photography / Troy Boman (From left to right, top to bottom) Nicole Harrison, Daniel Gavin, Alecia Blodgett, Jack Ashinhurst, Elder Andrew Noel, and Shawna Atwood were each asked what they would do with their stimulus checks from the government. Answers ranged from spending it on loved ones to saving it for a vacation. Noel, an LDS missionary from Alberta, Canada, said his government gave taxpayers a similar check in 2006.

by Doug Radunich

STAFF WRITER

The check is in the mail and most folks have already decided how to spend it.

Federal stimulus payments began going out last Monday. In order to receive one, taxpayers must have a valid Social Security number, at least $3,000 of income in 2007, and have filed a 2007 federal tax return. Eligible individuals will receive up to $600 ($1,200 for married couples), and parents will receive an additional $300 for each eligible child younger than 17.

The congressional initiative was designed to help stimulate a sinking economy by increasing consumer spending nationwide, and many county residents plan to follow that script once their check arrives.

"I'm going to be buying my daughter a swingset, but I'm also going to go shopping for some new clothes, since all the ones I have now were for when I was recently pregnant with my baby," said Tooele resident Alecia Blodgett. "I had wanted to get a swingset for a while now, but I couldn't because of the rising high gas costs and other expenses. It now costs me $60 to fill up my tank every time, and I have to drive to Stansbury Park every day."

Courtney Wardle, of Tooele, said she will to use her stimulus rebate to help pay for a Disneyland trip.

"I'm going to let it sit in the bank for several months and then use it to take my family to Disneyland, probably sometime next year," she said.

Managers of local large retailers say they haven't seen a big rush of customers eagerly wanting to spend yet.

"I haven't seen much yet as far as stimulus spending goes, and right now it's hard to tell if we'll see a major influx later on," said Steve Widerburg, store supervisor for Home Depot in Tooele. "I know the government wants us to spend it, but I'm going to put mine in the bank."

Tooele Wal-Mart Manager Mark Wozney said his store hasn't noticed much purchasing with the stimulus rebate just yet either, but that it is currently prepared for those people who come in ready to spend.

"Our store will offer customers free check-cashing for the stimulus rebates," he said.

While many will spend their stimulus rebates in the way the government intends, others are going to use the windfall to pay off debt.

Daniel Gavin, owner of Spot Free Window Cleaning in Tooele, said, "I'm going to use it to pay off my debt, but I'll also invest in my business with it."

Tooele resident Nicole Harrison said she would use the money to pay off her Visa card, while local contractor Jack Ashinhurst said he is going to put his money in the bank. He said even though the money may seem like a lot at first, it won't make much of a difference to most families.

"My family is going to get $1,500 back, but because I have to spend $1,100 in gas a month for my truck, it won't help us that much," he said. "I'll admit that the stimulus package will help retailers for a couple of months, but it will only give people a little boost when you think about a family's major expenses. The stimulus package is hyped up to be more than it really is, and the economy is going to drop anyway."

The last two digits of a person's Social Security number, as well as whether they opted for direct deposit or a paper check on their tax return, will determine when they receive their stimulus payment. Checks will be sent to more than 130 million households across the country, and the offer is a one-time deal this year only.

"I've talked to about 15 or 20 of my clients about what they're going to do with their stimulus rebates, and I've heard everything from saving it to spending it to paying off their debt with it," said Tooele financial planner Tye Hoffmann. "I've had a pretty even mix of responses, so it's hard to tell what the majority of people will do. There's also not one exact thing I advise people to with their stimulus rebate, but if they have debt, it's probably best to help pay it off with their stimulus."

With the economy now at an uncertain point in time, Hoffmann said people who plan to spend their stimulus rebate should be sure to spend it responsibly and on items they absolutely need.

"For example, I had one client tell me they were going to spend it on food for storage," he said. "Obviously, if someone plans to go out to Wendover for the weekend and spend it gambling, that wouldn't be considered spending it too responsibly."

Local CPA Sam Woodruff advises his clients to save the extra money rather than spend it on unnecessary luxury items.

"I have talked to people who had their taxes done by me about what they'll do with the money, and a lot of them say they're going to hold on to it, put it in the bank or pay off debt with it. However, you never know what people are going to do once they get that money in their hands."

dougrad@tooeletranscript.com