STIMULUS CHECKS BEING SENT THIS WEEK IN ONE STATE
Stimulus checks are being sent out in just days to Alaska residents courtesy of the state's Permanent Fund Dividend (PFD).
The total available is up to $1,312, with some residents able to score their payments by Thursday, July 18. Meanwhile, the money is going out on Thursday to those who had an "Eligible-Not Paid" status by July 10. After that, Alaskans who see the same "Eligible-Not Paid" status by Wednesday, August 7 will see their checks arrive by Thursday, August 15.
The PFD started sending out the stimulus checks in October of last year as a way to give back from the state's natural resources.
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The program, while different from the federal stimulus checks that were sent out during the COVID-19 pandemic, gives state residents a portion of Alaska's oil revenues. The state hopes to promote more economic activity and create more opportunity for those who choose to live in the state.
"Ever since oil was discovered and Alaska entered statehood, instead of placing that money into the Alaska government coffers, Alaskans voted to pay an annual stipend to all Alaskans that were eligible for payment," Kevin Thomspon, a finance expert and the founder and CEO of 9i Capital Group, told Newsweek.
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Under Alaskan law, at least 25 percent of the $78 billion from its oil and mining profits this year must go toward dividend payments. Depending on their choice, Alaskans will see the money deposited into their bank accounts directly or get their dividend as a check in the mail.
To qualify for the checks, residents must meet a certain range of criteria. They must have applied during the period of January 1 to March 31. They also must plan to permanently live in Alaska and have no criminal record.
"If you live in Alaska and meet the few requirements, it's money you deserve," Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, told Newsweek.
Alaskans do not get the money immediately as residents, however. And just because you received the rebate in the past does not mean you'll automatically get another payment. Everyone has to apply each year.
For 2023, the Alaska Department of Revenue said the PFD injected about $1 billion into the state's economy.
Michael Ryan, a finance expert and the founder of michaelryanmoney.com, estimated the dividend likely removes 15,000 and 25,000 Alaskans out of poverty yearly.
"It supplements incomes, especially for low-income and rural residents," he told Newsweek. "The payments create modest employment gains as Alaskans spend their dividends."
2024-07-15T20:38:16Z
