3 Things You Can Do With Your Stimulus Check

Many of us are getting a stimulus check from the government (or have already received it), due to the economic ramifications of the coronavirus (COVID-19). Before you go on that shopping spree at your favorite store, however, take a moment to think about some smart things you should do with this extra money.

Here are your basic options when it comes this year’s stimulus checks:

• Put It Back Into the Economy

You could say that this is the main reason stimulus checks are sent out in the first place. According to Investopedia, “stimulus checks are intended to stimulate the economy by providing consumers with some spending money. When taxpayers spend this money, it will boost consumption and drive revenues at retailers and manufacturers and, thus, spur the economy.”

If you already have a good amount of money in savings (and investments), this might be the best option. Support local businesses and put the money back into the economy by spending it. Maybe there’s a house upgrade you’ve been holding off on or a new toy you’ve been wanting to buy? A stimulus check is a great opportunity to do either.

• Save It for Later

If you’re one of the many victims of coronavirus layoffs, you might not have much income, if any. Or, even if you do have income, you might only be making ends meet and living from paycheck-to-paycheck. While there are options for the latter scenario (such as a payroll card from Spentra, which allows you to access up to 50% of your net wages before payday), the stimulus check might be your only opportunity to put away some savings. Resist the temptation to live outside your means and save your extra money instead.

• Invest It

It’s no surprise that stocks and other investable assets are at some of the lowest levels they’ve been at during the current presidency. You can take advantage of this bear market, however, by using it as an excuse to invest. If there’s nothing you need to buy and you have plenty of savings, this might be your best chance to really pursue future wealth. Whether you choose stocks, bonds, virtual currency, a 401(k), or other forms of investment, this is a solid option.

Another great financial decision? Managing your paychecks with Spentra. To see how you can get this industry-leading pay access solution at your company, contact Spentra today.