36% of stimulus payment money received by Americans from the March 2020 CARES Act was put into savings, while 35% was used to pay down debt. (Source: Federal Reserve Bank of New York)
AS LONG AS RATES STAY LOW
The average interest rate that the US government pays on it interest-bearing debt as of 12/31/20 was 1.695%, down from 2.331% as of 12/31/15. That means our government can borrow 37.5% more money today that it borrowed 5 years ago and still have the same out-of-pocket interest expense cost. (Source: Treasury Department)
READY TO LEAVE?
New York residents are currently subject to a top state marginal tax rate of 8.82% at the taxable income levels of $1.08 million for an individual return and $2.16 million for a joint return. NY Governor Andrew Cuomo has proposed raising that top marginal rate to 10.86% for the 2022 fiscal year beginning 4/01/21. NYC residents are also subject to a maximum city marginal tax rate of 3.876%, i.e., their total marginal rate could be as high as 14.736% during fiscal year 2022, the highest in the nation. (Source: IncomeTaxPro.net)
So far, 82% of companies have reported positive earnings surprise for the fourth quarter of 2020. If that rate holds, it will mark the second-highest percentage of EPS surprises since FactSet began tracking the metric in 2008. (Source: FactSet)