Stimulus Checks

[FlyingScot]

Originally Posted by Hillcountry

My daughter, a hair dresser, lost her employment when they closed the salon at the beginning of this fiasco. Single mom with my 4 yr old granddaughter and a mortgage. She immediately applied for unemployment and when they calculated her benefit it came to $72/week. Their calculation formula, as the state law mandates, did not include her last (so many, months, not sure) of her income and she appealed that most of her “better” income had come in that “omitted” time period. They would not adjust anything and her benefit was to be $72.
Then they came out with the $600 deal and that lifted her spirits a bit.
She has since received the stimulus money for her and her daughter but has yet to see any unemployment benefit. (As of last week when I asked her)
Many will take advantage of that $600 and will not want to work but that is not the case with my daughter.

A great illustration of how so many getting the $600 bump are often shorted in other ways. Plus, as I'm sure she's calculated, she's in big trouble if the stimulus runs out before the economy is back to full steam. As my hair stylist pointed out to me in 2008--when everybody changes from a haircut every 4 weeks to a haircut every 5 weeks, her already modest income drops by 20%.

The good news here for the rest of us--your daughter will likely spend every penny of the $600. This is not true of the $1200 recipients, many of whom will save some or all of the cash. Nothing wrong with that, but it will not stimulate the economy.

Give her a hug from the rest of us