Tax Refunds & Advice

Believe it or not, there are more than a million Americans who are eligible to receive an economic stimulus check, but are not yet qualified to do so. If you are not sure of your position, you will definitely want to look into things sooner rather than later. Simply put, October 15 is the last day that you can file a 2007 income tax return which will make you eligible to receive an economic stimulus check. If you miss this deadline, even if you should receive a check, it is too late.

Those who do not usually file a tax return, such as veterans or people who receive benefits from social security, may still be eligible to receive an economic stimulus check of up to $600. The problem is, since these people usually don’t file a return they are neglecting to make themselves eligible to receive payment.

If you or somebody you know is in this position, you still have time to make amends. As long as a 2007 return is filed by October 15 you will be eligible for payment. Many tax offices around the country are offering free services to people in this position. Of course, you could always file your own return or find your own tax professional to help out.

Even though it may seem silly to jump through these hoops, with up to $600 waiting on the other side, it is a very good idea. If you are eligible to receive an economic stimulus check, you might as well file your 2007 return by October 15 to ensure that you get what is coming to you.

After all the talk about the economic stimulus package you would think that every American with the right to money would have jumped at the opportunity by now. But guess what? This has not been the case. In fact, there are five million stimulus checks that have yet to be claimed. As you can imagine, this means that there are tens of millions of dollars hanging out there waiting to be sent to consumers.

Who are the people that have yet to claim their money? The IRS has reported that approximately 25 percent of those who receive veterans’ benefits and Social Security, and do not usually file a final return, have yet to fill out the proper paperwork to receive their check.

In March, the IRS sent information to nearly 20 million Americans who fit into this category. Only 15 million of them have taken the proper steps of filing a return.

As of June 13, the IRS had sent out more than $63 billion in stimulus checks to approximately 75 million Americans. By July 11, the total number of checks is expected to reach 110 million. That being said, in order to be eligible to receive a payment consumers must file a return. This is where the five million people noted above are missing the boat. Under normal circumstances these people would not be required to file a final income tax return. And while they do not have to do so for 2007, this will result in missing out on some free money from the government.

Those who have yet to claim their stimulus check can still file a final return. That being said, time is quickly running out for these five million Americans.

Have you received your economic stimulus check yet? If so, you may have already spent this money on one thing or the next. If not, you are probably thinking about what you are going to do with this money when it finally arrives in your bank account or the mailbox. Why not pay down debt with your stimulus check? For many, this $300 or more will go a long way in getting rid of stressful debt.

What type of debt can you pay down with your stimulus check? There are many answers to this question. Most commonly, consumers who decide to use their check for debt are going to turn to credit cards. How much credit card debt do you have? If you can cut into this by using your entire stimulus check you should consider doing so. No, this is not going to be fun, but it will definitely help your financial situation. Remember, when you pay down your debt you are saving yourself a lot of money in interest charges.

Of course, debt comes in many different forms. You may want to put your stimulus check towards your car payment or mortgage. Believe it or not, one extra payment of $600 can shave several months off of your term. Who wouldn’t like to pay off their car or home a bit earlier than expected?

While the government is hoping that the majority of consumers will spend their stimulus check recklessly, many know better than to do this. If you do not immediately pay down debt with this money, you may want to consider saving it in the bank for future expenses. There is nothing wrong with spending this money on something fun, but if you have more pressing issues, such as debt or building an emergency fund, you should take care of these areas first.