Is Eight Enough?

By Lily Stolzberg

President  Obama has officially signed off on the country's new $787 billion stimulus bill.  It contains provisions designed to help boost the economy, an economy we all know needs a major kick in the..well, you know. One of those provisions is a tax credit.

Now don't go out to your mailbox everyday hoping to see another rebate check.  That's not how it works.

You actually have two options:

1. When an individual making up to $75,000 a year files their taxes next year they can receive up to $400 dollars more in their tax refund.  If they owe the government they can deduct $400 from what they owe. A couple who earns $150,000 can receive up to $800.

2. Now if you would rather see some of that money sooner you can actually ask the government to reduce the amount it takes out from your salary and you will  see a little something extra in your paycheck every week.  And when I say little, I mean little. On average people will receive an extra $8.00.

Doesn't sound like much right? But let's all remember what our father, grandfather used to say.."When I was a kid a loaf of bread only cost a nickle." Well Pops, those days are over but there is still a lot you can buy for 8 bucks!

Maybe now you can get off your fancy coffee hiatus and spring for that vanilla soy latte with skim milk, no foam, extra shot of espresso.

And how about getting fit with your new found money. 8 bucks a week can actually get you a gym membership to burn off the three slices of pizza you can also get for $8.00. How about a movie?Yes it has to be the matinee and no you can't get popcorn but you can definitely catch the latest flicks.

Now we all know $8 won't help someone who just lost their job or is struggling to pay down  massive credit card debt.  But an accountant I spoke with today did have some good advice.  He said to choose option #2. Take that 8 dollars a week and put it into a savings account and while the interest will be minimal it's still something.  And best of all, he says you aren't letting the government sit on that money until next year when you file your taxes and hope you get 400 dollars more in your tax return. Get it now and either sock it away or treat yourself to something you have been holding off on. Just make sure you order the small latte, it is only 8 bucks after all.

Comments

[John]

"Doesn't sound like much right?"

You're right. It does not. Especially when billions of dollars are being thrown at national medical databases and new census forms. And even more especially (huh?) when we taxpayers are going to have to cover these massive expenditures in the future.

"Take that 8 dollars a week and put it into a savings account and while the interest will be minimal it's still something."

I somehow doubt that the interest given by the banks will keep pace with inflation. The accountant who suggested that should probably give back his certification.

I agree that the money shouldn't be in Washington's hands, but seriously, with the way the Fed is beefing up the money supply, the half penny you earn on your eight bucks isn't going to cover the skyrocketing costs we're going to see as a result of this idiocy.

And what do the self-employed do? If you don't have a paycheck, asking the government to claim less of it is a little bit tricky.

[Keith]

Hi Lily

Where's your picture? I always look for you on 12 but never seem to find you. I won't watch channel 12 if your not on. Your my favorate.