Stimulus Update: Want to Create Your Own Stimulus? If So, Here Are 8 Things You Can Do

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Small steps can help you fight inflation. 

It’s been a little over two months since Newsweek hired Redfield & Wilton Strategies to survey 1,500 eligible U.S. voters about the state of the economy. While we’re sure the survey received more than one spicy response, the takeaway was this: 63% of respondents support the idea of the federal government sending new stimulus checks to help combat inflation.

COVID-19 not only introduced the world to a scary virus but also ushered in a painful period of inflation that the Federal Reserve is still working on getting under control. In 2021, one year into the U.S. shutdown, the inflation rate hit 4.70%.

By June 2022, as we lingered in our second year of the pandemic, the inflation rate hit an agonizing 9.1%. Thanks partly to interest rate hikes, the rate fell by 2% to 7.1% by November.

If there’s a silver lining, history shows that rates work their way back down, even after hitting excruciating highs. For example, inflation hit 13.55% in 1980, slowly cooling back down to under 2% in 1986. In other words, what goes up does come down, albeit painfully.

In the meantime, it’s little surprise that 63% of people surveyed would like the federal government to deposit a new stimulus check into their bank accounts to help them battle current high prices.

The reality

Shortly after being sworn into office, President Joe Biden proposed what would be the first of two stimulus checks to the American people. Not a single Republican in either chamber of Congress voted for it.

Now that Republicans have taken a majority in the House of Representatives, the odds of them voting in favor of another check are nil. It’s not going to happen.

That said, you’re in control. No matter how tough things are right now, there are steps you can take to ease the pain of inflation, giving it time to drop to a more manageable level.

Here are eight things you can do today to free up money, allowing you to meet your monthly obligations without going into the red.

1. Switch car insurance

Stick with us here. Switching car insurance is easier than it sounds and can put extra money in your pocket this month. Consider this: Studies show that auto insurance companies offer their loyal customers an average discount of 1% to 2.7%. However, consumers who shop rates and switch carriers can shave 19% off their auto insurance.

That means if you’re making a monthly payment of $100, it could drop to $81. Ask for a complete list of potential discounts to learn if you can save even more.

2. Make a balance transfer

We do not know how long it will take for inflation to drop to a more manageable level. In the meantime, consider transferring credit card balances to a new card with a 0% promotional rate. Typically, 0% balance transfer offers last from 12 to 18 months. That means you have 12 to 18 months to pay the debt down (or off entirely) before the promotion expires. If you haven’t paid it off by then, the interest rate reverts to the card’s standard rate.

Tip: To qualify for a 0% promotional rate card, you’ll need a good to excellent credit score. While the exact score depends on the credit card issuer, a score below 670 will make it tough to qualify. Fortunately, there are steps you can take to raise your credit score.

3. Store other people’s belongings

If you have spare space in your garage, basement, or attic, consider making extra cash each month by renting it to someone who needs to store their stuff. It’s as easy as taking a photo of the area and posting it to a site like Neighbor.com. There, people in your city can determine if your space is suitable for them.

If you don’t have any inside space, that’s okay. You can also advertise a driveway or unpaved lot for someone to store a boat or car. You determine the rental rate.

4. Ditch your bank

If your bank is nickel and diming you with monthly fees, it’s time to bid it farewell. Given the number of banks and credit unions available, paying unnecessary bank fees is ridiculous.

5. Download apps

If you’re not a couponer, it’s okay. The easiest way to save money on everything you need, from gasoline to groceries, is by using an app to find the best deals in your area. For example, GasBuddy locates the cheapest gas near you while Flipp browses the sales ads of grocery stores in your area and tells you where to find the best deals.

6. Declutter

One of the most satisfying things to do is declutter your home, jettisoning anything you no longer need or use. Have a garage sale, or easier yet, advertise them on a neighborhood website. Chances are, someone else will pay you for anything you’re getting rid of.

7. Adopt autopay

This one is a breeze. Look through your bills and determine which companies or creditors offer discounts when you set up automatic payments. It’s common for utility companies to give you a break if you sign up.

8. Check those subscriptions one more time

It’s easy for subscriptions to sneak up on you. A new streaming channel here, a razor delivery box there. Go through your bank account or credit card statement looking specifically for any subscriptions you may have forgotten you’re paying for.

Inflation soars, and inflation settles. In the meantime, it makes most of us pretty uncomfortable. While there’s nothing you can do to hurry the process, there are steps you can take to provide your own stimulus by saving money each month.

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