Thanks Sam

Didn’t quite use it to stimulate the economy though…

Filed under: America, Credit, Credit Cards, Dave Ramsey, Debt, Economic Stimulus Check, Economics, Economy, Government, Money, Recession, Spending, Uncle Sam

My $300 Float

Five years ago my wife was pregnant so we started making plans for her to be off work for a bit. We’re a two income family by necessity not by choice (school loans suck), so we had to get a forbearance on some loans as well as put some money away into savings. Things went smoothly and Tonia was able to take 6 months off to spend with Tanner after he was born. It was invaluable.

As part of the savings process I wrote a check to myself for $300 that I never cashed. It simply sat in a drawer and was erased from our checking account balance. Virtually. In reality it was still in there.

So when Tonia went back to work, and our finances were back to normal, I still had a $300 check sitting in a drawer. I ripped it up and now have $300 in my checking account that doesn’t show up when I look at the bottom line of my register. I just love having that little security blanket in there when times are tight.

Do you have any financial quirks?

Filed under: Budget, Conservation, Economics, Finances, Money, Savings

Economic Stimulus Checks

Don’t look a gift horse in the mouth.

That’s what they always say, but honestly I don’t even know what that means. I hate sayings that I don’t know the meaning behind.

This isn’t meant to be a gift-horse-mouth-viewing post, but it is meant to encourage people to be wise with these economic stimulus checks the government is about to be sending out.

1. Don’t Spend The Checks. Crazy I know, but the fact that we spend so frivolously is what got us into this problem in the first place. The thought that they are only encouraging this behavior to “stimulate” the economy is just poor vision. So don’t go buy a new big screen TV with these checks. Don’t put a down payment on a new (or even used) car with these checks. Take this check and pay off debt. If you’re lucky enough to be without debt, take this money and invest it wisely. Let’s be smarter than our government with this money.

2. These Aren’t Free. Most people are unaware that these checks are actually an advance on our next years returns. I’ve found very little information available online about exactly how this will work. It’s possible the tax code will be altered to adjust for this check, making it indeed a wash. But the way I’m reading it, if we were meant to get a $2000 refund next year on our taxes, we’ll only receive $500. With so many people I know counting on their tax returns every year, I think this is something worth looking into. Ask your accountant for an explanation of exactly how this will effect you next year.

With all that said, my check can’t come fast enough. Tonia and I have started an aggressive plan to rid ourselves of our student loan nooses, and these will surely help!

Filed under: Debt, Economics, Etymology, Government, Investing, Spending, Taxes