For those of you who haven't heard of this yet, there is currently a bill being passed through congress to promote economic stimulus by giving every tax paying American a little extra money to spend and "jump start" the economy. This little package is costing the taxpayer $150 billion. And how much extra money will each of us get to use to "jump start" the economy?
The extra money you get, for the average middle class American, is $600.00; $1200.00 if you're married; and an extra $100.00 for each kid you have.
Normally, I try to stay out of directly commenting on any political issue, as I don't talk politics. I just offer advice on solving your tax debt. But I've got to throw my 2 cents in on this.
First of all, spending $150 billion so that every taxpayer can get $600.00 each is not an "economic stimulus."
There's that saying, "Give a man a fish, he'll eat for a day. Teach a man to fish, and he'll eat for a lifetime."
Of course, this subject came up in one of the 2008 presidential primary debates, and one of the candidates made a point that has stuck with me. He recommended that $150 billion should be used to repair America's infrastructure. And that's a valid point. Can you imagine how many jobs that a construction project of that magnitude that would generate? Not to mention you could get private investors to put up capital so that the taxpayers aren't covering the whole bill.
Granted, that won't give every person an extra $600.00, which frankly wouldn't do much for the average American, and have little effect on "stimulating" the economy. But putting the money towards infrastructure improvements, or school improvements, or anything else the government can do to stimulate the economy for real. And creating jobs and encouraging private investment would give the economy a real boost.
And since I'm giving my opinion on the subject, why don't you weigh in with yours?
Labels: Tax News