If you’re an adult in the United States, more than likely, you have a $1200 stimulus check coming real soon thanks to the CARES Act. Before you go spending it on video games and tons of grub, SOHH has 5 ways to make that money go twice as far.
Thanks to the coronavirus, we’re all stuck in the house practicing social distancing. Businesses are closed, and COVID-19 is projected to wipe out the equivalent of 195 million jobs globally, according to the United Nations. To stimulate the American economy, the Trump administration is pouring $2.2 trillion into it — with roughly $1200 going straight to individual pockets. Here’s how to ensure you get maximum value from your windfall.
If you reported $75,000 or less on your latest tax return you’ll receive a check for $1200. Couples who file together will receive $2400. Parents will receive an extra $500 for each kid — no limit. (If you have a gaggle of kids home from school driving you crazy right now, be happy you had them!) People making over $75,000 will still receive a check, just not as much, while people making $99,000 or more won’t get a check at all.
To make that $1200 go twice as far, here’s a suggestion:
Invest in your future
Tempting as it may be, now is not the time to spend money on Fashion Nova or a pair of Jordans. You’re not going anywhere. Instead, consider putting some of that CARES Act cash away for a rainy day. Sock away at least 20% — that’s $240 — in a liquid savings account at your bank just in case.
You could also launch that business idea that’s been percolating in your mind for years since forming a company would also give you significant tax advantages. A good first step is to incorporate — CorpNet allows you to set up your new business for just $79. They provide information and resources for small business owners, and have highly favorable reviews on TrustPilot.
Investing in your future — either by saving or starting a business — will maximize that $1200 stimulus check and give you more than twice the value.
Check out more ways to double your $1200 stimulus money in part two coming Easter Sunday (April 12).