College Grads Have A $1,800 Stimulus Check Headed Their Way

This week, the IRS announced that they had completed sending out all 157 million of the $600 second stimulus checks. Earlier in 2020, the first stimulus check, worth $1,200, also went out to millions of Americans. However, there were many people who didn't get either and among them, college students and recent grads. Even if they held full time jobs, many of the students or recent grads were still considered dependents, but since the first two relief packages only sent direct payments for dependents under the age of 17, college students and recent grads (and their parents) missed out.

However, they still can get that money when they submit their taxes this year thanks to the Recovery Rebate Credit, though to get the extra $1,800 with their tax refund, they have to be eligible for it. To qualify for the money, they have to have graduated college and no longer be a full-time student. If that is the case, they can file for taxes independently. That also works for anyone who graduated college in late 2019 but got a job last year. However, while changing a tax status to independent might get them the extra $1,800, since they'll now be paying their own taxes, it may not be worth it since the $1,800 might not offset what needs to be paid in taxes.

Others eligible for the $1,800 include recent college grads who got married, or really had any other kind of lifestyle change that might alter their tax situation. Additionally, college students who support themselves with little-to-no income can get it. For them to qualify, they can't be claimed as a dependent on another adult's return and normally don't need to file taxes because they don't earn more than $12,400, the IRS' cut-off for requiring taxes to be filed.

Anyone applying for the Recovery Rebate Credit will still need to meet the stimulus check eligibility requirements, which are earnings of $75,000 or less for a single adult, or $150,000 for a married couple.

Meanwhile, the latest relief bill, which as of now includes a third stimulus check for $1,400 that is expected to also go to adult dependents, is making its way through Congress and is expected to be sent out by the end of March.

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