Something that isn't getting a lot of notice is that the child tax credit has been increased drastically and that in a new twist, half of the child tax credit is going to be paid out to you in monthly installments starting in July. This is going to be significant. The way it works is complicated but here it is in a nutshell. If you are married filing jointly and make less than $150,000 or you file single and make less than $75,000, you are eligible for an additional child tax credit of $3,000 for each child aged 6 to 17 and $3,600 for children under 6. If you make more than that you still might get something depending on how much you make but the vast majority of taxpayers make less than those figures. We have never had an adjusted gross income anywhere close to $150,000.
Half of this will come when you file taxes but half will be paid out to you in monthly installments starting in July. That means that you will get $300/month for kids under 6 and $250/month for kids 6-17, again starting in July. For us, five of our eight kids are adults but we still have three kids at home so based on what I am seeing and a calculator I ran, in July and for the rest of the year we will get magically conjured "money" to the tune of $750 every month. That is almost enough to cover our mortgage (minus taxes and insurance) on a monthly basis and the mortgage is our biggest monthly bill by a significant margin. As an aside, if this had happened when our 8 kids were all still under 18 and at home, we would have gotten $2,150 per month and I know at least one Amish family that has around 10 or 11 kids under 18 at home....
According to news reports, this new monthly payment will require a lot of "infrastructure", Joe Biden's new favorite word that he doesn't understand. The IRS is reportedly adding a bunch of people to administer this program.
In testimony at a Senate hearing, IRS Commissioner Charles Rettig said it will cost nearly $400 million and require the hiring of 300 to 500 people to get the new monthly payment system and electronic portal in place for the child tax credit. “The IRS will be working hard to deliver this program quickly and efficiently,” he said.
“We have to create a new structure,” Rettig said, adding that the tax-collecting IRS is “not historically” a benefits agency.
That last line is the money shot. The IRS is the "Internal Revenue Service". It exists to collect tax revenue. Now it is being turned into a payment processor, sending out "money" that it never collected. It was never collected because it simply doesn't exist.
Initially this is supposedly only going to last for this year as part of the never ending response to the never ending "pandemic" but once those checks start going out every month, what are people going to do?
The same thing they always do, adjust their spending up to match their increased revenue.
That additional money will become part of their budget. They will buy cars and other items on credit based on "making" that additional money. Most people will blow through that money and a lot of the extra spending will be on frivolous luxury goods. When the payments stop, Congress will have hearings where teary eyed diverse single mothers will tell us why they simply can't make it without that monthly check for their 11 children.
What else will happen? Prices will increase, first on discretionary items and then on more staple goods. Those keeping score at home will note that we are already seeing widespread price and wage inflation across much of the economic spectrum while at the same time there are shortages of critical goods, including semiconductors. Our local GM plant makes the Chevy Silverado and is reportedly sitting on hundreds of "almost finished" pick-up trucks that can't be completed because of this shortage. All of this will have create innumerable ripples throughout our economy.
Meanwhile the U.S. "intelligence" community is warning about shit preparing to hit the fan....
US Intelligence Issues Ominous Warning Over 'Sustained Economic Downturn' And Other Long-Term Threats
According to the Annual Threat Assessment - which comes on the heels of a separate intelligence report last week which offers a grim view of global challenges likely to be faced over the next 20 years - the pandemic is expected to contribute to "humanitarian and economic crises, political unrest, and geopolitical competition," and will "strain governments and societies."
"The economic fallout from the pandemic is likely to create or worsen instability in at least a few—and perhaps many—countries, as people grow more desperate in the face of interlocking pressures that include sustained economic downturns, job losses, and disrupted supply chains," the report warns.
What's more, food shortages and 'uneven access' to COVID treatments will contribute to humanitarian concerns, while the virus will remain a threat "to populations worldwide until vaccines and therapeutics are widely distributed." The report also warns that a new wave of infections earlier this year "may have an even greater economic impact as struggling businesses in hard-hit sectors such as tourism and restaurants fold and governments face increasing budget strains."
The Western economy is on shakier footing than any time I can remember in my adult life, far worse than during the Great Recession and it is only being propped up by the firehose of fake "money". At some point one of the plates they are spinning will crash and shatter, dragging the whole thing down with them.
Another point. This is going to reward people who have been encouraged to have kids for benefits already and hurts those who have been convinced to not have children. Guess which groups are represented in those respective categories?
Another amusing aside, under National Socialism in the Third Reich, women were financially incentivized to have lots of kids. Families were given loans and for each child a woman bore 1/4 of the loan was forgiven. Have four kids and that "loan" is now yours free and clear. So it kinda seems like the Democrats are mimicking Third Reich family policies except with a dysgenic instead of eugenic goal.
Ultimately what this is all about is a backdoor means to a universal basic income, which is a fancy way of saying "paying people whether they work or not". It aims to create a vicious cycle where people get hooked on these monthly payments and are dependent on them, at the same time that prices for basic goods skyrockets meaning they are going to need bigger payments and will vote however they have to vote in order to keep the checks coming and getting larger.
This ties in neatly with the Great Reset. People are consumers relying on free "money" to survive, especially for those who live in urban areas and rent their homes. When prices go up, so will rent and of course the cost of food, electricity, cars, consumer goods, etc. It won't be long until your wages stop being a significant consideration and all that matters is that universal basic income.
For those of us who are getting these magic checks, may I make a few recommendations:
1. First and foremost pay down any debt you have. Not being a debt slave is the first step to getting out of the globalist system.
2. Do not include the monthly checks in your budget. Continue to budget based on what you make from employment. Treat the extra deposits like money you find on the street or a small inheritance from a distant relative.
3. Use the extra "money" in ways that sidestep the consumer system. In other words don't buy a new iPhone. Allocate these funds for purchasing physical precious metals or cryptocurrency (I recommend the former). Buy ammo and/or guns. Add to your long term storage food stock. Or even invest in some sort of durable goods, like energy efficient new appliances or a back-up solar panel system. In a nutshell, take this imaginary money out of the system and turn it into something tangible and that does not mean a new Playstation.
4. However, if you are still in the wage slave system, having this extra income might mean this is the ideal time to strike out on your own when you have a regular chunk of "money" for at least six months to cushion the landing. Nothing could be more amusing than using the globalist bribe to get yourself more independent from the globalist system.
In prior revolutions the Communists took over the system by violent means. In this revolution it is, at least so far, being done through manipulation. Regardless the end result is still the same. A tiny elite of nomenklatura, a somewhat larger group of court mandarins/apparatchiks and the rest of us in desperate poverty. The time is fast approaching when we will need to turn these Commies into good Commies the only way I know how.