It's all part of a $17 billion relief package that will also suspend the state's sales tax on diesel fuel and provide additional funds to help people with rent and utility bills, Newsom and Senate President Pro Tempore Toni G. Atkins and Assembly Speaker Anthony Rendon said in a statement.
The relief checks are designed to help residents cope with "global inflation and rising prices of everything from gas to groceries," according to lawmakers.
Here's how it would work.
Where is the money coming from?
The checks function as tax refunds and come from the state's record-setting $97 billion budget surplus.
The payments will be similar to the stimulus checks sent by the federal government during the COVID-19 pandemic, meaning they will be based on factors such as your income, tax-filing status, and number of people in your household.
Lower- and middle-income Californians will receive the most money, while higher-income residents will receive smaller payments.
How much will I get?
Here's a breakdown per CalMatters:
- If you make less than $75,000: $350
- If you make between $75,000 and $125,000: $250
- If you make between $125,000 and $250,000: $200
Single taxpayers with dependents
- If you make less than $75,000: Additional $350
- If you make between $75,000 and $125,000: Additional $250
- If you make between $125,001 and $250,000: Additional $200
- If you make up to $150,000: $700
- If you make between $150,000 and $250,000: $500
- If you make between $250,000 and $500,000: $200
Joint filers with dependents
- If you make up to $150,000: Additional $350
- If you make between $150,000 and $250,000: Additional $250
- If you make between $250,000 and $500,000: Additional $200
What if I earn more than the threshold?
Single filers making more than $250,000 and joint filers making more than $500,000 are not eligible for payments.
When will I get paid?
Checks will be sent via direct deposit or debit cards by late October, according to local station KCRA.