COVID-19 Essential Employee Premium Pay Program

This program distributed $500 million to lower-wage frontline workers who put themselves at risk with admirable commitment to their communities.

This program distributed $500 million to lower-wage frontline workers who put themselves at risk with admirable commitment to their communities.

On December 13, 2021, Governor Baker signed into law the COVID-19 Essential Employee Premium Pay program. The Legislature allocated $460 million for premium payments to Massachusetts workers. 

The law provided for the Administration to design the program and develop eligibility parameters that will ensure this critical support is provided quickly to deserving workers across the Commonwealth. 

$500 payments were delivered to nearly 240,000 people in March 2022 in the first round of the program. A second round distributed approximately 300,000 additional checks in June 2022. A third and final round distributed $250 payments to approximately 229,000 people in early January 2023.

Table of Contents

Eligibility Parameters

Individuals are eligible for a Round 3 payment of $250 if they meet the eligibility criteria for either Round 1 or Round 2 except for the requirement that they had not received unemployment compensation.

In other words, individuals who were excluded from receiving a check in previous rounds of this program solely because they had received unemployment compensation will receive a Round 3 payment.

Eligibility criteria for Rounds 1 and 2 can be found below.

All eligible individuals will automatically receive a check in the mail.

Eligibility for Round 2 Premium Pay checks was based on the below criteria:

You must have:

  • Filed a 2021 tax return;
  • Been a Massachusetts resident on or before June 15, 2021, or a part year resident that lived in Massachusetts between January 1, 2021 and June 15, 2021;
  • Earned income of at least $13,500 in 2021 employment compensation; AND
  • Had a total household income at or below 300% of the federal poverty level in 2021.

And you must NOT have:

  • Received a $500 payment in the first round of this program; OR
  • Received any unemployment compensation in 2021; OR
  • If you are an employee of the Commonwealth’s Executive Branch, received a one-time COVID-related payment from the Commonwealth as your employer.

Individuals were not eligible for a second round of payment if they received a payment in the first round of the program, received unemployment compensation in 2021, or received a one-time COVID-related payment from the state as their employer.

Eligibility for Round 1 Premium Pay checks was based on the below criteria:

You must have:

  • Filed a 2020 tax return;
  • Been a Massachusetts resident in 2020, or a part year resident that lived in Massachusetts between March 10, 2020 and December 31, 2020;
  • Earned income of at least $12,750 in 2020 employment compensation; AND
  • Had a total household income at or below 300% of the federal poverty level in 2020 

And you must NOT have:

  • Received any unemployment compensation in 2020; OR
  • If you are an employee of the Commonwealth’s Executive Branch, received a one-time COVID-related payment from the Commonwealth as your employer.

Frequently Asked Questions


HOW THE PAYMENTS WORK
 

Q. Do I need to take any action to receive this payment?

No. If you are eligible to receive a payment from this program, you will automatically receive the payment in the form of a check that will be mailed to you.

Q. How many rounds of the premium pay program will there be?

The first round of payments was made based on 2020 returns. The second round of payment is based on 2021 returns. A third and final round of payments was distributed in January 2023. 

Q. Will premium payments be treated as taxable income?

Under current law, premium payments are not subject to state income tax but may be subject to federal income tax. Because the IRS reporting threshold for taxable grants is $600, no 1099-G will be issued from the Department of Revenue. 

ELIGIBILITY
 

Q. Are payments being sent to workers in certain industries?

No, your eligibility is not determined by the industry in which you work. 

Q. How do I find out what my gross income was in 2020 or 2021?

Gross income is defined as federal adjusted gross income for the corresponding tax year.  To find your federal adjusted gross income, look at your Massachusetts Form 1, or at line 11 of your U.S. Form 1040.

Q. What is income from employment?

Income from employment means compensation paid in connection with work you did, as opposed to retirement income, investment income, or other income not associated with a job.  More specifically, income from employment would have been reported on Line 3, Line 6a, Line 6b, or Line 7 (non-passive income only) of your Form 1 for 2021.

Q. What does three times the federal poverty level mean? 

The U.S. Department of Health and Human Services creates a table each year as a guideline for gauging the “poverty line”; income below this level implies a household is living in poverty.  The poverty level increases for households with more people living in them.  This table is used by states and the federal government to set eligibility for various programs, including this program, often by using a multiple of the Federal Poverty Level in order to set a uniform cutoff for lower or middle income households. 

Here’s the chart for 300% of, or three times, FPL for 2021:

Persons in family/household 300% of FPL
1 $38,640
2 $52,260
3 $65,880
4 $79,500
5 $93,120
6 $106,740
7 $120,360
8 $133,980

For family size greater than 8, add $13,620 for each additional member to calculate 300% of FPL.

Q. My spouse works part-time, and we file jointly. Are we both eligible to receive a payment?

Each spouse must be independently eligible in order for that spouse to receive a payment.  Therefore, it is possible that neither spouse, or only one spouse, or both spouses would be eligible for a payment.

Q. What should I do if I have questions about my eligibility?

A call center is available to answer questions about eligibility at (866) 750-9803 Monday through Friday, 9am - 4pm.

Additional Information

A premium pay call center is available at (866) 750-9803 to answer questions Monday through Friday, 9am - 4pm.

Help Us Improve Mass.gov  with your feedback

Please do not include personal or contact information.
Feedback