An early Christmas present, a spending spree, fiscal stimuli, whatever people want to call it, the Australian Government is hoping people will spend up big to stimulate the economy.

Pensioners and veterans will receive $1,400 for singles and $1050 for each eligible member of a couple.

Amongst those who will receive $1000 per child or per person in their care, are carers, and families entitled to a family tax benefit part A. This will also include families who have dependant children attracting youth allowance, ABSTUDY living allowance or education allowances under Veterans Children’s Education, Military Rehabilitation, and Compensation Act Education and Training.

An estimated $3.3 million is expected to boost the economy of Greater Hume Shire’s communities.

“The stimulation to local communities if even only a percentage of this money is spent or saved locally can be enormous,” Greater Hume Shire mayor Denise Osborne said “I am personally pleased that people have been provided with a lead time to think about how they might best plan the use of these grants rather than make decisions that might only have short term benefits to themselves or their communities,” she added.

The economy of Lockhart Shire is expected to be boosted by $1,060,000.

Lockhart Mayor Peter Yates believes it’s great the government has come forward with financial assistance.

“The drought hasn’t helped our local economy and this money will greatly benefit the people,” he said.

Mr Yates would like to see people spend some but put some away for a rainy day or perhaps reduce their debt.

But if residents in Lockhart Shire are spending, “it’s a good idea to spend the money locally at The Rock or Lockhart so the local economy will benefit,” he advised.

The Australian Prime Minister Kevin Rudd is urging Australians to spend the $10.4 billion in a responsible way; to make ends meet, to help the kids, to help the grand children.

By putting cash into the hands of people who are income constrained, and under pressure of rising costs from rent, food prices, interest rates over the past 12 months, and fuel prices, it is likely they will spend it, the experts believe.