How will the Stimulus Plan affect me?,...cont.

I recently discussed some aspects of the stimulus bill that has been popular lately. Upon logging online today, I saw that President Obama is planning to go through with the plan is getting ready for the process of signing the bill. Once signed, the Stimulus Plan will be working with a $787 billion package that will spread out among many areas in the nation. Now that a number has been set to the package, we can start seeing how much money will be allocated to particular projects and what these values will mean to us.

1. Taxes- Advantages of tax breaks are provided for families that send a child to college, buy a new car, buy a new home, or make their current home more energy efficient. For individuals, we can expect to see about $13 more in our checks.

2. Health Insurance- With the recent layoffs during the nations reception, a lot of former employees have had problems with health care. Under COBRA, coverage for former employees will continue for the following 18 months. After the implementation of the stimulus package, those who lost their jobs and had to incur the extra cost of expensive health care will now have 65% of their costs handled by the government for the first 9 months.

3. Infrastructure- About $90 billion will be allocated towards repairing roads, repaving highways, and reinforcing bridges. With more construction activities occurring, it is the government's hope that additional job opportunities will be created.

4. Energy- For those who want to be more energy efficient and save money in the long-run, taking on energy focused activities will result in tax breaks. (i.e. energy efficient windows in the home, solar panel roof, other related activities). Also, $300 million will go for rebates to encourage consumers to buy more efficient appliances.

5. Schools- One key goal is to keep teachers employed. To do this, the plan is to allocate $54 billion (where $39 billion will go towards kindergarten to 12 grade) to prevent state budget cuts. Additionally, $25 billion will go to "No Child Left Behind" to help fund teachers' salaries and special education programs.

6. National Debt- Because of this grand total amount, $787 billion, the country will be in more debt. The increase in debt will mean higher taxes and fewer government services that will not only affect our generation, but the next one as well.

7. Environment- $9.2 billion will go towards environmental projects under the EPA (Environmental Projection Agency). The projects they will conduct is expected to produce approximately 200,000 jobs. These projects include national park renovations, road repairs, and improving drinking water systems.

8. Police- $3.7 billion will go towards police programs and hiring new officers. $1 billion is to bring back the program COPS (Community Oriented Policing Systems), a program that was eliminated under the Bush Administration. This program paid police officers' salaries and reduced crime in the 1990s. The bill will also provide an amount to youth mentoring programs, aid victims of crimes, fight Internet crimes against children, and help law enforcement on the Mexican border.

9. Higher Education- Under the plan, the Pell Grant maximum amount will increase to $5,350 from $4,731 starting July 1 and to $5,550 in 2010-2011. An additional 800,000 students will be able to qualify for the grant under the new amount of funds. Also, $32 billion will be allocated towards higher education.

10. The Poor- There are approximately 37 million American who live in poverty. With the stimulus plan in affect, those who get food stamps will now receive more. Those who receive unemployment checks and expect an additional $25/check in addition to a longer check receiving period. People who receive Supplemental Security Income will get a one-time $250.

Although each of these areas are greatly important and might affect all of us differently, as college students, upcoming graduates, and professors, I "bolded" the ones I felt have the most direct affect on us. No matter what, this Stimulus bill is going to impact us heavily in the near future.

(Information for this blog was mainly from "How the stimulus bill affects you" by the Associated Press on February 16, 2009 at 2:40pm. Here is the website for more information. http://articles.moneycentral.msn.com/Investing/Extra/how-the-stimulus-bill-could-affect-you.aspx?page=1&GT1=33009)