Friday, January 25

Get some money in the mail!

You have probably heard the news that your economic stimulator will arrive in your mailbox sometime in May.

If you're married and earning less than $100k per year, you can look foward to a $1,200 check. If you have kids, you'll get $300 for each.

I'm not sure if this stimulus package is going to have the intended effect. News today is that if it doesn't then the government will consider another one.

Some have argued that wealthier taxpayers are more likely to put a $300 check into savings or pay down debt, and that directing more of the stimulus to lower-income households that spend the money is likely to have a greater positive impact on the slowing economy. CNN

I think it is a misnomer that only the wealther taxpayers are likely to pay down debt with this return. Most folks are walking around with some signifcant credit card debt, the average person today has over $9000 of it. I believe that a large portion of these checks will go right to paying down debt. In my case, it's going towards Christmas gifts purchased in 2007!

Not that we should count our chickens before they hatch, but what would you do with $1,200 of found money? Pay a bill? Put it in savings? Retire in Mexico?