Here’s how to use your money

Here's how to use your money


Millions of workers and their families will receive a one-time check from the government as part of the coronavirus stimulus package. Most adults will get $1,200, while children will receive another $500. 

For workers who have already lost their jobs because of the pandemic’s hit to the economy, that extra money will likely be immediately put to good use — paying rent, mortgages, utility bills and more. But if you have a paycheck, what’s the best use of that money? Should you save it, pay down debt or spend it to help keep your local economy working? 

It’s a tricky calculation given the unknowns facing many families, such as whether the pandemic will linger for months or if businesses will resume normal operations within weeks. Layoffs are rippling through the economy, not only hurting restaurant workers but professionals such as lawyers and insurance providers. On top of those “what ifs,” America’s outstanding credit card debt and other types of revolving debt have reached an all-time high

“The natural reaction is to use it all to pay down debt,” says Matt Schulz, chief industry analyst at CompareCards. “Paying down debt is a good thing, especially in crazy economic times, but it can make a lot of sense to take a little bit of that money you were going to put toward debt and stash it in a rainy-day fund.”

President Donald Trump signs the coronavirus stimulus relief package, at the White House on Friday.

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The fact is, four in 10 adults say they would struggle to come up with $400 in an emergency, according to the Federal Reserve’s annual check-in on Americans’ financial health. Given that millions of Americans are likely to face a fiscal crunch in the coming weeks, they should consider putting part of that stimulus check aside for that potential emergency, experts say. 


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By Javier Manning

Javier has been in the field of content writing for almost 8 Years as he hails from the Biotechnology background. The edifying articles portray her craving towards language. His keen hobby of reading technological innovations related books or articles has sown the seed of being a well-versed editor with the current scenario of numerous industry verticals. He is one of the valuable assets to this publication. The Industry News Press has awarded him with a senior editors post based on his skillful performance to date.