KEY POINTS:
Prime Minister Kevin Rudd does not want two million Australian families and four million pensioners to hold back when they receive their share of the Government's A$10.4 billion ($12.5 billion) economic stimulus package today.
"Go out and spend the money" he told a community cabinet meeting in Geelong.
But the postscript to his festive message was to spend the bonus payments wisely and be prepared for tough times ahead. The Government is handing over a total of A$4.8 billion to pensioners and A$3.9 billion to families in a bid to to ward off an economic downturn.
A further A$1.5 billion has been set aside for first-home buyers, who can access grants of up to A$21,000.
Eligible families will receive A$1000 for each child, as will those who have dependent children on other benefits such as youth allowance.
Single aged-pensioners will receive lump sum payments of A$1400 and couples A$2100.
Disability pensioners are also eligible for a A$1000 payment as are carers for each person in their care.
Mr Rudd is relying on the cash bonanza to convince millions of Australians to loosen their purse strings in the lead-up to Christmas and in doing so help create up to 75,000 jobs.
But Australia was still at the mercy of an unprecedented global financial crisis and it was not over yet, he said.
He predicted 2009 would be a difficult year, with reduced growth and higher unemployment.
"I see no point at all in trying to gild a lily with the Australian people. We're in tough times, there will be tough times next year."
Australians needed to stick together to ride out the financial "doom and gloom".
He urged unions, business, Government and communities to lead the charge. "We are all in this together and those around the world who will come through this virtually unprecedented global financial economic crisis ... will be those who stick together."
Opposition leader Malcolm Turnbull expects those families receiving bonus payments to be prudent about how they spend the extra cash.
"Every family will form its own judgment based on its own circumstances."
He said the whole purpose of the stimulus package was to encourage spending and greater economic activity.
- AAP
