GREENVILLE, S.C. (WSPA) – Many Americans will receive a stimulus check direct deposited into their bank account or in the mail, but do you know the best way to spend or save that money? Experts said the answer is different for everyone.
Financial experts are weighing in on the most responsible ways to spend the $600 you receive and what to do if you’d rather save or give the money to someone in need.
Dixon Harrill, Upstate SC Region Market Executive at Synovus Bank said making sure your immediate needs are met is most important. That means you aren’t behind on your health, your job or housing expenses.
Harrill also said it’s important to establish an emergency fund, a total of 2-4 months worth of expenses to help if you lost your job or for a family emergency.
If you’re looking to donate the money, Harrill suggests looking deeper into the charitable organization’s spending and what exactly the nonprofit would do with your gift.
To do this you can use websites like Guidestar and Charity Navigator which help tell consumers where and how each charity spends their money. It provides percentages of how much money goes to help others and how much is used for overhead costs or to staff .
If you don’t want to become a member of the above websites to monitor a charity’s spending, you can ask the organization directly for their 990 form. It’s public information and Harrill said the organization will have it available for tax purposes.
Harrill also said saving the money is ideal if possible. It’s easiest way might be to have it automatically deducted from your paycheck into a savings account and eventually a money market or investment account.