ALBANY, N.Y. (NEWS10) — Millions of Americans are anxiously awaiting stimulus checks that can help pay bills.
Many people have already received their check, and more will begin receiving those checks in the next coming days and weeks.
Jillian Latham says she opened a new business just a week before she was told to shutdown due to COVID-19. She is now stuck at home, and her income has taken a hit. Latham says she is depending on the stimulus check.
“My plan with the stimulus check is it’s already gone. I have a $700 electric bill that I have to pay first along with other bills,” said Jillian Latham.
The stimulus checks are a one-time payment from the federal government. It is help to provide some relief for people who are desperately trying to keep up with mortgages and rent. Financial advisors say it’s important to know exactly where that money needs to go.
“Well, certainly first pay your bills. As far as taxes go, you have until July 15 to now pay your taxes on time. So I think I would look at your higher interest rate credit cards that you’re running a balance on. That’s what I would target first,” said Kerry Mayo, Managing Partner of Capital Financial Advisors of New York.
Many people may have the question on their mind, “Are they going to have to pay this check back one day?
“This isn’t something anybody is going have to pay back; its a tax credit, so it’s a non-taxable income,” explained Mayo.
Those stimulus checks will soon be sent out to millions of Americans. Each check will contain $1,200 per person plus an additional $500 per child. Americans who made less than $75,000 in 2019 will receive the full payment of $1,200. Couples who filed jointly and made less than $150,000 will get $2,400.
Alexandria Bethon is a mother of three. She says this check will only get her family so far.
“With us all being home now, we are going through a lot of groceries, and eating a lot more. Having three kids home and my husband at home, there are now just extra bills and things,” the owner of Alexandria’s Beauty Salon said.
For many people, this stimulus check may not last more just than a few days.
“This check of $1,200 is a lot of money, but at the same time it’s really not in the grand scheme of things. Like, $1,200 is not enough to cover expenses, especially personal expenses but let alone business expenses,” said Latham.
Financial advisors say these checks will be sent to you the same way you filed your taxes. It will be sent either through direct deposit or through the mail.