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Working or maintaining a steady income during this pandemic has become a highly sought-after blessing.
Millions of Americans woke up one-day last week with a bank deposit of their federal stimulus payment. And many did not, but that’s another subject. The amount was designed to provide each adult with twelve hundred dollars, and an additional five hundred dollars for each minor child.
The “extra” money is intended to supplement income during this unprecedented hardship OR just put money back into the failing economy. However, the jury is still out on which one.
Believe it or not, some people went out and bought TV’s, as if they didn’t have one, but most families need the money to help with household expenses. Bills, groceries, homeschooling supplies, and if you have boys of ANY age…more groceries.
So, what does the stimulus check really tell us about the reality of family expenses?
According to Fox Business:
“a family of four, including partners between the ages of 19 and 50 years old with two children between the ages of 2 and 5 years old, can spend around $890 a month ($10,680/yr)
Partners with kids between the ages of 6 and 11 years old can spend $1,062 per month ($12,744/yr), according to the United States Department of Agriculture guidelines for a moderate budget” on just groceries!
Now let’s add a mortgage or rent, daycare, car note(s) and insurance, utilities, etc. That stimulus quickly becomes stimu-LESS… than what we need.
Based on the amount of the stimulus, I think America is sorely out-of-touch with its residents. 49% of the middle-class household is already living paycheck to paycheck with little wiggle room for extracurricular activities or more importantly, monthly savings contributions. This pandemic has truly exposed the financial detriment of the American economy, but here are few things to think about going forward:
- SAVE! SAVE! SAVE! – try to maintain a savings balance for at least two months of household expenses.
- Create a plan B & C for sources of income – consider turning a side hustle into a money-making venture. Or create a business that would be regarded as “essential” to every day.
- Start couponing and storing enough nonperishable foods to feed your family for a few weeks
- Re-evaluate what a necessary expense is – yes, Amazon prime qualifies. Tuh!
Unfortunately, we are here, and this pandemic is happening. Whether you were financially prepared or not, the stimulus package can be helpful in these times. Take advantage of these options:
- Unemployment benefits
- Food stamps
- Payment deferments on auto and home loans
- Low-interest rate personal loans
- Credit card payment forgiveness
The stimulus check may not have given much stimulation to your household, but anything is a win in this uncertain climate.
