The New Coronavirus Stimulus Package: What Will You Get Now
ByAnna Baluch
UpdatedMay 30, 2025
- The new COVID stimulus package offers assistance for individuals, families and businesses.
- Cash payments and expanded unemployment benefits can help you meet expenses.
- Evictions and foreclosures have been halted to keep people in their homes during the pandemic.
Table of Contents
What coronavirus benefits are available to you if COVID impacts your finances this year? Can you expect help with your debts if you or a family member becomes seriously ill? Or if your employer goes out of business?
In 2020, a $2 trillion coronavirus relief bill was signed – the largest emergency spending package in U.S. history. The stimulus bill provided aid for struggling industries, help for workers, and assistance to homeowners, renters, the unemployed, and low-income individuals.
However, most of that aid expired and is no longer available in 2022.
The following information explains the coronavirus stimulus package and focuses on provisions in the bill to help everyday workers and families. However, in 2022, most assistance is coming from the private sector – and if you experience debt problems, you’ll probably have better luck negotiating with creditors than applying for expired programs with the government.
Cash assistance for individuals and families
Under the new stimulus package, qualifying adults will receive a second stimulus check of up to $600 and an additional $600 per qualifying child*. This is lower than the $1,200 cap per eligible adult, but up from the $500 per dependent child we saw with the first check.
The same income limits seen in the CARES Act apply here. So, if you earn more than $75,000, you’ll receive less than $600 or nothing, depending on your entire income. If you’re a married couple who earns up to $150,000, you may receive $1,200.
Unemployment insurance benefits
To provide relief for workers who have been affected by the pandemic, the CARES Act offered an additional $600 per week in special unemployment insurance benefits. This was on top of traditional unemployment benefits, which are state-dependent and usually range from $200 to $500.
The new stimulus package would offer $300 per week in additional federal unemployment benefits for 11 weeks, through March 14, 2021. Keep in mind that payments will not be retroactive. If you earned a minimum of $5,000 per year in self-employment income, but do not qualify for the Pandemic Unemployment Assistance benefit, you’ll receive $100 weekly.
Eviction protection
The new stimulus will extend the moratorium on evictions (set to expire at the end of this year) to January 31. It also includes $25 billion emergency rental assistance. However, it’s currently unclear how the money will be distributed.
Nutrition assistance
Under the Supplemental Nutrition Assistance Program or SNAP, needy families receive benefits to supplement their food budget. The goal is to encourage recipients to purchase healthy food. The new bill will provide $13 billion in increased benefits for this program.
Small business loans
To support hard hit small businesses, the bill would reopen the Paycheck Protection Program, which stopped accepting applications for the first round of loans in August. In addition, the PPP will designate $15 billion for independent movie theaters, cultural institutions, and live venues while expanding eligibility to non-profits, TV and radio broadcasters, and local newspapers.
Vaccine funding
Now that the vaccines have finally made their debut, the new stimulus will allocate $20 billion for vaccine funding, to ensure vaccines will be available for those who need them, free of charge. Another $8 billion will be used for distribution and $20 billion for testing.
What you can do to shore up your finances
A check for $600 dollars is not going to solve every financial problem working Americans have. But, now that you know what to expect from the new coronavirus stimulus package, here are some more ideas to help you make the most out of all the benefits that should be included in the new package.
Use your stimulus check wisely: It may be tempting to use your stimulus check to splurge on something you have been wanting for a while. But it’s best to keep your belt tight and try to stay focused on your long-term financial health if possible. So, if you don’t need the money for immediate necessities, consider putting the extra cash toward your debt, an emergency fund, retirement, or college.
Continue the job hunt: If you’re unemployed, the reduced federal unemployment benefits of $300 may take a toll on your finances, especially if you were used to the $600. But try to let this motivate you to continue your job search. Add relevant keywords to your LinkedIn profile, resume, and cover letter, keep an eye on social media for opportunities, and network with friends, family, acquaintances, and former co-workers.
Focus on your student loans: Unfortunately, it looks like the stimulus package does not include measures for student loan forgiveness. Therefore, it’s in your best interest to continue to make your payments if you’re able.
Create a plan for rent payments: If you’re a renter and worried about how you’ll make your payments in the coming months since the federal moratorium on evictions has only been extended to the end of January, come up with a game plan. Review your lease to determine if there are any financial hardship clauses that could help you out. Inform your landlord about the situation and try to negotiate, or reduce some of your other expenses and pick up a side gig.
Need help with your finances during this time of uncertainty? We’re here for you.
The second coronavirus stimulus package should help ease some of your financial stress. But if you’re struggling with your debt or concerned about making your payments, you may want to take additional actions. Freedom Debt Relief is here to help you explore your options, including our debt relief program. Our Certified Debt Consultants can help you get a stronger financial footing and chart a path toward a better financial future. Find out if you qualify.
*Editor’s Note, December 28, 2020: As of Monday, December 28, President Trump has signed the coronavirus relief bill into law. However, delays in the signing may cause some benefits to be delayed or shortened. In addition, the president has also requested an increase in the stimulus check amount from $600 to $2,000. Votes in Congress are pending at time of writing.
Learn More
3 Things You Might Need More Than a Stimulus Check (Freedom Debt Relief)
Talk to a Creditor About Loan Forbearance: A Step by Step Guide (Freedom Debt Relief)
Financial Goals to Prioritize During COVID-19 (Freedom Debt Relief)
‘More Help is on the Way’: The Long Wait is Over for Second Stimulus Check, But Will $600 Be Enough? (MarketWatch)
A look into the world of debt relief seekers
We looked at a sample of data from Freedom Debt Relief of people seeking the best debt relief company for them during April 2025. This data highlights the wide range of individuals turning to debt relief.
Credit utilization and debt relief
How are people using their credit before seeking help? Credit utilization measures how much of a credit line is being used. For example, if you have a credit line of $10,000 and your balance is $3,000, that is a credit utilization of 30%. High credit utilization often signals financial stress. We have looked at people who are seeking debt relief and their credit utilization. (Low credit utilization is 30% or less, medium is between 31% and 50%, high is between 51% and 75%, very high is between 76% to 100%, and over-utilized over 100%). In April 2025, people seeking debt relief had an average of 74% credit utilization.
Here are some interesting numbers:
| Credit utilization bucket | Percent of debt relief seekers |
|---|---|
| Over utilized | 30% |
| Very high | 32% |
| High | 19% |
| Medium | 10% |
| Low | 9% |
The statistics refer to people who had a credit card balance greater than $0.
You don't have to have high credit utilization to look for a debt relief solution. There are a number of solutions for people, whether they have maxed out their credit cards or still have a significant part available.
Collection accounts balances – average debt by selected states.
Collection debt is one example of consumers struggling to pay their bills. According to 2023, data from the Urban Institute, 26% of people had a debt in collection.
In April 2025, 30% of debt relief seekers had a collection balance. The average amount of open collection account debt was $3,203.
Here is a quick look at the top five states by average collection debt balance.
| State | % with collection balance | Avg. collection balance |
|---|---|---|
| District of Columbia | 23 | $4,899 |
| Montana | 24 | $4,481 |
| Kansas | 32 | $4,468 |
| Nevada | 32 | $4,328 |
| Idaho | 27 | $4,305 |
The statistics are based on all debt relief seekers with a collection account balance over $0.
If you’re facing similar challenges, remember you’re not alone. Seeking help is a good first step to managing your debt.
Manage Your Finances Better
Understanding your debt situation is crucial. It could be high credit use, many tradelines, or a low FICO score. The right debt relief can help you manage your money. Begin your journey to financial stability by taking the first step.
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Author Information
Written by
Anna Baluch
Anna Baluch is a freelance writer who enjoys writing about all personal finance topics. She’s particularly interested in mortgages, retirement, insurance, and investing.
