2019 Tax return that the IRS obviously felt was due to us.

Still no sign of a stimulus payment, to my wife or I, and no paper check.

My friends have received their stimulus payment, even my friend's Dad got his and he's been deceased for 6 months.

My grown kids also got the stimulus payments direct deposited.

Don't really need the money, but we fall into the category for eligibility.

[Jeff Body]

Another fact is that some tax prep companies often have your refund sent to their account and then they take their cut and you get the remaining amount deposited into your account or as a check. This is particularly true of tax helpers who give you immediate tax payments.

I have a co-worker in this situation. Her stimulus check went to the company that prepares her taxes. Supposedly the company sent it back to the IRS and told the IRS they need to figure out how to get it to the people. They weren't going to foot the payroll and mailing material cost to distribute it.

[Wade Lippman]

I'm not getting anything, nor do I want it. Wouldn't even cover utilities and food for a couple weeks. Just a carrot to dangle.

My son would have a gotten a full check, despite the fact that he is employed and getting his normal pay check, based on his 2018 return. I urged him to file as quickly as possible, and his 2019 doesn't get a check. You are right, it is not a great deal of money, but I feel terrible about it. I console myself a bit that he sold stock to pay his taxes, and saved as much as a check by getting $10,000 out of the market. Still, if I were psychic, he could have gotten both.
The pause gives me an opportunity to dwell on these absurd things.