Facebook Privacy Settlement: What the Second Payment Means for You

You're receiving a second check from the Facebook privacy settlement this month if you were part of the original case

If you received money from the Facebook privacy settlement in 2020 or 2021, a second payment is being sent out now. This is not a new settlement — it is a second distribution of money from the same case that settled in 2019. The original settlement covered Facebook's handling of personal data during the 2016 election interference period. The first round of payments went out years ago. This second round exists because the settlement fund had more money left over than initially expected, and the court ordered it distributed to the same people who received the first payment.

You do not need to do anything to receive this payment. If you were part of the original settlement class, you are automatically part of this second distribution. The payment will arrive the same way your first payment did — by check, direct deposit, or whatever method you used before. There is no new form to fill out, no website to visit, and no deadline you need to meet to claim it.

Key Takeaways

• This second payment goes only to people who received money from the Facebook settlement's first distribution between 2020 and 2021.
• You do not need to take any action — the payment is automatic if you were in the original settlement class.
• The payment arrives through the same method as your first payment, whether that was check, direct deposit, or another form.
• The amount varies by person based on how many claims were filed and how the remaining settlement fund is divided.

How much money is in this second payment

The exact amount you receive depends on how many people were part of the settlement class and how the remaining fund divides among them. The original Facebook settlement was for $100 million, but not all of that money was distributed in the first round. The second payment comes from what remained after the first distribution, legal fees, and claims administration costs were paid.

Your payment amount will be the same percentage of the remaining fund as everyone else in the settlement class receives. This means if 1.6 million people were in the original class and the remaining fund is $10 million, each person gets roughly the same share. The exact number varies based on the final accounting, which the settlement administrator calculates after all claims from the first round are closed.

You should receive a notice in the mail or by email before the payment arrives, telling you the specific amount. This notice comes from the settlement administrator, not from Facebook or the court. Keep it for your records, especially if you need to report the payment to the IRS.

When the payment arrives and how to track it

Payments are being distributed this month, but the exact date depends on your bank and the payment method used. If you received your first payment by direct deposit, this one will likely arrive within one to three business days of being sent. If you received a check the first time, a check will be mailed to the address on file, which typically takes five to ten business days to arrive after being sent.

The settlement administrator's website will show you the payment status if you create an account or log in with your claim number from the first settlement. You can also call the settlement administrator's phone line — the number appears on any notice you receive. They can tell you whether your payment has been processed and when it should arrive.

If you moved since the first payment and did not update your address with the settlement administrator, the check may go to your old address. If that happens, contact the administrator immediately with your new address so they can reissue the payment or help you locate it.

What to do if you don't receive the payment

If you were part of the original settlement and do not receive a payment by the end of this month, contact the settlement administrator first. They maintain records of who was in the class and can confirm whether a payment was sent to you. Provide them with your claim number from the original settlement, your current address, and the phone number or email on file.

If the administrator confirms a payment was sent but you never received it, ask them to issue a replacement check or investigate the direct deposit. If you received the first payment without trouble, the second one should arrive the same way — if it does not, something may have changed with your bank account or mailing address.

Do not contact Facebook directly about this payment. Facebook is not handling the distribution. All questions go to the settlement administrator, whose contact information appears on any notice you receive or on the settlement website.

Tax reporting for the second payment

Settlement payments are generally considered taxable income by the IRS, though there are exceptions depending on what the settlement covers. The Facebook settlement involved privacy violations and data misuse, which may affect how the IRS treats it. The settlement administrator will send you a tax form — usually a 1099-MISC or similar — showing the amount of your payment for tax reporting purposes.

Keep this form with your tax records. You may need to report the payment as income on your tax return, or you may be able to deduct it as a loss related to the privacy violation. Tax treatment varies by situation, so consider speaking with a tax professional if you have questions about how to report it. The settlement administrator's notices should clarify whether a tax form is being sent and when to expect it.

Understanding the original Facebook settlement

The Facebook privacy settlement came from a lawsuit over how Facebook handled user data during the 2016 election. The case alleged that Facebook allowed third parties, including political consultants, to access personal information without proper consent. Facebook settled the case in 2019 without admitting wrongdoing, agreeing to pay $100 million and change how it handles user data.

The first distribution of settlement money went out between 2020 and 2021 to people who filed claims proving they had a Facebook account during the relevant time period. Most people who filed received between $100 and $300, though amounts varied. This second payment is a bonus distribution because the settlement fund had surplus money after the first round closed.

Frequently Asked Questions

Do I have to report this payment to any government agency?

You will receive a tax form from the settlement administrator if the payment is taxable. Report it on your tax return as instructed by the form. If you receive means-tested benefits like SNAP or housing assistance, check with your local agency about whether settlement payments count as income — rules vary by program and state.

What if I lost my claim number from the first settlement?

Contact the settlement administrator with your name, address, and the email you used when you filed the original claim. They can look up your claim number and confirm whether you are part of this second distribution. You do not need the number to receive the payment, but it helps the administrator locate your account quickly.

Can I opt out of this second payment?

No. Once you were part of the original settlement class, you remain part of all distributions from that settlement. You cannot refuse the payment or opt out. If you do not want to keep the money, you would need to donate it or handle it separately after receiving it.

Will this payment affect my benefits or financial aid?

That depends on the specific program. Some means-tested benefits count settlement payments as income in the month received, which could temporarily reduce your benefit amount. Contact your benefits administrator before the payment arrives to ask how they treat settlement distributions. Some programs have exceptions for one-time payments.

What if I never received the first Facebook settlement payment?

Contact the settlement administrator to confirm whether you were part of the original class. If you were but never received a payment, they can investigate what happened and may be able to issue a replacement. You may still be part of this second distribution even if the first payment was lost or went to an old address.