Stimulus Check Delay: Do Social Security Recipients Get Left Behind?

S&P said it expects a rapid US recovery with the help of the massive stimulus programs approved by Congress

Some Social Security recipients told CBS MoneyWatch that the delay is causing financial stress and problems.

They called the hold up "inexplicable" just a day after they wrote to the IRS and SSA to say there are no excuses for delays of the approved $1,400 stimulus checks to vulnerable Americans who benefit from income through Social Security, SSI, Veterans Affairs and the Railroad Retirement Board. "People in my situation are feeling lied to".

The IRS said this week that in most cases, the second part of the payment will arrive the way you instructed on your tax return, meaning it could be deposited directly into your bank account or sent in the mail as a pre-paid debit card or check.

IRS officials have touted the agency's delivery of the latest round of stimulus checks as reaching eligible Americans in "record time". They haven't said whether recipients of federal benefits would be included.

The Internal Revenue Service (IRS) has sent out another 37 million stimulus payments from the $1.9 trillion stimulus bill, the agency said Wednesday. Most of the first batch of payments were sent via direct deposit, but an estimated 150,000 payments were also sent by mail.

The IRS has not immediately returned a message seeking details on delayed checks.

At first, it appears to some of these couples that they are receiving only half the stimulus payment - prompting thousands to express their frustration by posting in a Facebook group "Half Stimulus Missing/Received Status". If not, it will be based on the 2019 return or the information submitted through an online portal set up a year ago for people who don't usually file tax returns.

Lawmakers have taken notice, demanding a timeline from the IRS.

"The American Rescue Plan was meant to provide much-needed economic stimulus and assistance to people across the country - immediately - and we are counting on your agencies to ensure that beneficiaries are not left behind in the seamless delivery of those payments", the lawmakers wrote.

The IRS has prioritized delivering the checks to people who have either filed their 2020 or 2019 tax returns, as well as those who used the "Non-Filers" website that the agency operated previous year. Many of those checks are paper checks or pre-paid debit cards that will be mailed to recipients.

That can mean a couple of things.

Payments will continue to roll out in batches in the coming weeks, the agency said.

"What was infuriating to me and lots of people out there was the fact that the IRS already had their direct deposit information", Los Angeles resident Sydney Chandler said.

Social Security Subcommittee Chairman John Larson of Connecticut, Oversight Subcommittee Chairman Bill Pascrell, Jr. of New Jersey, and Worker and Family Support Subcommittee Chairman Danny Davis of IL joined Neal in the letter.



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