When does the Supplemental Unemployment Benefit of $ 400 begin? Everything you need to know about Trump’s executive order
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President Donald Trump on Saturday signed a memorandum which would grant $ 400 in enhanced weekly unemployment benefits to those unemployed Americans if their state picked up $ 100 from the tab.
This order by Trump’s announcement came after Democratic and Republican leaders failed Friday in their negations for a general stimulus bill, this would have included an extension or replacement of the improved weekly unemployment benefit of $ 600.
The memorandum raises many questions for unemployed Americans. Here are some of the most urgent.
How much will the enhanced unemployment benefits pay per week?
the memorandum signed by Trump authorizes governors to use federal funds to make a payment of $ 300 to eligible applicants for the week ending August 1. That would go to unemployed Americans who are on state unemployment lists, or who are eligible for pandemic unemployment benefit or pandemic unemployment assistance through the CARES Act – which includes workers part-time unemployed and 1099 entrepreneurs.
Originally it looked like states had to pay $ 100 per week for the federal game for a weekly payment of $ 300 to send. However, on Monday, Republican Gov. Mike DeWine said Ohio, the nation’s seventh largest state, would accept the federal government’s enhanced $ 300-a-week unemployment benefits, but would not pay an additional $ 100 to the unemployed in the country. ‘Ohio. According to the Columbus DispatchOhio can do this by counting $ 100 of its current unemployment payments. This means unemployed people in Ohio will receive an enhanced payment of $ 300, not $ 400.
On Sunday, the United States Department of Labor let states know they could use this workaround, counting existing payments within $ 100, while still getting the $ 300 in weekly federal funds. Given the financial constraints and budget deficits that states are facing, it is likely that many will follow Ohio’s lead and not pay the extra $ 100.
How long will the unemployment benefit subsidy last?
The $ 44 billion allocated by Trump for enhanced unemployment benefits is estimated to fund weekly benefits for five weeks, or until August 29. according to a report of the Non-partisan Committee for a Responsible Federal Budget.
Who benefits from increased unemployment benefit?
Unlike the improved unemployment benefit of $ 600, this new benefit will only be paid to Americans who currently receive $ 100 or more per week in state unemployment benefits. The increased benefit is paid in addition to state benefits.
Do I get nothing if my state does not accept?
Unemployed Americans in states that don’t throw in an additional $ 100 in funding – or have $ 100 in current benefits like in Ohio – will not receive the $ 300 in enhanced unemployment benefits.
Where does the federal money come from?
Memorandum from President Donald Trump would withdraw $ 44 billion in federal funds from the Federal Emergency Management Agency (FEMA) to pay the federal portion of the weekly benefit of $ 400.
Is Trump’s Improved Unemployment Benefit Memorandum Legal?
Trump allocates the improved pandemic unemployment benefit by tapping into FEMA dollars, however, as my Fortune colleague Jeff Roberts reported on Monday, current law prevents Americans who are already receiving state unemployment benefits from receiving unemployment benefits in this manner. And more than 16 million of the 30 million Americans who were receiving the enhanced $ 600 unemployment benefit before it expired in July were also on their unemployment lists.
This indicates impending legal challenges.
Could Congress still come to an agreement on a stimulus package?
President Trump’s memorandum came after unsuccessful negotiations between Democratic and Republican leaders on Friday for a vast stimulus bill, which would have included a second cycle of dunning checks and improved unemployment benefits to help Americans cope with the pandemic.
At first, it seemed like Trump’s signing of the memorandum would give cold water to denials. However, on Monday, Treasury Secretary Steven Mnuchin appeared on CNBC and told viewers the White House was still open to a stimulus bill this includes stimulus checks, another round of repayable PPP loans, and money for schools and hospitals.
“We are ready to put more money on the table,” Mnuchin said said on CNBC on Monday. “Again, if we can get a fair deal, we are prepared to do so this week.”
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