CRS Summarizes Stimulus Payment Use, Income Distribution
R46467
- AuthorsKeightley, Mark P.
- Institutional AuthorsCongressional Research Service
- Subject Area/Tax Topics
- Jurisdictions
- Tax Analysts Document Number2020-28819
- Tax Analysts Electronic Citation2020 TNTF 145-14
CARES Act Payments Use and Recipient Characteristics: In Brief
July 24, 2020
Congressional Research Service
https://crsreports.congress.gov
R46467
Contents
Survey Estimates
Stimulus Payment Use
Financial Resources Used to Meet Spending Needs in the Last Seven Days
Household Income Level
Household Size
Presence of Children Under 18 Years Old
Hispanic Origin and Race
Education
Health Status
Age
Gender
Tables
Table 1. Estimates of Stimulus Payment Use or Expected Use
Table 2. Estimates of Financial Resources Used to Meet Spending Needs in the Last Seven Days
Table 3. Estimated Distribution of Stimulus Payment Recipients by Household Income Level
Table 4. Estimated Distribution of Stimulus Payment Recipients by Household Size
Table 5. Estimated Distribution of Stimulus Payment Recipients by Presence of Children Under 18 Years Old
Table 6. Estimated Distribution of Stimulus Payment Recipients by Hispanic Origin and Race
Table 7. Estimated Distribution of Stimulus Payment Recipients by Education Level
Table 8. Estimated Distribution of Stimulus Payment Recipients by Health Status
Table 9. Estimated Distribution of Stimulus Payment Recipients by Age
Table 10. Estimated Distribution of Stimulus Payment Recipients by Gender
Contacts
Author Information
In response to the Coronavirus Disease 2019 (COVID-19) pandemic, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act, P.L. 116-136) provided direct payments1 to individuals and families. The maximum amount of these payments — sometimes referred to as “stimulus checks” or “stimulus payments” — is $1,200 per eligible individual ($2,400 for married taxpayers filing a joint tax return) and $500 per eligible child. The payment amounts are reduced $5 for each $100 that a taxpayer's income exceeds the phaseout threshold. These thresholds are (1) $150,000, if filing as married filing jointly; (2) $112,500, if filing as head of household; and (3) $75,000, for single filers.
As an example, for a married couple with two eligible children, making the household eligible for a maximum stimulus payment of up to $3,400, the payment would be reduced if the couple's income were over $150,000 and completely phased out if their income is more than $218,000. For a single individual with one eligible child (i.e., files as a head of household), the payment is reduced if income is over $112,500 and completely phased out if income exceeds $146,500. For a single individual with no children, the payment is reduced if income is over $75,000 and completely phased out if income exceeds $99,000. Note that the income and other eligibility data used to calculate these payments are generally based on 2019 information, or if unavailable, 2018 information.
This report provides summary statistics on how recipients used their stimulus payments, followed by characteristics of recipients. The estimates in this report were obtained from the Census Bureau's new Household Pulse Survey.2 Updates of the Pulse Survey are released weekly. The results presented below are from the most recent Week 11 survey update, which covers July 9, 2020, to July 14, 2020.3
For more information on the Household Pulse Survey, see CRS In Focus IF11594, New Census Bureau Products Track COVID-19's Effects, by Jennifer D. Williams. For a summary of the COVID-19 pandemic's impact on employment and household income using the Pulse Survey, see CRS Insight IN11457, COVID-19 Pandemic's Impact on Household Employment and Income, by Gene Falk. For more information on the direct payments, see CRS Report R46415, CARES Act (P.L. 116-136) Direct Payments: Resources and Experts, coordinated by Margot L. Crandall-Hollick.
Survey Estimates
The Pulse Survey is intended to be a representative sample of 249.1 million American households. The survey for July 9 to July 14 (Week 11) estimates that 211.3 million households (84.8%) have already received or expect to receive a stimulus payment, 35.5 million (14.2%) have not received or do not expect to receive a stimulus payment, and 2.31 million (0.9%) did not respond. These are estimates of the stimulus payment recipients (and expected recipients) overall, not estimates of who received a stimulus payment in that particular week. As with all estimates obtained from a survey that is based on a sample of the population of interest, the estimates can differ from the true summary statistics that would be computed if the entire population were surveyed. The technical documentation that accompanies the survey discusses the steps taken to address the accuracy of the survey results.4
Stimulus Payment Use
Table 1 provides estimates of the types of goods and services recipients used (or expected they would use) their stimulus checks for. These purposes are not mutually exclusive, meaning recipients could have used their payment for multiple purposes. This table illustrates, for example, that 70% of households reported spending a portion of their stimulus payment on food, while 2.7% of households reported spending a portion of their stimulus payment on recreational goods.
Stimulus Payment Use | Response | Usage Rate |
---|---|---|
Food: groceries, eating out, take out | 147,873,360 | 70.0% |
Utilities and telecommunications: natural gas, electricity, cable, internet, cellphone | 112,031,134 | 53.0% |
Household supplies or personal care products | 109,554,700 | 51.8% |
Rent | 61,122,424 | 28.9% |
Vehicle payments: scheduled or monthly | 54,203,300 | 25.6% |
Mortgage: scheduled or monthly | 52,728,740 | 24.9% |
Paying down credit card, student loans, or other debts | 49,691,147 | 23.5% |
Clothing: clothing, accessories, shoes | 38,539,666 | 18.2% |
Savings or investments | 29,144,718 | 13.8% |
Household items: TV, electronics, furniture, appliances | 14,146,362 | 6.7% |
Other | 11,935,561 | 5.6% |
Charitable donations or giving to family members | 10,456,404 | 4.9% |
Recreational goods: sports and fitness equipment, bicycles, toys, games | 5,681,344 | 2.7% |
Did not report | 436,306 | 0.2% |
Totala | 211,338,876 |
|
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Items do not sum to the total because the question allowed for multiple categories to be marked. Survey respondents were adults aged 18 years and older who received a stimulus payment and were asked “What did, or will, you and your household spend the 'stimulus payment' on? Select all that apply.” a. Total number of respondents who already received or expect to receive a stimulus payment. |
Financial Resources Used to Meet Spending Needs in the Last Seven Days
Table 2 provides estimates of the types of financial resources recipients (and nonrecipients) used to meet their previous week's spending needs. Available resources are not mutually exclusive, meaning recipients (and nonrecipients) could have had access to multiple financial resources to meet their previous week's spending needs. This table illustrates, for example, that 69.7% of stimulus recipients met some portion of their spending needs using regular income sources, compared to 71.9% of nonrecipients. Among stimulus recipients, 22.6% reported meeting some portion of their spending needs using their stimulus payment.
Resource Used | Stimulus Recipients | Nonrecipients | ||
---|---|---|---|---|
Response | Usage Rate | Response | Usage Rate | |
Regular income sources like those used before the pandemic | 147,343,264 | 69.7% | 25,540,335 | 71.9% |
Credit cards or loans | 54,463,450 | 25.8% | 6,604,933 | 18.6% |
Money from savings or selling assets | 50,376,719 | 23.8% | 7,548,601 | 21.3% |
Stimulus payment | 47,740,940 | 22.6% | 508,114a | 1.4% |
Unemployment insurance (UI) benefit payments | 31,818,866 | 15.1% | 1,909,574 | 5.4% |
Borrowing from friends or family | 25,782,605 | 12.2% | 4,546,420 | 12.8% |
Money saved from deferred or forgiven payments (to meet spending needs) | 9,590,432 | 4.5% | 1,488,995 | 4.2% |
Did not report | 3,201,543 | 1.5% | 724,528 | 2.0% |
Totalb | 211,338,876 |
| 35,520,192 |
|
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Items do not sum to total because the question allowed for multiple categories to be marked. Survey respondents are adults aged 18 years and older and were asked “ Thinking about your experience in the last 7 days, which of the following did you use to meet your spending needs? Select all that apply.” a. Presumably the positive response rate among nonrecipients is due to reporting error on the part of the individual answering the survey. b. Total number of stimulus recipients is the number of respondents who already received or expect to receive a stimulus payment. Total number of nonrecipients is the total number of respondents who did not receive or do not expect to receive a stimulus payment. |
Household Income Level
Table 3 provides estimates of the household income level of stimulus payment recipients, as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by income level (the first three columns). This table illustrates, for example, that households with less than $25,000 of income represent an estimated 14.2% of all households, and 14.6% of all stimulus payment recipient households, with 87.1% of households in this income group receiving the stimulus payment.
Household Income Level | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Household Income Level That Received a Stimulus Payment |
---|---|---|---|---|---|
Less than $25,000 | 35,332,289 | 14.2% | 30,773,112 | 14.6% | 87.1% |
$25,000-$34,999 | 26,802,457 | 10.8% | 24,990,263 | 11.8% | 93.2% |
$35,000-$49,999 | 27,962,797 | 11.2% | 26,067,884 | 12.3% | 93.2% |
$50,000-$74,999 | 38,774,009 | 15.6% | 36,185,495 | 17.1% | 93.3% |
$75,000-$99,999 | 28,285,867 | 11.4% | 26,315,108 | 12.5% | 93.0% |
$100,000-$149,999 | 30,532,645 | 12.3% | 26,643,279 | 12.6% | 87.3% |
$150,000-$199,999 | 13,100,943 | 5.3% | 9,780,316 | 4.6% | 74.7% |
$200,000 and above | 14,748,335 | 5.9% | 4,285,223 | 2.0% | 29.1% |
Did not report | 33,631,575 | 13.5% | 26,298,197 | 12.4% | 78.2% |
Total | 249,170,917 | 100.0% | 211,338,877 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Survey respondents were adults aged 18 years and older and were asked “In 2019 what was your total household income before taxes? Select only one answer.” a. Includes households that responded that they plan to receive a stimulus payment. |
Household Size
Table 4 provides estimates of the distribution of stimulus payment recipients by household size, as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by size (the first three columns). This table illustrates, for example, that households composed of one person make up 7.9% of all households, and 7.6% of all stimulus payment recipient households, with 82.2% of households in this size group receiving the stimulus payment.
Household size | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Household Size That Received a Stimulus Payment |
---|---|---|---|---|---|
1 person | 19,645,749 | 7.9% | 16,151,237 | 7.6% | 82.2% |
2 people | 74,872,999 | 30.0% | 63,012,366 | 29.8% | 84.2% |
3 people | 47,391,960 | 19.0% | 40,810,072 | 19.3% | 86.1% |
4 people | 47,188,636 | 18.9% | 39,960,738 | 18.9% | 84.7% |
5 people | 26,544,953 | 10.7% | 22,285,155 | 10.5% | 84.0% |
6 people | 13,331,609 | 5.4% | 11,480,185 | 5.4% | 86.1% |
7 or more people | 20,195,010 | 8.1% | 17,639,123 | 8.3% | 87.3% |
Total | 249,170,916 | 100.0% | 211,338,876 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Survey respondents were adults aged 18 years and older and were asked “How many total people — adults and children — currently live in your household, including yourself? Please enter a number.” a. Includes households that responded that they plan to receive a stimulus payment. |
Presence of Children Under 18 Years Old
Table 5 provides estimates of the distribution of stimulus payment recipients by whether a child under 18 years old was present in the household as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by presence of children under 18 years old (the first three columns). This table illustrates, for example, that households with at least one child under 18 years old make up 39.4% of all households, and 39.7% of all stimulus payment recipient households, with 85.5% of households with children under 18 years old receiving the stimulus payment.
Presence of children under 18 years old | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Presence of Children That Received a Stimulus Payment |
---|---|---|---|---|---|
Children | 98,155,716 | 39.4% | 83,916,154 | 39.7% | 85.5% |
No children | 151,015,200 | 60.6% | 127,422,723 | 60.3% | 84.4% |
Total | 249,170,916 | 100.0% | 211,338,877 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9-14. Notes: Survey respondents were adults aged 18 years and older and were asked “How many people under 18 years-old currently live in your household? Please enter a number.” a. Includes households that responded that they plan to receive a stimulus payment. |
Hispanic Origin and Race
Table 6 provides estimates of the distribution of stimulus payment recipients by Hispanic origin and race, as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by Hispanic origin and race (the first three columns). For the purposes of these estimates, the Hispanic origin and race of the household reflects the Hispanic origin and race of the adult (aged 18 and older) in the household who responded to the survey. This table illustrates, for example, that Hispanic households (of any race) make up 16.9% of all households, and 16.4% of all stimulus payment recipient households, with 82.5% of Hispanic households receiving the stimulus payment.
Hispanic Origin and Race | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Hispanic Origin and Race That Received a Stimulus Payment |
---|---|---|---|---|---|
Hispanic (any race) | 42,094,505 | 16.9% | 34,733,719 | 16.4% | 82.5% |
White alone, not Hispanic | 156,021,220 | 62.6% | 132,849,407 | 62.9% | 85.1% |
Black alone, not Hispanic | 29,051,400 | 11.7% | 25,774,956 | 12.2% | 88.7% |
Asian alone, not Hispanic | 11,677,306 | 4.7% | 9,028,531 | 4.3% | 77.3% |
Two or more races + other races, not Hispanic | 10,326,484 | 4.1% | 8,952,262 | 4.2% | 86.7% |
Total | 249,170,915 | 100.0% | 211,338,875 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9-14. Notes: Survey respondents were adults aged 18 years and older and were asked “Are you of Hispanic, Latino, or Spanish origin?” and “What is your race? Please select all that apply.” a. Includes households that responded that they plan to receive a stimulus payment. |
Education
Table 7 provides estimates of the distribution of stimulus payment recipients by education level as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by education level (the first three columns). For the purposes of these estimates, the education level of the household reflects the education level of the adult (aged 18 and older) in the household who responded to the survey. This table illustrates, for example, that households with less than a high school education make up 9.0% of all households, and 8.5% of all stimulus payment recipient households, with 79.8% of households with less than a high school education receiving the stimulus payment.
Education Level | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Education Level That Received a Stimulus Payment |
---|---|---|---|---|---|
Less than high school | 22,542,105 | 9.0% | 17,988,049 | 8.5% | 79.8% |
High school or GED | 75,080,406 | 30.1% | 67,061,819 | 31.7% | 89.3% |
Some college/associate's degree | 75,921,633 | 30.5% | 66,873,001 | 31.6% | 88.1% |
Bachelor's degree or higher | 75,626,773 | 30.4% | 59,416,007 | 28.1% | 78.6% |
Total | 49,170,917 | 100.0% | 211,338,876 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Survey respondents were adults aged 18 years and older and were asked “What is the highest degree or level of school you have completed? Select only one answer.” a. Includes households that responded that they plan to receive a stimulus payment. |
Health Status
Table 8 provides estimates of the distribution of stimulus payment recipients by health status as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by health status (the first three columns). For the purposes of these estimates, the health status of the household reflects the health status of the adult (aged 18 and older) in the household who responded to the survey. This table illustrates, for example, that households with excellent health status make up 15.1% of all households, and 13.7% of all stimulus payment recipient households, with 76.6% of households with excellent health status receiving the stimulus payment.
Health status | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Health Status That Received a Stimulus Payment |
---|---|---|---|---|---|
Excellent | 37,730,647 | 15.1% | 28,915,963 | 13.7% | 76.6% |
Very good | 72,557,427 | 29.1% | 61,054,439 | 28.9% | 84.1% |
Good | 71,663,806 | 28.8% | 63,406,519 | 30.0% | 88.5% |
Fair | 35,107,276 | 14.1% | 31,910,598 | 15.1% | 90.9% |
Poor | 9,964,479 | 4.0% | 8,878,678 | 4.2% | 89.1% |
Did not report | 22,147,281 | 8.9% | 17,172,680 | 8.1% | 77.5% |
Total | 249,170,916 | 100.0% | 211,338,877 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9 - 14. Notes: Survey respondents were adults aged 18 years and older and were asked “Would you say your health in general is excellent, very good, good, fair, or poor? Select only one answer.” a. Includes households that responded that they plan to receive a stimulus payment. |
Age
Table 9 provides estimates of the distribution of stimulus payment recipients by age, as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by age (the first three columns). For the purposes of these estimates, the age of the household reflects the age of the adult (18 years or older) in the household who responded to the survey. This table illustrates, for example, that 18-24 year olds make up 9.0% of all households, and 7.9% of all stimulus payment recipient households, with 73.8% of 18-24 year-old households receiving the stimulus payment.
Age | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Age That Received a Stimulus Payment |
---|---|---|---|---|---|
18-24 | 22,542,371 | 9.0% | 16,625,159 | 7.9% | 73.8% |
25-39 | 68,881,514 | 27.6% | 61,978,701 | 29.3% | 90.0% |
40-54 | 61,742,504 | 24.8% | 51,481,350 | 24.4% | 83.4% |
55-64 | 43,502,776 | 17.5% | 36,756,096 | 17.4% | 84.5% |
65 and over | 52,501,752 | 21.1% | 44,497,571 | 21.1% | 84.8% |
Total | 249,170,917 | 100.0% | 211,338,877 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9-14. Notes: Survey respondents were adults aged 18 years and older and were asked “Age of the adult in the household who responded to the survey.” a. Includes households that responded that they plan to receive a stimulus payment. |
Gender
Table 10 provides estimates of the distribution of stimulus payment recipients by gender as well as estimates of the distribution of all households (recipients, nonrecipients, and nonresponders) by gender (the first three columns). For the purposes of these estimates, the gender of the household reflects the gender status of the adult (18 years or older) in the household who responded to the survey. This table illustrates, for example, that male households make up 48.4% of all households, and 47.7% of all stimulus payment recipient households, with 83.6% of male households receiving the stimulus payment.
Gender | All Households | Percentage of All Households | Households That Received a Stimulus Paymenta | Percentage of All Households That Received a Stimulus Payment | Percentage of Households by Gender That Received a Stimulus Payment |
---|---|---|---|---|---|
Male | 120,531,610 | 48.4% | 100,737,644 | 47.7% | 83.6% |
Female | 128,639,306 | 52.6% | 110,601,232 | 52.3% | 86.0% |
Total | 249,170,916 | 100% | 211,338,876 | 100.0% | 84.8% |
Source: CRS tabulations of the Census Bureau's Household Pulse survey for the week of July 9-14. Notes: Survey respondents were adults aged 18 years and older and were asked “Are you... [male/female] Select only one answer.” a. Includes households that responded that they plan to receive a stimulus payment. |
Author Information
Mark P. Keightley
Specialist in Economics
Disclaimer
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FOOTNOTES
1In the law, the payments are referred to as “2020 recovery rebates.”” The Internal Revenue Service (IRS) refers to the payments issued in 2020 as economic impact payments (EIPs).
2United States Census Bureau, Household Pulse Survey: Measuring Social and Economic Impacts during the COVID-19 Pandemic, https://www.census.gov/programs-surveys/household-pulse-survey.html.
3A copy of the survey used from June 11 through July 14 (Week 11) may be found at https://www2.census.gov/ programs-surveys/demo/technical-documentation/hhp/2020_COVID-19_Household_Pulse_Survey-Week-of-6_11_2020_English.pdf.
4United States Census Bureau, Source of the Data and Accuracy of the Estimates for the 2020 Household Pulse Survey, https://www2.census.gov/programs-surveys/demo/technical-documentation/hhp/Source-and-Accuracy-Statement-July-9-July-14.pdf.
END FOOTNOTES
- AuthorsKeightley, Mark P.
- Institutional AuthorsCongressional Research Service
- Subject Area/Tax Topics
- Jurisdictions
- Tax Analysts Document Number2020-28819
- Tax Analysts Electronic Citation2020 TNTF 145-14