Immediate needs come first, then savings. Consider gifts to those in need and teaching your children about money.
Congress has passed the third stimulus check relief package, and President Joe Biden promptly signed it into law. Here are the details of the American Rescue Plan Act of 2021, plus an actionable priority list of the best ways to use the money based on your current financial circumstances. Payments have begun to be issued. To track the progress of yours, check the IRS’ Get My Payment search tool. By entering your Social Security number, date of birth and address into the online tool, you’ll find out when and how (by mail or direct deposit) you can expect your payment. There can be a huge temptation to see the check as bonus money that we can simply spend, says Michael H. Baker, a certified financial planner with Vertex Capital Advisors in Fort Mill, South Carolina. “But let’s be prudent. Maybe the best thing for you to do is to replenish your emergency fund,” he says. “Maybe you need to pay down that credit card that you’ve been using to bridge yourself through inconsistent income.
