Commencing in 2024, approximately 700,000 Michigan families are set to receive tax rebates averaging $550 Stimulus Check. Governor Gretchen Whitmer has disclosed that the distribution of these checks will commence on February 13, coinciding with the state’s enhancement of the Earned Income Tax Credit. The Democratic-controlled state legislature has raised the credit from 6 to 30 percent.
Whitmer revealed on Thursday that around 700,000 Michigan families can anticipate tax rebate checks, with an average value of $550, starting February 13, thanks to the expansion of the Earned Income Tax Credit by the Democrat-led state legislature in March, increasing it from 6 percent to 30 percent. Earlier this month, Lt. Gov. Garlin Gilchrist expressed disappointment that the relief, intended for people’s pockets earlier in the year, was delayed due to opposition from Republicans in the legislature.
Stimulus Check update Michigan’s financial aid to support families amid inflation
Gilchrist emphasized the purpose of these rebates is to support ordinary Michigan families, providing much-needed financial assistance. “In a time when expenses are soaring, it’s genuine financial aid,” he remarked. Presently, the nationwide inflation rate is at 3.1 percent, and some Americans continue to grapple with the challenge of affording essentials like groceries.
Residents looking to qualify for the additional cash need not submit any extra forms; eligibility is based on the submission of their 2022 tax return and meeting the criteria for the extra state credit. The specific amount allocated to Michigan taxpayers is contingent on factors such as income, filing status, the number of qualifying children, and disability status.
Formerly recognized as the “Working Families Tax Credit,” the earned income tax credit primarily benefits low-income residents. In 2022, this encompassed individuals with an income below $59,187 and investment income lower than $10,300. While the average amount stands at $550, residents have the potential to qualify for up to $2,080 for the 2022 tax year and $2,229 for the 2023 tax year.
Governor Whitmer highlighted the direct impact on half of Michigan’s children, emphasizing that the additional funds can be utilized by parents during tax time to cover bills, purchase groceries, and acquire school supplies. Despite nationwide inflation decreasing and take-home pay increasing, Governor Whitmer acknowledged that there is still more work to be done, expressing confidence that the announcement will provide relief sooner than anticipated.
Financial experts underscore the significance of this financial assistance in light of the current high-inflation economy, acknowledging the strain on Americans’ finances.
Scott Bauer, CEO of financial education firm Prosper Trading Academy, emphasized the challenges faced by Americans amid inflation, pointing out the potential hardship for the younger generation. He highlighted the difficulty in purchasing homes and the importance of being prepared and properly invested to navigate the impact of inflation and avoid falling behind.