Comments on: 2009 Individual Stimulus Money Worth More Than Last Year’s Package.

By: dee

dee — Tue, 09 Jun 2009 04:42:28 +0000

What about unemployed individuals? How is this plan helping them.

By: Thankful

Thankful — Thu, 26 Mar 2009 16:22:32 +0000

The reduction in witheld taxes kicked in on my 3/15 paycheck — almost an extra $30 (I get paid bimonthly). I actually prefer this to the big check, that extra little bit is wonderful. The bump will be a little higher this year than next (assuming no program changes), because it will be spread over fewer pay periods as an earlier commenter noted. The actual amount that you receive (rather, don’t have to give to the govt) depends on your tax bracket, your witholding status and marital status, as far as I know. Not sure if people with kids will receive more…

By: david

david — Thu, 19 Mar 2009 18:07:09 +0000

No, you won’t. It’s a reduction of your taxes.

By: MikeP

MikeP — Thu, 19 Mar 2009 17:03:21 +0000

I don’t mind the extra $67 per month that we’re able to “spend”….this will mostly go to debt. My concern is when I sit down next January to do my taxes. Am I gonna get zapped at tax time for this extra “spending” money I’m getting now? Where can I find an answer to this question?

By: WynnKe

WynnKe — Thu, 05 Mar 2009 00:56:40 +0000

Exactly, and very well said.

By: david

david — Wed, 04 Mar 2009 20:33:52 +0000

Great points Rini, and I agree that it could be more or less depending on how figures out the timetable. Thanks!

By: Jimmy

Jimmy — Wed, 04 Mar 2009 19:08:56 +0000

Regardless of the actual amount and frequency at which it’s doled out, I’m still using it to pay off debt. Sure, it won’t make much of a dent, but thanks to all of my weekly “snowflakes”, I’m now dropping nearly $1,000 a month on my car loan and it’ll be completely paid off later this year.

By: Rini

Rini — Wed, 04 Mar 2009 18:38:58 +0000

Actually, the Making Work Pay credit is only $400 per person, as of the last information I read. It is true that $13/wk for 52 weeks would come out to over $600, but keep in mind that the new withholding tables did not go into effect January 1st.

In fact, I believe that the $13/wk number was calculated based on the original start date of June 1st ($400 / 30 remaining weeks = $13.33/wk). Now that the start date has been moved to April 1st (or earlier, depending on your employer!), that number may indeed be lower ($400 / 39 remaining weeks = $10.26/wk).

Of course, if I have missed an announcement, please let me know!

–

On the other hand, the tax credit will apparently be available in 2010 as well (presumably this time at $400 / 52 = $7.69/wk?), bringing the grand total to $800 per person received.

So the thesis statement here is still, at least, correct! If you don’t have kids.

By: David

David — Wed, 04 Mar 2009 15:35:49 +0000

Nate, it’s $13 less taken in taxes.

Great point Kate; people will always find something to complain about though!

By: Kate@LivingTheFrugalLife

Kate@LivingTheFrugalLife — Wed, 04 Mar 2009 15:26:08 +0000

A few words: Gift, horse, mouth.

I boggles my mind that people disdain this sort of help from the government. Oh, I understand that it’s not enough to salvage some of the horrible situations that some people are in. But it’s better than a kick in the pants, as my grandfather would always say. Small amounts of cash, carefully conserved and used, have the power to make huge differences in peoples’ lives.

Just for fun, I ran the numbers as if we added the $52/month to our mortgage payment as an additional principle payment. We’re just over two years into a 30-year mortgage. That additional $52 payment each month would knock 5 years and 1 month off the term of our loan.

That means $13 per week would get us completely out of debt more than FIVE years early. Does is still seem like a trivial amount? I doubt we’ll be getting such a handout for the remaining term of our mortgage. But treating small amounts of money as trivial and meaningless is a part of what got us into this mess in the first place. Remember the latte factor? A serious latte habit will easily cost you more than $13 per week.