Five Tips to Help Your Tax Rebate Check Go Further when it Comes

In few weeks millions of U.S taxpayers will find tax rebate checks in their mail boxes. Including you, if you earned under $75,000 last year. So, will you blow your rebate check ... or will you increase it?

In an attempt to stimulate the economy, Congress approved an economic stimulus package designed to jump start the economy. If you're single and earned under $75,000 or married and earned under $150,000 as a couple you're eligible.

Your rebate check will go out in May or June according to initial estimates. Congress and President Bush agreed on the amount and who will qualify. These are the terms they agreed on.

- $1200 maximum per family.

- Most individuals will receive around $600 ($1200 per married couple).

- And another $300 per child.

Although the main reason the stimulus package flew through congress and signed quickly by the President in record time is simple. They want you to immediately spend it on more consumer goods. This in turn will stimulate the economy and avoid or shorten a recession.

But many financial advisers see this as a bad idea for most families, especially in this financial climate.

More financial advisers suggest saving it for a rainy day or using it to pay down debt you've already accumulated. For example, credit cards, auto loans and student loans. Which according to the latest report by The Federal Reserve board has doubled in the past 10 years.

As consumer debt increases, salaries continue to stagnate or even decrease as more high paying jobs slowly move overseas. So if you're planning to buy that flat screen television, stereo or other depreciable item think twice.

1. Save it.

According to the Los Angeles Times the savings rates of Americans have been falling for the last 10 years. In fact, the levels has dropped to the same levels as during the Great Depression.

Those who can manage to save the most in the coming year will have the most advantages. In the coming years it won't be how much you have or earn but how much you can save that will count the most. So use this check as an opportunity to start a savings habit if you can.

2. Kill a Bill.