Thanks to Pres. Obama's stimulus plan, 50 million retirees will receive $250 checks in May

[ClarkUSA]

Heads-up! Some DUers may be getting a nice surprise next month. :)

WASHINGTON – More than 50 million retirees can expect to receive $250 payments from the government in the next few weeks as their share of the economic stimulus package enacted in February.

Economists say the payments will be a timely boost just as the recession is showing signs of easing a little... They will go to people who receive Social Security, Supplemental Security Income, railroad retirement or veteran's disability benefits... the payments are intended to inject more than $13 billion into the economy while helping beneficiaries of the four programs meet everyday living expenses.

The payments are meant for people who did not qualify for the new "Making Work Pay" tax credit that provides up to $400 to individuals and $800 to couples. Taxpayers who would otherwise qualify for both will have the $250 payments deducted from their tax credits... tax credits started flowing to most workers in weekly paychecks this month. The $250 payments will be delivered in May... The effect on the economy should be known in the next few months, said Mark Zandi, chief economist at Moody's Economy.com... But, he added, "The rate of decline is slowing; the free fall is over."

The goal of the stimulus package is to get people to spend money at a time when most are reducing spending and saving more. It makes sense to be frugal when the economy is in such bad shape, but it hurts the economy when everyone does it... extra Social Security payments should boost spending because retirees on fixed incomes are more likely to spend them than workers earning more money, said Diane Swonk, chief economist at Mesirow Financial.

Five members of my immediate family will be getting these checks next month. I can attest to the fact that all of them will be spending the money soon afterwards to pay bills and buy groceries.

Thanks, President Obama, for caring about seniors, those on SSI and disabled veterans! :patriot:

[ananda]

1. Nothing for retired teachers.

Sigh

[jberryhill]

2. Teachers don't collect Social Security?

Really?

[eyesroll]

4. In some states.

Here in WI, they collect SS because they pay into SS. (They also pay into a state pension fund.) In other states, they don't.

[TwilightZone]

5. Example, please.

I had no idea that some states had different rules for SS. Not sure how that would work since it's a federal program.

[eyesroll]

9. Connecticut.

http://www.cga.ct.gov/2006/rpt/2006-R-0547.htm

Also, my dad in Illinois, though I don't have a direct link for that.

[ChiciB1]

11. I Think CA Is Also One Of Those States... Not sure... n/t

[avaistheone1]

15. Retired teachers have it pretty good in California.

They get about 75% of their regular pay in retirement. Their health care in retirement is pretty much paid for. They have a small out of pocket payment most of us would die for. They may not get Social Security, but they also don't pay into it. Also there PERS retirement investment is guaranteed by the state. So even though everyone else is suffering with their recent losses in the stock market, the state of California guarantees teachers that they will make up for any shortfalls the teachers experience. The teachers have it sweet here.

[ChiciB1]

16. WOW! Thanks For The Info... My Nephew Was A Fire Fighter & He Told

me he didn't pay Social Security, so I thought perhaps this was a negative. I SEE that it's not!

[TwilightZone]

13. Wow.

I honestly had no idea. Your link listed 14 states, including Illinois.

Learn something new every day....

[dsc]

14. If the state involved had their teacher pension program before SS existed

then they don't participate in SS. I didn't in Ohio but do in NC.

[Cha]

8. You didn't know that Retired School Teachers are

"Retirees"?

sigh

[NEOhiodemocrat]

3. :)

I got the notice saying my husband will be getting this. Always comes in handy, especially since we have to travel to DC for my daughter's graduation from George Washington University.

[ClarkUSA]

6. Awesome!

Congratulations on your daughter's graduation from a great university, too. :hi:

[hughee99]

7. My mother can buy a muffler.

I remember just a few short years ago when $250 would "only" buy you a muffler. My how times have changed.

[ChiciB1]

10. Not Much Money... But We Got Our Notice Yesterday! Getting $500.00 n/t

[AtomicKitten]

12. Every little bit helps. Thanks for posting this. ;) n/t

[ClarkUSA]

17. *kick*