How the stimulus package works.

[CalG]

I take the check and pay my income tax with it......sounds about right.

Although that is essentially what we all will do, paying your taxes only, will not stimulate the economy.

The money must circulate a bit before being flushed down the hole of government. (Or even going off shore for that matter.)

 

[KennyG]

Although that is essentially what we all will do, paying your taxes only, will not stimulate the economy.

The money must circulate a bit before being flushed down the hole of government. (Or even going off shore for that matter.)

Well, theoretically if you then take the money you were going to use to pay the taxes and spend it on something else, it will do as intended. However, right now it's a bit tough to spend money (although I trust my wife will figure it out.)

 

[3Ts]

I have 3 projects I really want to do sooner than later. Each is more than what I'm getting from the stimulus, but funding was set aside for them for the last few years and is ready to go. None of them fit into the "essential" category. All I need is for the government to allow me to spend money on non-essential goods and services.

 

[BrokenTrack]

I am using the money to fix up my tractor. There is nothing really wrong with it, but at 21 years old, it is showing its age.

I could trade it, get $9000 for it or so, apply the government money, and kick in some of my own cash and buy a new one, or I can just apply the money and fix up my tractor and make it like-new. New tires, new paint, a new front bucket, etc. As I said, there is nothing wrong with it (3000 hours) so I will do the latter. In the end it will take a lot less money, and since the money was just handed to me (I am still working), then it will be a good use of it.

I try to do that, spend this sort of money on improvements that are long-term, and make my life a little better for me.

 

[lman]

I am using the money to fix up my tractor. There is nothing really wrong with it, but at 21 years old, it is showing its age.

I could trade it, get $9000 for it or so, apply the government money, and kick in some of my own cash and buy a new one, or I can just apply the money and fix up my tractor and make it like-new. New tires, new paint, a new front bucket, etc. As I said, there is nothing wrong with it (3000 hours) so I will do the latter. In the end it will take a lot less money, and since the money was just handed to me (I am still working), then it will be a good use of it.

I try to do that, spend this sort of money on improvements that are long-term, and make my life a little better for me.

Your tractor(Katie) should have a few hours to go. I'm sure she appreciates the money you are going to spend on her.

 

[BrokenTrack]

Your tractor(Katie) should have a few hours to go. I'm sure she appreciates the money you are going to spend on her.

We have had a tough go of it these last few years, but we seemed to have turned a corner now, and things are going pretty well.

I was able to spend the last few weeks working on the house and making that better. We just redid our master bedroom, then I redid our main bathroom, and now I am working on a chicken/duck coop, so Katie is pretty happy.

After the duck coop is done, she wants me to put in a dog wash station in our mudroom. That will be handy for washing out paint brushes, filling buckets, rinsing mops...and yes, washing the dog too!

 

[Jstpssng]

That dog wash station is on my list also. It's been six months since his last bath and he smells like it. It's a nice day for a bath today though.

 

[kenmac]

Not every one,but some believe the government is giving them something. I remind them the government is giving back a portion of the money they stole from them. They will expect some back at the end of the year.. (tax time)

 

[Jstpssng]

Not every one,but some believe the government is giving them something. I remind them the government is giving back a portion of the money they stole from them. They will expect some back at the end of the year.. (tax time)

Actually, they are loaning us somebody else's money which your grandchildren will be paying on.

 

[ruffdog]

The projected national debt for 2024 took a big jump lately. It is now at $40.3 trillion. Unreal.......:shocked:

 

[Steppenwolfe]

The projected national debt for 2024 took a big jump lately. It is now at $40.3 trillion. Unreal.......:shocked:

Yeah... it will be our demise.

 

[Gator6x4]

Sending a dead person a check is no big deal; it is when those checks get cashed that I scratch my head/get concerned! (LOL)

How dead people receive checks.

Mom or pop dies. They had direct deposit for SS. SS was never notified Mom or Pop had died. The checks keep coming every month. FREE MONEY. "Rep. Thomas Massie, a Republican from Kentucky, said Wednesday a friend texted him to say his father, dead since 2018, had just received his $1,200 in stimulus money." Same thing if Mom or Pop was living with a son or daughter and received his SS Check by mail each month. SS Not notified mom or pop died. The check keeps coming each month, the son or daughter endorses the check and cashes it. FREE MONEY

 

[RickB]

Yeah... it will be our demise.

Sadly. Print money today, kick the can down the road.

 

[BrokenTrack]

How dead people receive checks.

Mom or pop dies. They had direct deposit for SS. SS was never notified Mom or Pop had died. The checks keep coming every month. FREE MONEY. "Rep. Thomas Massie, a Republican from Kentucky, said Wednesday a friend texted him to say his father, dead since 2018, had just received his $1,200 in stimulus money." Same thing if Mom or Pop was living with a son or daughter and received his SS Check by mail each month. SS Not notified mom or pop died. The check keeps coming each month, the son or daughter endorses the check and cashes it. FREE MONEY

I know how it works, but it is still against the law.

My neighbors got caught doing that. It took a few months for the Government to catch up with them, but they did.

 

[BrokenTrack]

That dog wash station is on my list also. It's been six months since his last bath and he smells like it. It's a nice day for a bath today though.

Yeah ours is pretty bad too.

Normally she would have had a date with the groomer to have her annual shearing done (Great Pyrenees), but due to Black Swan, they are not open.

 

[ruffdog]

Sadly. Print money today, kick the can down the road.

At what point does the debt get so high that the country can't pay the interest? Most of us watch our personal budget and we wouldn't get that far in debt. What is the break-even point for the national debt?

 

[fried1765]

Yeah... it will be our demise.

Yes:......and the Chinese will have accomplished their goal of world dominance,...... without firing a shot.

 

[RickB]

At what point does the debt get so high that the country can't pay the interest? Most of us watch our personal budget and we wouldn't get that far in debt. What is the break-even point for the national debt?

I don’t know. Folks who do usually express the debt payment as a percentage of GDP which makes sense. As the ability to service debt increases, so does the point at which there is too much. A shrinking GDP is counterproductive. I have said since 2008 that what is wrong with our economy and society cannot be fixed and I still believe it.
What I have not heard much of is that the oversold stock market and our economy in general was long overdue for a correction. We may well get more of that than we bargained for. All this newly printed money will certainly bring inflation sooner than later. Then the fun will begin.

 

[ruffdog]

Interesting read....I'll have to read it several times as there is lots of info.

The National Debt Explained

 

[shooterdon]

At what point does the debt get so high that the country can't pay the interest? Most of us watch our personal budget and we wouldn't get that far in debt. What is the break-even point for the national debt?

They devalue the dollar and address it that way. If you are invested in annuities, T bills, CD's, etc...you take a hair cut. If interest rates rise, it will be a blood bath. Think about your SS check buying half or less than it will purchase today?