What Is Cash for Caulkers?

What is Cash for Caulkers? You've heard of Cash for Clunkers, the government stimulus plan that paid out cash in exchange for trade-ins of low-mileage vehicles. Cash for Caulkers is a new government stimulus proposal under consideration in Congress. This stimulus proposal involves weatherizing your house in exchange for an incentive check from the government.

What Will Cash for Caulkers Do?
Cash for Caulkers, officially named Homestar, is a play off the title of a government incentive program called Energy Star, a program that encourages homeowners to purchase energy-efficient appliances. Homestar is multi-pronged in purpose. If effective, the program will do the following:

• Create Jobs: Since the stimulus package thus far has produced many jobs in scattered and difficult-to-track ways, such as construction projects, positions in education and various local-level government programs, the Obama administration is looking for a way to create jobs in a more visible manner. The Cash for Clunkers program was wildly popular, and the impact was immediate and evident: car dealers sold cars, and people got money in their pockets. The car sales fueled jobs in the automotive industry. The government hopes a Cash for Caulkers program will provide jobs for home contractors, service providers and retailers, giving necessary aid to a struggling segment of the economy.
• Stimulate Consumer Spending: The Cash for Clunkers program gave people money, which encouraged people to buy new cars at a time when they would have held off buying a new vehicle because of the tight economy. The hope is the Cash for Caulkers program will inspire homeowners to spend money to weatherize their homes, something many homeowners would otherwise put off until the economy improves. Every dollar spent at a home improvement retailer is another dollar poured back into the economy; every dollar spent to employ a contractor to make repairs puts more money into the economy.
• Improve Energy Efficiency: While improving energy efficiency may seem like a nebulous, intangible goal, it can equal real monetary savings for homeowners. It can alaso reduce our country's dependence on foreign sources of fuel. If you cut your reliance on gas or electricity by 20%, 30% or 40%, you will benefit your pocketbook and reduce the country's need to import fuel.

There is a lot of buzz about the cash for caulkers program under consideration. If Homestar goes into effect, it will most likely be a part of the jobs program enacted in 2010. If you're considering home improvements in 2010, it's worth looking into this program, which could provide a cash rebate of up to $4,000 for qualified work.