Bills :(

The whole point of the rebate check is to stimulate the economy. Spend a few $$ at one of your favorite local shops. Treat your self to something you love. It will help keep them in business.
Sorry, I'm a retailer/service shop. I know we are all feeling the pinch but please consider spending your $$ locally.

I'd love to be able to splurge but bills come first. When the debt is gone then I will splurge.

Believe me, I would much rather spend the money on the something fun instead of bills, but I don't get that luxury.

I understand that whole point is to stimulate the economy, but until I can tell the gov't how they can spend my tax dollars, then they can't tell me how to spend my rebate.

HA! Wish we were going to get one!

I just got my official notice from the IRS today that I am getting the rebate check. Sorry, but this is my money they are so graciously giving back to me so I'll do whatever I want with it. Which is pay my bills. I'm going to be debt free by the end of this year, except for my mortgage!!!!

I've already spent it and tried to stimulate the economy. I put the purchases on my CC so when the check comes, I'd be forwarding the $$ to pay off the CC =o)

I tried, I really tried...

It will go where all 'found' money goes--right into my bank account. And that WILL help stimulate the economy, because my bank will have that much more money to lend out to someone who IS spending.

We have to pay $1,200 in taxes so our rebate will just go right back in the bank to cover the IRS check. Sure wish they would just let us apply the rebate to what we owe. Also wish we could get our taxes straight so we didn't have to pay so much! Been struggling iwth the balancing act for three years now!

Mine's going on my CC bill too. I want to get that paid up/off, so there intrest added.
Leslie

janie, we were always afraid of having to pay, so claim 0 dependents...you pay in more, but then you usually get a refund...

of course, i don't know how that works if you're self-employed and have to pay quarterly...

janie, I feel your pain. I had the same thought about the rebate.... I have to pay $900 and wish I could just apply the rebate to that.

so there interest added. I meant to say, so there isn't interest added.
Leslie

Mine will be used to move my laundry from the basement to the first floor. This will add value to my house so I guess you could say I will be investing it.

Janie GA, and Jamie MS,
if you currently owe the IRS, they will keep your rebate check and apply it to what you owe.
It says it here at their website. I owe too.
Scroll all the way to the bottom and it's one of the last few questions answered.

Here is a link that might be useful: Rebate Check questions and answers

We're going to use it for living expenses. Both DH and I are out of work at the moment.

Hmmm that's interesing Mickey. I read your link. My accountant told us that we couldn't use it toward our taxes that we owe. As a matter of fact she told us that we wouldn't get a rebate check until our taxes were paid. She said they want you to spend the money so they won't let you just roll it over to what you owe. We won't be spending ours - it will go toward our taxes, if we can do that our back in our savings from paying the taxes. Now I'm wondering if she knows what she's talking about.

Well I will do what I am supposed to do and go shopping:) Just kidding. We were in financial trouble last fall and in working with our bank we were able to combine all debt and take out our first mortgage on our house and go from 1800 a month in payments to 550 a month. We included vehicles, student loans, credit cards,hospital bills, everything. What a relief that has been to be able to be payment free except for one payment and utilities. We were going to go on vacation this summer, but God thought it would be funny, and my tubal failed so baby coming in November so no big vacation. I have already spent some of our other refund on seeds for garden and I am going to buy some plants that I have wanted and decorate my garden.

Stacie

Angela, all I know is that is what the IRS.gov website says, so I'm apt to believe them. :o)

I have not received a letter from the IRS telling me I will get a rebate but if I get one it will be put back in the bank as I had to send $775.00 to them this year.

The notice we got said you will not receive a check unless you have filed your taxes. I also read that a dependent that files separately can't get a check, so our youngest that PAID taxes won't get a check because he is still a dependent. We don't meet the minimum income requirements so we aren't eligible.

You know that the rebate is an ADVANCE against what your 2009 refund will be, don't ya? And you have to PAY that refund money back....as I say, it's REALLY just an ADVANCE they're loaning you!

We were going to go on vacation this summer, but God thought it would be funny, and my tubal failed so baby coming in November so no big vacation.

Sorry, I don't know why that made me chuckle this morning. There is a bad case of "failed tubals" going around these days. :-)

May want to go ahead and pay and then be reimbursed...

Q. I owe some money on my 2007 tax return but the amount I owe is less than my expected stimulus payment. Can I wait to pay the balance due and simply let my stimulus payment cover it?
A. You should file your 2007 return and pay the entire balance due by April 15. You should not wait for your economic stimulus payment to offset the balance due. If you wait, penalties and interest will accrue between April 15 and the date the balance is paid, even if it is ultimately covered by the stimulus payment, which will not be available before May. [New 2/28/2008]

I have a question, too. If the baby is born before the checks are issued, do I get more money? If so, what do I do to let them know we have another dependent in the household?

Mickey...I think you mis-read the link about Rebate questions, and confused tax owed with insufficient tax money already paid (through estimated payments and/or withholding).

The rebate is a separate entity from your 2007 tax liability. It will NOT be applied to any ADITIONAL tax owed the goverment on your 2007 return.

"You know that the rebate is an ADVANCE against what your 2009 refund will be, don't ya? And you have to PAY that refund money back....as I say, it's REALLY just an ADVANCE they're loaning you"

Redcurl - It seems to me this was discussed before on this board and that this is not correct. I'm sure someone on here knows for sure.

I'm thinking of Eliot Spitzering it.

Of course, it will only buy me 6/10ths of an hour...

Yes, redcurl...angela is correct.

The rebate has nothing to do with refunds...nothing at all.

LOLOL @ kframe. What on earth can make it worth $$4800??? or maybe that belongs on the hot topic forum!!

lol.....Im puttin mine in the bank....until it is needed.

I'm LOL at kframe, too! ;o) Thanks for the chuckle.

Between DH, myself, and 4 children, we'll get a good check. Some of it will be spent (invested?) on the fees for me to take the exams and classes needed to get certified to teach again. All something I would do anyway, but this will make those expenses not cut into other things. But it won't take all of it. Then again, clothing and activities and equipment for those 4 dependents will make any check disappear quick.

Bearcat- If I am not mistaken this is based on last year's taxes, so I don't think you would be eligible for more if the little guy comes first?

Bearcat~junebugs is correct, it's based on your 2007 filing status. And as far as letting them know you have a new dependent..You'll do that when you file your 2008. You'll add the baby's name, ss# and relationship to you on your 2008 form..and go from there.

Rebate check..hmmm some furniture..lots of sports expenditures..and probably simply gas tanks worth of gas too and from these sports functions!

The rebate amount is based on dependants on the 2008 taxes. The amount for a new baby will be applicable as a tax credit on her 2008 return (a tax credit is an amount that is subtracted from total taxes due (not refund amount).

For example...a couple files their 2007 return this April, showing 2 dependants. Based on this, a rebate check is sent in May for $1200. A baby is born this year, and on their 2008 return, filed next April, there are 3 dependants. Say they owe 8,000 in federal income taxes...the 1200 received this year will be added, for a total of $9200 , and a tax credit of $1800( 3 dependants)will be deducted from taxes due.
The end result would be $7400 tax bill. Any estimated payments and witholding would then be subtracted to see if there is a refund due, or additional tax paid.

Kframe, 1/10th of an hour=6minutes? 6x6=36?

Hmmnnn, reminds me of the Dominos pizza commercial.

Sorry if you haven't seen it; I'm not going to try to explain it. {{gwi:1587325}}

Sue

below is the site where you can calculate the amount you will be receiving...you will need a copy of your 2007 1040 form for the figures.

ML

Here is a link that might be useful: calculate your stimulus check amount

Well I am spending! I am buying a dryer for the Chincoteague mobile home and a new front door. No more hanging clothes there unless I want to.

Yeah, I didn't figure the math too well on that...

I'm going to use it, at least part of it, to cover the cost of the bridge I need to replace the tooth I had to have pulled last month.

Monica...are you saying that we will have to claim this money when we file 2008 taxes?

I will use it to pay real estate taxes that will come in June. We do not have the luxury of spending to stimulate the economy. And our income tax check will go towards college expenses for DSD.

Your 2008 rebate will basically have you add the rebate to the taxes owed - not income, and then subtract the rebate amount from taxes owed. For 99% of us, it means adding the amount of the check you will get this year and then subtracting the same amount....Basically, it's a zero-balance thing necessary for accounting purposes.

Well, mine's already spent - I don't like a CC balance, but now there's one due to some car repair work, so my share of the rebate check will go towards getting that paid off! DH and I will split whatever we get - I'm sure he'll spend his! Wouldn't paying off our bills help the economy too?

Let it sit in my Bank Account and then use for paying my credit card off. I charge everything and pay it off at the end of the month so it really will be helping the economy.

I am going to be spending my $600.00 foolishly. We have always been frugal but with this I feel like going wild. Some would probably laugh at my idea of being foolish tho'. First I'm going to pay to have a couple of quilt tops quilted. That will take about half of mine. I also want to add to my fabric stash and I'm sure there are a tool or two that I don't have. My husband already spent part of his for a new chain saw.
Pat

Patruth, you are spending on things you both enjoy. I wouldn't call that foolish. You probably feel you should be saving or investing it, or doing something totally practical.

Mine's going on my cc bill. I've already spent the money on there to help stimulate the economy. I don't want to pay interest to the cc company.

terilyn- we have the same scenario at our house. The reason your son will get no rebate even though he paid taxes, is that since he is a dependent, he will get about every nickel back as a refund. Almost like not paying taxes, just giving the govt. a short term loan. Without interest returned, of course.

KARENGARDEN: baby coming in November

CONGRATULATIONS!!!!!

This whole GIANT "rebate" on outrageous taxes is just a little blip in our life. We owe the IRS $6000 for 2007 (investment income=retirement, hopefully, someday, before we're over 100 yrs. old.) And DH has been unemployed 3 mos. now. The unemployment insurance barely covers the morgage & horrendous property taxes ($1300) and COBRA/health insurance is costing us almost $900/mo. I guess we'll use the "tax rebate" for food. . . . . Here we go again -- been here too many time already. . . .

Kframe's reply, "I'm thinking of Eliot Spitzering it," had me "spitzering" coffee out my nose. Funny comment!

Kim