This paper examines the association between the pandemic-related stimulus payment and financial stress. We find that those who received the stimulus payment are slightly less likely to have high financial stress than those who did not. This article contributes to the existing research by finding that payment usage matters as it relates to financial stress. Using the payment for wealth accumulation purposes, such as paying down debts or adding the payment to savings, is negatively related to financial stress. However, using payment for consumption, such as making purchases or paying bills, is not statistically significantly associated with financial stress based on this study. The findings underscore the critical role of payment usage in recipients' financial stress. We propose that financial practitioners encourage their clients to use the payment for wealth accumulation purposes instead of unnecessary consumption. To help alleviate consumers' financial stress, policymakers may consider using some favorable payout policies to reframe the stimulus payment more like a regular paycheck, assisting consumers to save.

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