Why is there so much misinformation out there about child support? Mostly because people hear a jumble of different stories that are only partially true or lack important facts. Your friend isn’t going to tell you the parts of their story that don’t reflect well on them. You’ll always get less than the entire story. There is no one rule: every support case is different. We’re here to expose common Pennsylvania child support myths and the proven reality. 1. Child support can only be used for expenses directly related to the child. Contrary to popular belief, child support payments can be used for any expense related to the child, even if those expenses also benefit the custodial parent. It is a widely held misconception that child support payments can only be used for covering a child’s bare necessities, such as housing and food. 2. The parent receiving child support must prove they are spending the money only on the child. Except for rare instances, the courts do not require the custodial parent to prove how the payments are spent. The courts see monitoring the spending of child support payments as an invasion of privacy and too time-consuming. Since the custodial parent has taken on the task of attending to the day-to-day needs of the child, it is assumed that the money is being spent responsibly. This may not be the case if the child’s basic needs are being neglected. 3. A father cannot be ordered to pay child support unless his name is on the birth certificate. The biological father has a duty of child support. Whether that person’s name is on the birth certificate is not determinative of parenthood. Amending the birth certificate is a matter totally separate from child support. 4. If my child's other parent does not pay child support, I do not have to let him or her see our child, Under Pennsylvania law, the duty to pay child support and the right to maintain contact with one's child are NOT linked. This means that even if you are not seeing your child, you still must pay child support and that a parent can see his or her child even if he/she fails to make child support payments. 5. Child support orders may not be changed. Family law courts in Pennsylvania know that life can change unexpectedly for adults. As such, parents can seek a support order modification under certain significant circumstances. For example, if the paying parent loses a job, the court may temporarily lower their support payments. If the income of either parent changes significantly, the order can be increased or decreased accordingly. 6. Child support covers a child’s every need. Unfortunately, this is not always the case. Often, the supporting parent may not earn enough to cover every single need a child may have. However, since both parents must support their children, the custodial parent also contributes to the care of each child. For example, the custodial parent may have to cover the costs of extracurricular activities. 7. Parents can set the amount of child support. Family courts take an active role in determining the noncustodial parent’s support obligations. They take many factors into account when arriving at a monthly figure, including each parent’s income, expenses, and other financial matters. Unless they offer to pay more than the court has ordered, parents cannot override a court’s support decision. 8. Joint custody means no one pays child support. In Pennsylvania, there are two types of custody: legal and physical. Typically, divorced parents share parenting time and have “joint legal custody.” Legal custody is the right to make decisions about the child or children’s residence, religion, recreation, education or daycare, and non-emergency medical treatment. Physical custody is also called “timesharing” or “periods of responsibility “is the actual time that the child or children spend time with each parent. The primary custodial parent usually spends more time with the child or children. Child support is based on two things: the parents’ combined income and the amount of time spent with each parent. This is why in Pennsylvania one parent will owe child support to the other parent even if they have joint custody. Only in cases where both parents earn the same amount and pay the same amount (for things like insurance, daycare, school, etc.) and have the child or children for the same number of days each week or month will there be no child support paid. Separating fact from fiction in a child support case can be difficult. We encourage you to consult with one of Fiffik Law Group’s experienced child support lawyers to discuss all your options if you have an issue paying or receiving child support. We have more than 40 years of experience guiding parents through family court and helping them establish and modify child support orders.

The Damaging Effects of Divorce Misconduct While some couples split amicably and try to compromise, many divorces are contentious. Perhaps you or your spouse are angry about the divorce or are caught off guard. The divorce proceeding can bring old resentments to the surface. You may even feel justified in this poor treatment if infidelity or abuse was a factor in the demise of your marriage. As a result, they may seek revenge and make the divorce process as nasty and complicated as possible. It is natural to feel angry during your divorce, but keep in mind that unleashing your anger can be detrimental to your case and make it more costly. Here are a few of the possible consequences of bad behavior and why you should avoid them. Longer and More Expensive Case Divorce is disruptive and expensive enough. The last thing that you should want to do is prolong the trauma and increase the expense. Those are the two consequences of engaging in bad behavior. Although it may feel good in the moment, that feeling will dissipate very quickly and it will cause an equal reaction from your soon-to-be ex-spouse. That will just make your case go longer and be that much more expensive. You need your emotional energy and bank account to start rebuilding your life. Don’t waste either by engaging in a contentious divorce case. Denial of Custody Requests The court prefers to award joint custody, as it is believed to be in the best interest of the children. However, the court can and will award sole custody and limit visitation under certain circumstances. In addition to instances of abuse and neglect, the court may deny you custody if you try to alienate your child against the other parent. Placing the child at the center of disputes is also frowned upon, as it places undue stress on the child while also affecting their relationship with your ex-spouse. Additionally, anything that calls into question your parenting ability can also be used against you. Reduced Assets and Spousal Support Asset division, spousal support, and alimony are particularly divisive when it comes to divorce. While the court believes in making these decisions fairly, your conduct can directly impact them. For example, if you make claims that affect your spouse’s professional reputation or earning capability, the amount of spousal support or alimony that you receive can be reduced. Your soon-to-be ex-spouse can also use your behavior to argue that they deserve a greater share of the assets, and depending on the circumstances they might be successful. Increased Stress and Anxiety In addition to the impact on your court case, bad behavior towards your spouse will also impact you personally. A divorce is one of the most emotional events a person can go through. Ending a marriage—possibly a relationship that lasted decades—is no minor thing. Going from married life to single life can be scary. Settling all the major issues takes an emotional toll on a person. Excessive negativity tends to make you more cynical, hostile, causing you to distort the truth and break the cycle into something more positive. In short, it tends to prevent your ability to move on with your life. Keep negative statements to yourself, both in real life and online. In recent years, many courts have accepted statements made on social media as evidence in court cases, including divorces. Be respectful and civil to ensure your point of view has merit. If you’re thinking about divorce or have already been served with the divorce papers, our experienced and trustworthy divorce lawyers at Fiffik Law Group are here to help. Our lawyers have provided guidance to thousands of clients and we’re ready to bring that experience to bear in your case. Contact us today.

Once you turn 65, there’s a 70% chance that you’re going to need some kind of long-term care and supports for your remaining years. Medicare, Medicaid, and most private health and disability income insurances often do not pay for extended care expenses (unless you meet certain qualifications). How will you pay for what is not covered by a government benefit? That’s where long-term care insurance comes in. Buying long-term care insurance is one way to prepare. Long-term care refers to a host of services that aren’t covered by regular health insurance. This includes assistance with routine daily activities, like bathing, dressing, or getting in and out of bed. It can cover: In-home care. Assisted living and nursing home care. Adult daycare. Home modifications—like wheelchair ramps, grab bars, and railings. Assistance with day-to-day activities (think getting dressed, bathing, eating, and more). Why You Should Consider Long-Term Care Insurance People buy long-term care insurance for two reasons: To protect savings. Long-term care costs can deplete a retirement nest egg quickly. Long-term care is quite expensive. If you’re required to pay out of pocket, it can drain your savings very quickly. Here are the average monthly costs for assisted living and skilled nursing facilities in Pennsylvania (2020). To give you more choices for care. The more money you can spend, the better the quality of care you can get. If you have to rely on Medicaid, your choices will be limited to the nursing homes that accept payments from the government program (not all nursing homes accept Medicaid). Medicaid doesn’t pay for assisted living in many states. Long Term Care Calculator How Long-Term Care Insurance Works Under most long-term care policies, you’re eligible for benefits when you can’t do at least two out of six “activities of daily living,” called ADLs, on your own or you suffer from dementia or other cognitive impairment. The activities of daily living are: Bathing. Caring for incontinence. Dressing. Eating. Toileting (getting on or off the toilet). Transferring (getting in or out of a bed or a chair). When you need care and want to make a claim, the insurance company will review medical documents from your doctor and may send a nurse to do an evaluation. Before approving a claim, the insurer must approve your plan of care. Under most policies, you’ll have to pay for long-term care services out of pocket for a certain amount of time, such as 30, 60, or 90 days, before the insurer starts reimbursing you for any care. This is called the “elimination period.” The policy starts paying out after you’re eligible for benefits and usually after you receive paid care for that period. Most policies pay up to a daily limit for care until you reach the lifetime maximum. As you make a long-range financial plan, the potential cost of long-term care is one of the important things you’ll want to consider. To begin your plan with one of our eldercare attorneys, reach out here. Continue Reading Below to Determine Your Medicare Eligibility for 2021 Residency and Citizenship – the applicant must be a Pennsylvania resident and a U.S. citizen or have proper immigration status. Age/Disability – the applicant must be age 60 or older, or blind, or disabled. The applicant must meet certain medical requirements consistent with the level of care requested. Persons must need care for thirty (30) consecutive days. In Pennsylvania, before admittance to a nursing home, there is a Pre-Admission Screening and Resident Review (PASRR). PASRR screening determines whether or not an applicant meets the nursing home level of care and also whether a specific facility can meet their needs. Income Limitations – If single, the applicant’s monthly income (wages, Social Security benefits, pensions, veteran’s benefits, annuities, SSI payments, IRAs, etc.) must be no higher than 300% of the Federal Benefit Level ($2,382) to become eligible for Medicaid. Income that is not considered countable includes a personal needs allowance of $45.00/month per individual. Asset Limitations (Exempt vs. Available) – Medicaid divides assets into two categories: Exempt and Available. Exempt assets are specifically designated under the rules, and ownership of an exempt asset by the applicant will not result in a denial of benefits. If an asset is not listed as exempt then it needs to be liquidated and applied toward the costs of nursing home care before the applicant can receive Medicaid benefits. The state has a look-back period of 5 years with a penalty for people who sell assets below fair market price, transfer assets to others, or give money and property away. Basically, all money and property, and any item that can be valued and turned into cash, is a countable asset unless it is listed as exempt. Exempt Assets in 2021 for an applicant in Pennsylvania include: $2,000 or less in cash/non-exempt assets if single. Pennsylvania adds a $6,000 disregard to the asset limit if a Medicaid recipient’s monthly income is below $2,199. If the assets exceed the limit on the first of the month the applicant is ineligible for the entire month. For persons who have a monthly income above $2,382, but are medically needy (MNO-MA) with medical expenses that exceed their income, the asset limitation is set at $2,400. One home is exempt (equity limit $603,000) if planning to return, a spouse, a child under 21, or a disabled person resides in it. Whenever an institutionalized person sells a previously exempted residence, the money from the sale becomes a countable asset. The recipient may then lose eligibility for Medicaid until he/she has spent down the money and their countable resources are once again less than the maximum. One automobile, no equity amount specified. Irrevocable burial trust, no amount specified. Non-saleable property, household furnishings, furniture, clothing, jewelry, and other personal effects are not counted. Value of life insurance if face value has no cash value. Non-resident property essential to self-support (i.e. rental property) if monthly revenue is below income limitations. Spousal Rules for 2021: Amount of assets the community spouse may retain: The community spouse can keep non-exempt resources owned by one or both spouses with a maximum of $130,380. If the community spouse’s assets do not equal the minimum of $26,076, the community spouse is able to retain assets from the institutionalized spouse until the minimum is reached. Community spouse impoverishment protection: The community spouse can keep part of the institutionalized spouse’s income if the community spouse has a monthly income of less than $2,155. The maximum amount of income that can be retained is $3,259.50 varying by case, depending on unique living expenses. If applicable, up to $609.00 in home maintenance and a $570 utility allowance including heat are not figured into the total.

March 9, 2016 A Philadelphia area lab technician suffered a lower back injury from lifting heavy bags at work. After seeing the correct medical professionals and following the necessary steps to collect her workers' compensation, the employee was asked to seek further medical diagnosis. When the employer's independent examinations came with a threat to reduce her wage-loss benefits, the employee contacted Attorney Michael E. Fiffik and her case was resolved with a settlement of $155,000. #settlement #workerscompensation

We are bombarded with advertisements about auto insurance. Many times, a very important but basic concept about auto insurance gets lost in those advertisements. The primary purpose of auto insurance is to protect you or a member of your family against financial loss in the event of an accident. Protecting you should be the focus of auto insurance. Advertising lines like “we keep you legal for less” (Safe Auto) or “only pay for what you need” (Liberty Mutual) redirect your focus mostly to price rather than what’s most important – protecting you and your family. We like saving money as much as the next person but not at the expense of our families. That’s especially true as auto accidents and costs of claims have steadily risen over the last decade. Added to the increased risk are accidents due to cell phones and legalization of marijuana. The question is not if but when you’ll be involved in an accident and need the protection of good insurance. Let us put help you put your money where our advice is. Here are some tips for trimming your auto insurance bill so that you can afford better coverage for your family. Improve your credit What does your credit score have to do with car insurance? Your credit is a big factor when car insurance companies calculate how much to charge. It can count even more than your driving record in some cases. Having a poor credit score could mean paying more for auto insurance. It’s a good idea to check your credit score when shopping for car insurance and, if necessary, take steps to improve it. Paying your bills on time is the biggest factor in your credit score, but there are several other steps you can take to raise your credit score—and potentially reduce your auto insurance premiums. LegalShield members can work with their provider law firms to request a copy of their credit report and dispute errors or challenge negative comments from creditors. If successful, these efforts can increase your credit score. Drop car insurance you don’t need If you’ve got an older car in the household, it might be time to drop collision and comprehensive insurance, which pay for damage to your vehicle. Collision insurance pays to repair damage to your car if it crashes into another vehicle or object, or flips over. Comprehensive insurance pays if your car is stolen or damaged by storms, vandalism or by hitting an animal such as a deer. Collision and comprehensive never pay out more than the car is worth. If your car is worth less than your deductible plus the amount you pay for annual coverage, then it’s time to drop them. Evaluate whether it’s worth paying for coverage that may reimburse you only a small amount, if anything. If you drop collision and comprehensive, set aside the money you would have spent in a fund for car repairs or a down payment on a newer car once your clunker conks out. We’d be happy to review your auto insurance and make suggestions for savings and better coverage. Request an auto insurance review here. Review changes in your circumstances with your agent. Did you know that where you live affects your car insurance premiums? Factors such as the density of local traffic, frequency of accidents in your area, length of your commute and rates of crime involving cars all have an impact on the risk you present to your insurance company. This fact emphasizes the importance of updating your information if you happen to move or change jobs. You might be in for a rate reduction that you did not expect. Seek Savings on Other Coverages Set the deductible right. Raising your comprehensive and collision deductibles to $1,000 from $500 can shave, on average, 11 percent off your premium, says research by the search engine The Zebra. Just make sure you can afford to pay the deductible if your luck runs out. Forgo rental-reimbursement coverage. If you have another car you can use while your vehicle is being repaired, you don’t need to buy this. And skip roadside assistance if you have an auto-club membership that’s a better deal—or if it comes as part of your car’s warranty. Review personal injury protection and medical payments coverage. Forget it if you have good health coverage; keep it if you don’t or if your usual passengers might not be well-insured. Don’t drive a lot? Consider usage-based insurance If you don’t drive much, consider an insurer that offers a usage-based or pay-per-mile driving program. These policies base rates in part on how much you drive and, in some cases, how well you drive. To participate, you install a small device in your car that transmits data to the insurance company. You score a discount for low mileage and, with many programs, safe driving habits. Several insurers offer usage-based insurance programs. With these programs, the insurers track your driving habits such as speeding and hard braking and offer discounts or reduced rates for safe driving. In some cases you can get a discount just for signing up. Try some or all of these tips and see if your insurance bill goes down. If it does, we encourage you to invest some of the savings in better coverage to protect your family.

On April 22, 2021 the U.S. Small Business Administration (“SBA”) launched a new round of Economic Injury Disaster Loan (“EIDL”) assistance: Supplemental Targeted Advances. You can read the SBA’s April 23, 2021 press release here. The Supplemental Targeted Advance program is expected to provide up to 1 million qualifying small businesses and nonprofit organizations with a supplemental payment of $5,000. This $5,000 should not need to be repaid. Qualifying small businesses (1) must be located in a low-income community, (2) must be able to prove more than a 50% economic loss during an eight-week period beginning on March 2, 2020, or later, and (c) must have 10 or fewer employees. The combined amount of the Supplemental Targeted Advance ($5,000) with any previously received EIDL Advance or Targeted EIDL Advance ($10,000) will not exceed $15,000. To learn more about the Supplemental Targeted Advance program, visit SBA.gov/eidl.

A federal judge on Wednesday vacated a nationwide freeze on evictions that was put in place by federal health officials to help cash-strapped renters remain in their homes during the pandemic. In a 20-page ruling, U.S. District Court Judge Dabney Friedrich ruled that the agency exceeded its authority with the temporary ban. “The question for the court is a narrow one: Does the Public Health Service Act grant the C.D.C. the legal authority to impose a nationwide eviction moratorium?” wrote Friedrich, a one-time staff member to former Senator Orrin Hatch and was appointed to the court in 2017. “It does not.” The CARES Act, passed in March 2020, included a 120-day moratorium on evictions from rental properties participating in federal assistance programs or underwritten by federal loans. This moratorium, which had been extended, was scheduled to end on June 30. It is unclear what will happen now. While federal and local eviction moratoriums have helped keep people in their homes during the pandemic, back rent continued to pile up. The nation’s renters owed an estimated $57 billion in back rent in January, according to a Moody’s Analytics report. Congress included $25 billion for rental assistance in its December stimulus package and provided another $27 billion in the American Rescue Plan Act that passed in March. Stay tuned for additional developments. Our experienced team of real estate attorneys can help you understand your rights whether you are a landlord or tenant. #evictionban #evictionmoratorium #evictionpa #tenanteviction #evictionphiladelphia #evictionbanpa #evictionpittsburgh #evictionrelief

Registration for the Restaurant Revitalization Fund (RRF) is now open with the SBA Restaurants and other food providers hard-hit during the COVID-19 pandemic can now apply for direct aid to help them recover after more than a year of government-imposed closures and dramatic reductions in sales. The RRF will award restaurants with grants equal to their pandemic-related revenue loss, up to $10 million per business and no more than $5 million per physical location. If you received a Paycheck Protection Program loan, you may still be eligible to received a grant under the RRF program. Awardees must use all Restaurant Revitalization funds by March 11, 2023 on eligible expenses incurred beginning on February 15, 2020 and ending on March 11, 2023. Because the program is a grant, the money does not need to be paid back unless the funds are unused or used for non-eligible expenses. Eligible entities for the RRF include the following: Restaurants; Food stands, food trucks, and food carts; Caterers; Bars, saloons, lounges, and taverns; Snack and nonalcoholic beverage bars; Bakeries, brewpubs, tasting rooms, taprooms, breweries, microbreweries, wineries, and distilleries at which on-site sales to the public comprise at least 33% of the gross receipts; Inns at which on-site sales of food and beverages to the public comprise at least 33% of gross receipts; and Licensed facilities or premises of a beverage alcohol producer where the public may taste, sample, or purchase products. Applications Open May 3 at Noon EST The SBA will begin accepting applications via the application portal on Monday, May 3 at 12 p.m. EDT. The application portal will remain open to any eligible establishment until all funds are exhausted. In preparation, qualifying applicants should familiarize themselves with the application process in advance to ensure a smooth and efficient application. In addition to registering at the portal, follow the steps below. If you are working with Square or Toast, you do not need to register. Review the sample application, program guide and cross-program eligibility chart on SBA COVID-19 relief options. SBA also added screenshots of the application portal that are available here. Applications must be submitted in English or Spanish. SBA has documents in additional languages to help you understand eligibility requirements, fill out applications, and answer frequently asked questions. See the additional languages and materials here. If you were unable to attend one of the SBA webinars held earlier this week which covered program details and a demonstration of the application portal, you can watch the recording here. For more information, visit sba.gov/restaurants. Complete RRF program guidelines can be found here. #smallbusinesstips #sbagrants #rrfgrant #rrfsba #restaurantgrant #restaurantcovidrelief #rrfgrants #smallbusinessattorney #restaurantsba #restaurantrevitalizationfund #smallbusinessadvice #rrf

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How do you get over your home burning down? Residential fires can lead to significant emotional distress and physical injuries. Losing your home in a fire involves not only the loss of your residence, but also many other things of value such as photo albums, important documents, and treasured objects. Most importantly, though, your home is your place of security, comfort, and safety. Burned by Their Insurance Company Our clients found themselves in this nightmare situation.  What made it even worse was that their insurance company denied their claim.  When such an event occurs, we expect our insurance carrier to accurately assess the damage and pay us the full extent of our claimed loss. Unfortunately, insurers are not so ready to pay a loss if they suspect arson or some other event was the cause and is one that your policy will not cover. Our clients were not at home at the time of the fire, thankfully.  But circumstances were such that their insurer accused them of planning the fire.  It is common for victims of house fires to experience several stages of adjustment including shock, anger, depression, and hopelessness.  In the context of their emotional process dealing with the fire, the insurer’s decision was devastating.  Thankfully they retained Attorney Matthew Bole to fight the insurance company’s denial. Fire insurance claims can be frustrating and complicated. Insurance companies often deny all or part of the claim or stonewall policyholders while they endlessly investigate. During this process, it is important to have an attorney to not only negotiate the best value of your house and assets, but also to protect you from adversarial investigations. For example, insurance companies may request personal information, such as phone records and text messages, that can feel like an unnecessary invasion of privacy. Attorneys can protect you from having to disclose these things that can make an already-traumatic situation even worse. Matt was able to fight the insurance company and eventually our clients received the full market value of their house and its contents. Bad Faith Claims Insurance companies owe you a duty or implied covenant to act in good faith, which means acting fairly. If it fails to do so, you may have a right to damages for breach of contract and under tort law principles. Examples of failing to act in good faith when denying a fire damage claim include: Misrepresenting facts Unreasonably delaying or failing to provide a reason for the denial Failing to conduct an investigation or performing an inadequate one Basing a denial on suspicion alone without either direct or substantial circumstantial evidence Not attempting to settle your claim or to offer a reasonable settlement despite sufficient evidence justifying your damages Misleading you on the statute of limitations or a policy provision Threatening you if you advise them you are seeking legal counsel These are just some examples of what insurers have done to unjustly deny legitimate claims or submit  low ball settlement offers to claimants. Call attorney Matthew Bole if you are experiencing difficulties with your insurance company regarding your fire or other loss claim. #insurancedenial #firedamageclaim #housefire #fireinsuranceclaim #housefireattorney #fireinsurancedenail #homeinsuranceclaim #insurance #fireinsuranceattorney

The IRS has issued all 2020 Economic Impact Payments (“Stimulus Checks”). Most individuals eligible for the Recovery Rebate Credit have already received the full amount in two rounds of payments, known as Economic Impact Payments. If you didn’t get your Stimulus Check or got less than the full amounts, there’s a way that you can still get your money. The IRS is offering you a “Recovery Rebate Credit” as a way of getting you the benefit of the Stimulus Check that you did not received.  If you’re eligible for the credit, and either the IRS didn’t issue you any Stimulus Check or they issued less than the full amounts, you must file a 2020 tax return to claim the Recovery Rebate Credit even if you are not required to file a tax return for 2020. You will need to know the amount of any Stimulus Checks issued to you to claim the Recovery Rebate Credit. If you’re eligible for the Recovery Rebate Credit on your 2020 tax return, it will be reduced by any Stimulus Checks already issued to you. Always be complete and accurate when you file a return. #stimuluseligibility #stimulus2021 #stimulus #stimuluspayment #stimuluschecks #stimulusupdate

President Biden signed the American Rescue Plan into law on March 11, 2021. One of the central pieces of the American Rescue Plan is a third round of ‘stimulus checks’. Officially referred to as 2021 Recovery Rebates, the latest round of stimulus checks serves as an advance receipt of a 2021 income tax credit. There are a number of important differences between 2021 Recovery Rebates and prior COVID Relief rebates. Stimulus Eligibility The payments are worth up to $1,400 for individuals earning an adjusted gross income of up to $75,000 in 2019 or 2020, and $2,800 for married couples earning up to $150,000, plus $1,400 for dependents. For anyone making more than that, the size of the check is gradually reduced, hitting $0 at $100,000 AGI for singles and $200,000 for couples. Stimulus Multiplier The ‘Base Amount’ of a taxpayer’s 2021 payment is calculated by multiplying $1,400 times the total number of eligible individuals in a single household, which includes not just taxpayers themselves but also any dependents claimed by the eligible taxpayer. Example 1: Sue and Rich are a married couple who file a joint income tax return. They have a 19-year-old son in college, and a 13-year-old daughter in middle school, both of whom are dependents. Accordingly, the ‘Base Amount’ of Sue and Rich’s 2021 Recovery Rebate is 4 × $1,400 = $5,600. The criteria to determine the number of individuals eligible for the rebate is one of the key differences between the 2021 Recovery Rebate and its 2020 predecessors, as the ‘Base Amount’ for both of last year’s 2020 Recovery Rebates was calculated using only the number of taxpayers and the taxpayer’s children for whom a Child Tax Credit could be claimed (under age 17). The change is a big ‘win’ for parents with older dependent children (age 16 and older), such as those who are in their final years of high school or in college. Additionally, taxpayers who claim older disabled children or elderly and/or infirm family members as dependents will also benefit from the revised criteria for Recovery Rebate eligibility. Example 2: Caryn is a single taxpayer. She lives with her four-year-old son and her 81-year-old mother, both of whom she claims as dependents. Accordingly, the ‘Base Amount’ of Caryn’s 2021 Recovery Rebate is 3 × $1,400 = $4,200. Other Highlights Other highlights related to individuals in the legislation include: Taxation of unemployment compensation—Create a tax exclusion for unemployment compensation (not to exceed $10,200) received in 2020 for households with AGI of less than $150,000. Child tax credit (CTC)—For 2021, increase the CTC to $3,000 ($3,600 for certain children under the age of six years), expand refundability, and expand application to U.S. territories. Earning income tax credit (EITC)—Expand the EITC for certain childless individuals for 2021; expand application in U.S. possessions; modify credit for certain separated spouses; and make other modifications. Child and dependent care tax credit—For 2021, expand the credit for workers with $185,000 or less in income and reduce the credit for those with over $400,000 of income (fully phasing out for those with income over $440,000), and increase refundability. Employer-provided dependent care assistance—For 2021, increase the maximum amount of qualifying child-care expenses that eligible taxpayers may exclude from income from $5,000 to $10,500. #stimuluseligibility #stimulus2021 #stimulus #stimuluspayment #stimuluschecks #americanrescueplan #stimulusupdate