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California Families To Receive Stimulus Checks Up To $1,050

Posted on June 29, 2022

Forbes By Sarah Brady

As California gas prices hover above $6 per gallon—the highest in the nation—financial relief may be in the cards for some state residents.

Gov. Gavin Newsom and state legislative leaders announced they agreed to a budget framework for 2022-2023, including direct payments of $350 to $1,050 for 23 million Californians—more than half of the state’s residents.

“California’s budget addresses the state’s most pressing needs, and prioritizes getting dollars back into the pockets of millions of Californians who are grappling with global inflation and rising prices of everything from gas to groceries,” said the joint statement from the governor and state assembly leaders.

The stimulus announcement marks a shift from Newsom’s previous proposal for a California gas rebate, which entailed issuing $400 debit cards to each registered vehicle owner.

When and How Will Payments Be Issued?

If passed, stimulus payments are expected to be issued by California’s Franchise Tax Board via direct deposits and debit cards. Payments will likely be issued beginning in October, through early 2023.

Find out which states are offering gas rebates and stimulus payments. 

What’s in the Inflation Relief Package?

The $17 billion package is set to include several measures for inflation relief, including stimulus payments, a temporary suspension of state diesel taxes and help with rent and utility costs.

Direct Payments

Twenty-three million residents are expected to qualify for the coming round of California stimulus checks.

The payments will be offered on a sliding scale, based on income and tax-filing status. Low-income tax filers with at least one dependent stand to receive the highest payouts.

Like the two previous Golden State Stimulus payments, individuals who earn more than $75,000 will not receive the full benefit, but other details have changed.

Here’s a breakdown of eligibility for the maximum payout:

  • $350: Individuals who earn less than $75,000 per year
  • $700: Couples who file jointly and earn less than $150,000 per year
  • $350: Additional payout for the above families who have at least one dependent

Income limits to qualify for the minimum payout:

  • $200: Individuals who earn up to $250,000 per year
  • $400: Couples who file jointly and earn less than $500,000 per year
  • $200: Additional payout for the above families who have at least one dependent