Significant Statistics | When stimulus checks came, Utahns were more likely to sock money away

Written by: Erin Hernandez

The U.S. economy took a significant hit due to the pandemic and economic shutdown in 2020. Businesses let go of employees and reduced hours; the unemployment rate peaked in April 2020, reaching an astounding 14.4% in the U.S. and 9.7% in Utah. To stimulate the economy and aid households, the federal government introduced a variety of financial resources, including stimulus checks.

Beginning in early 2021, the U.S. Census Bureau surveyed Americans nine times over a five-month period about their use of stimulus funds. For the most part, Utahns use of stimulus payments was similar to the rest of the country. As the pandemic resulted in a loss of income, many Utahns used their stimulus amounts to cover basic needs such as food (19%), utilities (12%) and household supplies (11%), as well as mortgage or rent (16%) and vehicle payments (8%). About 14% of Utahns used their stimulus payments to pay off debt, as compared to 13% of other Americans.

However, Utahns were much more likely than other Americans to use their stimulus amounts for savings or investment (11% as compared to 7%).

As of May 2021, the unemployment rate had declined to 5.8% nationally and 2.7% in Utah.

Read more in this cool post from the Tax Foundation:


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