Stimulus Checks, what will you spend it on?

[THE MEEKER]

I will probably put the funds it into my Traditional IRA/mutual funds.

1. It's a great buying opportunity right now.

2. Tax deduction for 2020 tax return.

3. If I'm wrong, MEH.

[mharrison]

My wife saw the new Chevy Trailblazer online and wants to check it out when it hits the dealer's lot. There goes our stimulus money and more

[RAurand]

Save it for when something breaks and is an expenvife repair.

[Bookemdanno]

I was told that we'll be using ours to pay my wife's employees...

[curver900]

Originally Posted by THE MEEKER

I will probably put the funds it into my Traditional IRA/mutual funds.

1. It's a great buying opportunity right now.

2. Tax deduction for 2020 tax return.

3. If I'm wrong, MEH.

this is a great idea.. if you get it before the market recovers of course...

[max2bob]

we will use it for food and essentials. both of us lost our jobs

[jpgale]

I am not getting one, however I am still fully employed and WFH right now. I am still spending mostly as normal as I know my job is safe right now (my company has experience major growth due to the virus) so I am one of the luck ones.

[poohbear]

Originally Posted by Woodworker

We are goin to put it back into the bank to replenish what we paid out in taxes this yr. I don't see it as stimulus I see it as a refund of the money they stole via over taxation.

+1 . When we retired and sold our business the 2nd year we got hit with a Medicare penalty on the sale of our businesses. $5K and there is no way around it so we are simply getting back what we worked our butts off for.

[2nOZ]

No checks for us. DW works from home. We still try to support our church, local restaurants and anything else that is still open.

[WeRJuliian]

If it ever arrives (and, as with most things from the Feds, I'm not holding my breath), it will go in the very slowly growing fund to buy my new TV.

Unless, of course, something else goes wrong in our hundred year old house...

[Camper_bob]

[QUOTE=Tunce the traveler;842475]

Originally Posted by Riverman

I've read on several websites that the checks are not taxable.

You are correct !!! It’s being considered a tax refund.

It's actually a pre-paid refundable tax credit. It will be reconciled when you file your 2020 tax return. If you were paid too much based on your 2020 income, you will pay some (or all?) back. If you weren't paid enough, you will get some back.

We won't qualify.

We're still working, as we're considered "essential", but we're keeping as much staff home as possible and rotating schedules.

[Kim Gass]

toilet paper , flour and sugar

[TaftCoach]

While not directly because of the check, I am trying to support the small shops near me. I believe what I spend today will help create the community I live in next year. I've had to update up my PC here to WFH so I'll be paying myself back for some of the upgrades.

[Riverman]

[QUOTE=Camper_bob;842554]

Originally Posted by Tunce the traveler

It's actually a pre-paid refundable tax credit. It will be reconciled when you file your 2020 tax return. If you were paid too much based on your 2020 income, you will pay some (or all?) back. If you weren't paid enough, you will get some back.

We won't qualify.

We're still working, as we're considered "essential", but we're keeping as much staff home as possible and rotating schedules.

Send us a link for that info... every thing I read says no taxes.

[Camper_bob]

[QUOTE=Riverman;842577]

Originally Posted by Camper_bob

Send us a link for that info... every thing I read says no taxes.

You're right, the credit is not taxable income. It's a prepaid refundable tax credit. It works a little like the Health Insurance credit. When you purchase health care through the marketplace, you state your income. Your anticipated premium tax credit is worked into your premiums that you pay each month. At the end of the year, you reconcile the amount you took in credit each month against your income to determine how much you were actually eligible for, and either get more tax credit, or pay some back.

This is an excerpt from a Journal of Accountancy article published March 25:

"Recovery rebates: The bill provides for payments to taxpayers — “recovery rebates” — which are being treated as advance refunds of a 2020 tax credit. Under this provision, individuals will receive a tax credit of $1,200 ($2,400 for joint filers) plus $500 for each qualifying child. The credit is phased out for taxpayers with adjusted gross income (AGI) above $150,000 (for joint filers), $112,500 (for heads of household), and $75,000 for other individuals. The credit is not available to nonresident aliens, individuals who can be claimed as a dependent by another taxpayer, and estates and trusts. Taxpayers will reduce the amount of the credit available on their 2020 tax return by the amount of the advance refund payment they receive."

[Woodworker]

I bet some of these people can't wait for the refund. This predicament never dawned on me. More media hype or not it's sad to think of.

https://rvbusiness.com/rv-groups-scr...d-full-timers/

[goducks]

I'll be buying roofing supplies. Local roofers want $10-$11,500 to roof my house.
I can buy all the materials for around $3K. I have 3 grown sons that can help. With the way the virus is going it looks like summers a bust for the most part. I was planning on doing the roof in July anyway so now it'e easier to give up prime camping time.
I figure it will take me about 2 weeks since I'm going to do new fascia trims and add a front porch cover. Both the wife and I are retired so this will be a good way to kill some down camping time.

[DaveT]

Anything not made in china. Preferably helping to rebuild the jobs of those less fortunate right now - like food workers and restaurant employees.


Spending it on a new toy for the camper is selfish and shallow.

[Jopopsy]

Originally Posted by goducks

I'll be buying roofing supplies. Local roofers want $10-$11,500 to roof my house.
I can buy all the materials for around $3K. I have 3 grown sons that can help. With the way the virus is going it looks like summers a bust for the most part. I was planning on doing the roof in July anyway so now it'e easier to give up prime camping time.
I figure it will take me about 2 weeks since I'm going to do new fascia trims and add a front porch cover. Both the wife and I are retired so this will be a good way to kill some down camping time.

I am not giving up on this summer. Most models show this peaking in a week or two and dropping by May. I’m hopeful RV parks will open back up, the beach, etc. Maybe not amusement parks and movie theaters, but a gradual opening of less dense venues.

[Dopalgangr]

I too will not be receiving this money, but I guarantee me and everyone else will be paying for it in taxes. You don't just pull 2 trillion out of thin air and not have to pay it back some way.