Recently, President Bush proposed a "tax rebate" that will push out $150 billion dollars for people in the United States that meets the criteria. People will get anywhere from $600-$1,200 depending on the family size and other variables such as children. The requirement states that if you file your income tax for 2007 and has an income greater than $3,000. At this rate, I will highly suggest everyone to file their income tax return as soon as possible LOL. Anyhow, there is a limit here and if you're making over $75K/year, this program doesn't apply to you (it's not like you needed it anyways if you're in this higher income bracket). The checks will be mailed during the summer (May-July). Knowing the basic facts, what does this provide the economy? When I was reading the New York times yesterday, they mentioned it as a short-term fix so the economy won't go into recession according to Bush.
Now the next question is, how would I spend this money? Hmm...that's a tough one. While most people would probaby need to pay off their credit card debt, I will save mine so later on when my college loans are due for payment, I'm ready to re-pay it back in a big sum. Although $600 is not really a fine large sum, every dollar of it counts towards improving our financial stability. I can already imagine some people who will be spending it on toys and by that, I mean big TV's, PS3's and such. While I'm always tempted to purchase these things, I'm pretty hesitant leaning towards the fact that the prices will drop as soon as a new 'model' or release comes out. At this phase of technological advancement, it doesn't seem like I will reach the point of actually purchasing things. In addition, I will not let myself succumb to purchasing items out of my financial reach. While credit cards are handy for emergency purposes, aside from rewards, this is the only reason I use it.
- Dennis