SavvySugar -- It Makes Sense.

Your Pink Slip Could Qualify You For a Rebate Credit

SavvySugar — Wed, 19 Nov 2008 04:30:34 -0800

Just when we'd all but forgotten about those rebate checks many of us received this Summer, the subject is coming up again now that we are approaching the year's end. Now is the time when many Americans begin to organize their documents for the upcoming tax season — can you believe the April deadline is just five months away? As you are entertaining the idea of filing your tax return, keep in mind that there could be more money headed your way than you'd thought.

If your 2007 return didn't qualify you for the initial wave of economic stimulus checks or you received less than the maximum amount, you may be eligible for a recovery rebate credit on your 2008 return (to be filed in 2009). If a job loss has reduced your annual income to meet the stimulus check thresholds or your income fell for some other reason, you would qualify for the rebate credit. The IRS will have tools on its website to help taxpayers determine their recovery rebate credit.

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250,000 Couples Will Receive Stimulus Checks

SavvySugar — Wed, 15 Oct 2008 12:30:32 -0700

When rebate checks were distributed to Americans this Summer the IRS only cut checks to citizens whose names and social security numbers matched. The IRS recently announced they would be issuing overdue checks to 250,000 couples that qualified for the stimulus but were overlooked because of mismatched names and social security numbers.

If one person decides to change their name after marriage, the change should be reported to the Social Security Administration so their social security number matches the new legal name. Some couples fail to take this step, and this time the oversight meant they missed out on stimulus checks from the government. Going forward, make sure you're accounted for appropriately by following my checklist for changing your name.

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Did You Spend Your Rebate Check?

SavvySugar — Fri, 01 Aug 2008 08:00:00 -0700

Yesterday's news that the US's Gross Domestic Product only grew 1.9 percent despite the recent flood of rebate checks is a bit surprising. The rebate checks were technically a one-time tax cut that you don't have to pay back and are considered an advance on the taxes you'll owe in 2008, but the government hoped consumers would use the "extra" dough and boost the economy by buying things. Source

Did You Spend Your Rebate Check?

Yes — I spent the whole thing.

Yes — I spent part of it.

No — I put it in savings or my bank account.

Something else. See my comment below.

US Economy Grew From Stimulus Checks, But Just a Bit

SavvySugar — Thu, 31 Jul 2008 11:00:18 -0700

Uh-oh spaghetti-o. The economy grew less than expected from April to June despite all the tax rebate checks that were sent out. The news goes right along with the 77 percent of Savvy readers who didn't believe the checks would stimulate the economy.

Gross domestic product expanded at an annual rate of 1.9 percent in the second quarter, primarily because of a burst in export sales powered by the weak dollar, according to The New York Times. The tax stimulus package, which put around $90 billion dollars into consumers' pocketbooks, only prompted a small lift in spending.

Economists had expected the economy to grow by 2.3 percent last quarter, primarily because of the $100 billion in tax rebates mailed to consumers in the Spring.
Domestic consumption only rose 1.5 percent for the quarter — an improvement over the 0.9 percent rate recorded in the previous period, but less than many had hoped.

Apparently, experts are now wondering how the economy will perform through the Summer and Fall because it seems Americans are cutting back and not spending their stimulus checks as wildly as expected.

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Second Round of Rebate Checks?

SavvySugar — Thu, 17 Jul 2008 11:01:13 -0700

Much to nobody's surprise, the rebate checks issued as part of this year's economic stimulus package haven't done enough to boost our economy thus far. In fact, economists are wondering if another round would prevent our economy from falling apart entirely. Strong words? Yep, but there are too many people losing their homes and suffering from job losses to ignore the big pickle that is our economy.

Democratic leaders have initiated the idea of a second stimulus package that would include spending for roads, bridges, schools, and other public facilities. The possibility is being discussed, and while President Bush admits that growth had been “slower than we would have liked,” he also wants to let the first package "run its course" and reassures that he "is an optimist."

Expect more debates surrounding the issue throughout the Summer and then some. If another plan including additional rebate checks does come into play, let's hope they hold off from releasing inaccurate schedules and from sending expensive letters regarding the issue.

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Did You Receive Your Rebate Check on Time?

SavvySugar — Thu, 26 Jun 2008 14:06:41 -0700

The IRS didn't do itself any favors by publishing very precise schedules for sending stimulus payments to expectant Americans. There have been numerous issues throughout the process and the schedule didn't turn out to be as accurate as the IRS had hoped. Direct deposit payments started making their way to bank accounts back in late April, and taxpayers with social security numbers ending anywhere from 64-99 will receive their checks over the next few weeks (64-75, your check is supposed to be mailed no later than tomorrow!). Did you receive your check according to schedule?Source

Did You Receive Your Rebate Check on Time?

Yes, my check was paid to me on time.

I'm not sure if mine was sent according to schedule, but I got it!

No, I didn't receive my check according to schedule.

I'm getting mine later than expected and should get it in the next few weeks.

Other. See my comments below.

Cost of Rebate Checks Could Be Counterproductive

SavvySugar — Mon, 23 Jun 2008 04:08:16 -0700

IRS employees haven't had the chance to be bored at work since the economic stimulus plan was announced this year. The IRS fielded six times the call volume during the week of May 24 than the same week last year, which meant extensive waiting time for callers.

A new report from the Government Accountability Office makes it clear that any consumer spending resulting from the checks may be outweighed by expensive processing and administration costs of the checks. Nothing says efficiency like spinning in circles, but at least the checks gave us some temporary relief from ever increasing gas prices.

What to Do If You Received Too Big of a Rebate Check

SavvySugar — Wed, 18 Jun 2008 04:07:10 -0700

You'd think the issuance of rebate checks would be smooth considering this isn't the first year they've been sent to encourage taxpayers to spend, but there have been several bumps in the road to stimulation. While this error certainly isn't as bad as sending rebate checks to incorrect bank accounts, it does require the attention of those rightfully receiving payment.

Several Americans have been overpaid with doubled rebate checks while many others are still waiting to receive their checks. Find out what to do if you've been overpaid when you

News Flash: Americans Went Shopping During May

SavvySugar — Fri, 13 Jun 2008 04:05:43 -0700

Whether we received our rebate checks according to schedule or not, it seems their arrival (or anticipated arrival) resulted in a surprising retail resurgence. Economists who estimated retail sales would see a 0.5 percent boost during May were proven wrong when sales actually increased by one percent.

This may indicate the economy isn't as weak as thought, although it's going to take more than a month of increased consumer spending to convince me that we're finding our way out of the woods.

Source

How Other People Spent Their Rebate Check

SavvySugar — Tue, 27 May 2008 11:28:25 -0700

Millions of Americans have already received their rebate checks and have decided the fate of their government-sponsored windfalls. Predictably, my rebate check went straight to my credit card, but other people found more exciting ways to spend their checks and documented their choices on a website called How I Spent My Stimulus Check. Complete with photos, rebate check receivers shared their spending choices for anyone who cares to see. I've selected some of the various and random ways other people spent their rebate check, just click "Start Slideshow" to check them out!

Didn't Get Your Rebate Check Deposit Yet? You May Be Waiting Until July

SavvySugar — Mon, 19 May 2008 04:16:40 -0700

The IRS has run into a few snafus in sending out rebate checks on a supposedly earlier than planned schedule, and the most recent glitch may have some people who were counting on that check feeling rather frustrated. According to South Florida's Sun-Sentinel and Miami's CBS4, if you didn't see your payment deposited into your bank account by May 16, you may have to wait until as late as July 11 to receive your check and it will come in the form of a paper check. That is, if your rebate wasn't mistakenly deposited into someone else's bank account. If you have questions regarding your rebate check, the IRS's rebate hotline is 866-234-2942.

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Some Rebate Checks Have Been Sent to the Wrong Bank Accounts

SavvySugar — Fri, 16 May 2008 04:04:12 -0700

According to Newsday, some economic stimulus rebate checks are appearing in the wrong bank accounts. Americans receiving their checks through direct deposit are getting them before those who will be receiving paper checks. And while paper checks run the risk of ending up in your neighbor's mailbox, it seems that some direct deposit payments have landed in the bank accounts of strangers.

Kevin McKeon, a spokesman for the IRS said, "We do know of instances of problems; we've heard of situations where stimulus checks have gone to the wrong people's bank accounts. We're getting a lot of calls to the toll-free number." If you've already used the Where's My Stimulus Payment tool on the IRS website and are searching for your rebate, or if you're looking for your tax refund for that matter, McKeon recommends calling the toll-free service Refund Hotline at 800-829-1954.

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Didn't Get a Rebate Check This Year? There's Always Next Year

SavvySugar — Thu, 15 May 2008 06:28:47 -0700

No, there aren't plans in motion for everyone to receive another check next year. But if you weren't eligible to receive a check this year and become eligible next year, you can claim the economic stimulus payment next year on your 2008 tax return.

How do you know if you're eligible? The IRS says rebate eligibility depends if "you have a valid Social Security Number (SSN), can't be claimed as a dependent on a tax return and have either an income tax liability or "qualifying income" of at least $3,000." It's also important to note that, "both people listed on a "married filing jointly" return must have valid SSNs to qualify for the payment — if only one has a valid SSN, neither can receive the payment."

If any of these circumstances fall outside of your current situation but change by next year, then remember to claim the payment on next year's tax return so that you can get your rebate.

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12 Stores Promoting Rebate Check Deals

SavvySugar — Wed, 14 May 2008 06:41:13 -0700

Most of you are of the opinion that some rebate check promotions are more sensible than others. Wherever you stand, DealNews put together this list of the 12 stores that are trying to lasso in your business now that you have some extra cash burning a hole in your pocket.

Kroger, Safeway, ShopRite, SuperValu, Meijer, RadioShack, Sam's Club, Sears/Kmart, Staples.com, Wal-Mart (no purchase required), Rosenau Powersports, and Zonder.com.

DealNews has the 411 on the ins-and outs of the various deals, so if you're interested you can find out more here.

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Is Spending Money to Save Money a Bad Message?

SavvySugar — Mon, 12 May 2008 14:34:41 -0700

While several retailers have been offering what they call bonuses for spending your entire check either exclusively at their stores or promoting special deals during the time Americans are receiving their checks, some of their competitors are criticizing them for encouraging irresponsible behavior. According to the New York Times, stores like Sears, Supervalu, and Kroger's are offering shoppers a 10 percent bonus if they buy a gift card with their checks and Domino's is offering a “recession-busting” special of three pizzas for $12, while Home Depot is encouraging customers to buy energy-efficient products to save money. The Times points out that the disapproving companies are concerned with the oxymoronic nature of these marketing campaigns that encourage a "spend money to save money" mentality. Jean Ann Fox, director of financial services at the Consumer Federation of America said, “A lot of people probably have high-cost debt they need to pay off with this money. And if you’ve tied up your stimulus check in a card that can only be used at one store, you can’t do that.” On the other hand, the vice president for marketing services at Sears said, "We don’t think of it as locking it up, but rather giving people a choice of how to spend it.” Where do you stand?

Is Spending Money to Save Money a Bad Message?

Yes, it's a bad message and the stores are taking advantage of consumers.

Asking for the entire check like Sears is bad, but there's nothing wrong with promotions like Domino's.

No, it's not a bad message. Consumers should be able to make good decisions no matter what.

Other. See my comments below.

Rebate Check Less Than You Expected? Here's Why

SavvySugar — Mon, 12 May 2008 09:59:00 -0700

The IRS continues to update their FAQs about the stimulus checks and has now stated that If you owe federal taxes from previous tax years or have other debts you owe such as a student loan or child support, those uncollected amounts can be taken from your rebate check.

According to the IRS, everyone eligible for a check will receive a notice shortly after your payment has been issued that explains how your payment was calculated. If you're someone whose payment was reduced to offset back taxes or other debts, you'll receive a separate notice from the IRS a couple of weeks after you've gotten your rebate check and first notice. Make sure you hold on to any notice you receive for your records.

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Your Two Cents: Will Rebate Checks Stimulate the Economy?

SavvySugar — Sun, 11 May 2008 11:12:54 -0700

Many of you have seen a boost in your bank account over the last week or so as the IRS has started the process of issuing rebates to about 130 million Americans. It's all part of the economic stimulus package, and yet according to a poll run by CNN 82 percent of Americans don't believe that the checks will do much of anything to give our economy the boost it needs. While the majority on the receiving end aren't confident that the checks will have their intended effect, many economists and politicians are holding their positive ground.President Bush's Deputy Press Secretary Tony Fratto said, "It will boost the economy — it's impossible that it won't. It's like saying if I pour water into a cup, will it get wet?" At the same time, Secretary of the Treasury Henry Paulson noted that high gas prices will likely reduce the impact rebate checks will have on the economy. Where do you stand? Source

Your Two Cents: Will Rebate Checks Stimulate the Economy?

I'm part of the 82 percent that think the checks won't stimulate the economy.

I don't really care about the overall economy and am happy just to receive the check.

It's like pouring water into a cup! The checks will help stimulate the economy.

Other. See my comments below.

More Rebate Check Details

SavvySugar — Tue, 06 May 2008 04:24:44 -0700

TeamSugar member frevirg pointed out one aspect of the rebate check schedule that I hadn't yet highlighted. While I paid for my tax service as soon as my tax return was filed and used my bank account, some tax services allow filers the option of having those fees taken directly from their tax refund. Frevirg was proactive and navigated around the TurboTax website, and found the following information that may be useful to some of you.

Under certain circumstances, however, the IRS has decided that taxpayers can only get their rebates by mail, even if they get their refunds by direct deposit. At TurboTax, this will happen if you use a "refund transfer" when filing your 2007 return. This service lets you pay for your tax preparation and/or e-filing from your refund proceeds, for an additional fee...

It really took some digging around on the site to find this information and not because it's unorganized. There are a lot of questions and answers surrounding the rebate check, so when you're poking around for answers be sure to take your time and read carefully. The IRS website has a wealth of information regarding the checks, which makes it a good place to check-in, so to speak.

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What to Do If Your Rebate Check Didn't Arrive on Time

SavvySugar — Sat, 03 May 2008 07:04:38 -0700

The IRS had said that direct deposit using taxpayers with social security numbers with the last two digits falling between 00-20 should have received their rebate checks on May 2. Several of you let me know that your check still hadn't hit your account by Friday's end and are wondering where it is. While there's no way for me to predict when you'll get the rebate you're expecting as we're all at the whims of the IRS, I do know how you can find out about the status of your payment. Learn what steps to take when you

Official IRS Timeline For Issuing Rebate Checks

SavvySugar — Wed, 30 Apr 2008 11:29:02 -0700

Last week the Treasury Department announced they'd be sending the rebate checks ahead of schedule. The IRS updated their old schedule and produced a new schedule on Monday, the first day that taxpayers started receiving their rebates. Please note that this schedule is different from the previously posted estimated schedule, as the IRS didn't release the below schedule until this week. Just as the checks started being deposited four days earlier than expected, the IRS notes that it will start mailing paper checks with an early start date of May 9. To see the official schedule, which applies to those who filed their returns by April 15, just

Tax Rebates Could Clue You in to Your Co-Worker's Paycheck

SavvySugar — Wed, 30 Apr 2008 06:43:42 -0700

Tax rebates started making their way into taxpayers' bank accounts on Monday, and because the amount of your check is based on household income Fortune points out that keeping your ears open during this time could clue you into your co-workers' ballpark salaries. Of course, they'd have to drop the amount of their check into conversation and you'd have to know their personal details like if they're married or not and if they have dependents.

The vast majority of you think that talking about salary with co-workers is a big no-no, but if you're really dying to know this could be a way for you to determine about how much your co-workers are making without asking them outright. Don't go asking the whole office how much is each person's rebate check, but you're not doing anything terribly wrong by tracking the details your co-workers volunteer. Find out the clues you should be looking for when you

Tax Rebates To Arrive Earlier Than Expected

SavvySugar — Fri, 25 Apr 2008 04:28:00 -0700

Those of you eagerly awaiting your tax rebate checks will rejoice at the Treasury Department's announcement that they're depositing the checks ahead of schedule. Their original announcement stated that May 2 would be rebate check opening day, but they've updated their schedule with the early start date of Monday, April 28.

If the IRS has your direct deposit information then your check will be deposited earlier than those who will receive their check in the mail. However, the mailed checks will also be sent a week ahead of schedule and mailings will begin on May 9. All rebates will be distributed according to the last two digits of your social security number as originally stated. While the IRS hasn't come out with a new schedule, I've updated their old one to reflect the newly announced dates. To see an updated estimated schedule just

IRS Says Scammers Are Reaching For Rebate Checks

SavvySugar — Fri, 28 Mar 2008 13:09:22 -0700

While you already know when you're going to get your rebate check, some scammers are doing their best to get in their way of you and your check finally coming together. The IRS just issued the top 12 tax scams — usual suspects like phishing and hiding income offshore made the list, but this year scammers have been trying to squeeze money from the economic stimulus rebate checks.

The bad guys gather other people's financial information by convincing them it's the only way to receive their rebates. Imposters are pretending to be from the IRS and calling, sending emails, or going door to door in attempt to gather personal details. Remember that you don't need to fill out anything besides your 2007 tax return to receive your check — the IRS has made this much clear in its YouTube public announcement.

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Do You Know Which Tax Deductions Are Real?

SavvySugar — Tue, 25 Mar 2008 09:32:40 -0700

I've been on your case about getting your taxes off your to-do list so you can get your rebate check, and so you don't have to think about taxes until next year. Twelve months of bliss! If you've finished your tax return then you may have an edge taking this quiz since you've already dealt with deductions. If you haven't conquered the tax return monster just yet, then take my quiz so that you're all ready to go once you're in tax filing mode.

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When to Expect Your Rebate Check

SavvySugar — Wed, 19 Mar 2008 14:28:05 -0700

The IRS has put together a schedule for when you'll be receiving your economic stimulus rebate check. The schedule is based on the last two digits of your Social Security number, so if you're filing jointly use the primary filer’s Social Security number to figure out where you fit on the schedule. It's possible that the IRS won't exactly meet the projected dates since 130 million households are eligible to receive the rebate check, but at least you can start planning ahead for that hefty credit card payment, savings deposit, vacation fund deposit, or shopping trip.

If you file your tax return and provide direct deposit banking information for the IRS to transfer your return, you'll be receiving your rebate check slightly earlier than those who receive their return in the mail. If you're unsure about your eligibility to receive any economic stimulus money, the IRS just introduced a calculator that lets you figure out if you'll be getting a check and the amount, if any. To see a handy chart that tells you when you're scheduled to receive your rebate check just

Definition: Phishing

SavvySugar — Wed, 12 Mar 2008 13:57:35 -0700

The IRS defines phishing as "the act of sending an email to a user falsely claiming to be an established legitimate enterprise in an attempt to scam the user into surrendering private information that will be used for identity theft." The IRS is often the legitimate enterprise that scammers behind phishing schemes are attempting to emulate. Phishers send emails claiming that you need to update or confirm your personal information with them — or else! It becomes obvious that these messages are bogus when you learn the important fact that the IRS never sends emails to taxpayers. If you receive any emails from an organization claiming to be the IRS, forward the message to phishing@irs.gov so they can keep track of suspicious activity.

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Your State May Tax Your Rebate Check

SavvySugar — Fri, 07 Mar 2008 14:36:02 -0800

Just when you thought you were getting the hang of this whole rebate check thing, some states are adding more confusion to the mix by announcing that they'll be taxing the federal stimulus checks. Your rebate check won't be taxed on the federal level, but your state could decide to tax the checks as part of your personal income tax. Many states haven't reached a decision one way or another, and it's possible that they won't have any news in this regard until tax time next year when we're filing our 2008 taxes. A handful of states have already given their residents a heads up about what they can expect next year. To find out if your state has come to a taxing conclusion just

Would You Prefer If Rebate Checks Never Existed?

SavvySugar — Wed, 05 Mar 2008 08:27:31 -0800

You all have had mixed feelings about the tax rebate check that's part of the $168 billion economic stimulus package. Many of you will be receiving the check this summer, but you've also shared your disbelief that the rebate checks will actually stimulate the economy enough to make a difference. In fact, some of you think it's going to do more harm than good. On top of that, many of you have said that all of this rebate talk makes your head spin. I'm left wondering if you'd rather not get the check at all, or if your feelings of uncertainty and confusion take a back seat to the fact that you'll be getting some extra cash. Source

Would You Prefer If Rebate Checks Never Existed?

Yes, it seems like it's more trouble than it's worth.

No. I don't agree with the strategy, but my need for extra cash outweighs anything else.

No. As long as a check is in my mailbox, I don't care where it comes from!

I don't think there's anything wrong with the stimulus package.

Other. See my comments below.

Don't Be Afraid of That Letter From the IRS

SavvySugar — Sat, 01 Mar 2008 11:12:29 -0800

Usually, getting mail is one of life's small joys in my opinion. And since I've opted out from receiving credit card offers, I rarely see an envelope addressed to me. A return address labeled IRS might have me taking back any hope that paper mail weren't so out of mode, especially if it arrived out of the blue. That would probably make me a little nervous! But this time, the envelope arriving from the IRS won't be a surprise since they've issued a notice to be expecting their note. To see what 130 million households will soon be receiving from the IRS just

What Exactly Is a Rebate Check?

SavvySugar — Fri, 15 Feb 2008 15:19:01 -0800

A lot of questions have been trickling in about the rebate check since President Bush finalized the bill for the economic stimulus package on Wednesday. The most common questions have to do with whether or not you qualify to receive one and what exactly a rebate check is. To find out what the rebate check is all about just