SavvySugar

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.
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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?

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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 read more.

Some people will receive an additional check because they didn't get the $300 child credit like they should have, and in those cases the checks can be deposited without hesitation. If you receive an additional stimulus check don't cash it and return the check to the IRS.

According to the IRS, you should write VOID on a paper rebate check and return it with a note to the IRS center where you filed your tax return, and if you e-filed or a tax professional filed for you simply visit the IRS website and locate the appropriate address. You should notify your bank if you received the erroneous payment through direct deposit and they will fill you in on the proper procedures.

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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.

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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!

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