Just got your stimulus check and don't know how to spend it? For those who paid taxes last year and submitted an application, you should be getting that much-needed check pretty soon. There are tons of ways to spend your government-funded check and you want to make sure you are not wasting it for yourself, your community, and for the future of the government. This guide has 5 of the best ways to spend your stimulus check from saving to spending.
Support Your Community - Local Bars and Restaurants
If you want to help support your favorite local bars and restaurants, there is no better way than purchasing a MyArea Network Voucher. Through the program, you'll be able to save money on all the best restaurants and help give revenue to those businesses that are temporarily closed. Several bars and restaurants are offering discounts including $25 for only $19, $50 for $35, and some are even offering $100 for only $50! That's double the value of what you are paying! If you don't want to use the voucher for yourself, you can gift a voucher to anyone you know that needs it! Help a stranger or a friend and support your favorite establishments all at the same time. If your favorite bars and restaurants haven't signed up yet, reach out so we can get them started to save you money and help them through these times, or ask them to sign up on local relief.
Invest - Startups, Stocks, Apps
As the old saying goes, buy low and sell high. The stock market has made significant gains since the Great Recession, but the introduction of COVID-19 has taken a toll on the market’s health. Even some of the most successful and well-known companies have had significant price drops, indicating value to be had. There remains a significant risk in individual securities due to the nature of equity investing and the uncertainty of COVID-19. A safer play is to bet on the US economy as a whole, commonly done through investing in index funds. Many index funds try to mimic the S&P 500 or the Dow Jones Industrial Average, reducing an investor's risk if an individual company or even an entire industry takes a hit. Fidelity, Vanguard, and Schwab offer popular funds. Someone new to investing can use a platform such as Robinhood, which currently does not charge fees for trades. Keep in mind, investing carries significant risks, and you should seek the advice of a professional advisor if you want to invest.
Pay Off Debt
For those with any kind of debt, it's a great idea to spend your stimulus check on making sure you don't owe any money. Whether it is student debt, credit cards, or personal loans, all are great ideas to try and pay off. Remember to start with any debts that have a higher interest rate and your future bank account will thank you.
Splurge - Clothes, Travel, Sports, Events
Spending all your money frivolously is never smart, but if you want to splurge a little of your stimulus check, buy something you know you will need in the future. Buy clothes if you need or stock up on house supplies, or buy yourself a trip in the future (at a reduced cost) to enjoy once the quarantine dies down. If you have an event, concert, or game that you know of in the future that you want to attend, these are also great ways to spend your stimulus check.
Save
This topic is the opposite of spending but for most of us, it is probably the best way to use your stimulus check. Leave that lump sum in your bank account and start or grow your nest egg. It's smart to have an emergency fund and the government has given everyone the chance to do just that.
So use your check wisely in these tough times and don't forget to help your neighbors! There are tons of way to spend that money but make sure you do what's best for you and your family
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