Update 12/15/21: Deal is over
Update 12/6/21: Reposting in case anybody missed that this was alive again.
Update 12/1/31: This deal is live again at this link. I assume it’ll be the same YMMV limit of 2 or 3 per day.
Update 11/8/21: Reports indicate that this is being considered a small business for various Shop Small deals from Amex, e.g. the $10 off deal.
Update 11/8/21: Some people are reporting now being able to buy 3 per day. Some things to be kept in mind here.
Update 11/3/21: Friendly reminder this is still going.
Update 10/10/21: Seems to be a limit of one or two, but it does refresh daily. Reader rip_kb24 reports that it refreshes after a few hours, even during the same day.
The Offer
- Swagbucks is selling 2,000 Swagbucks for $20. Swagbucks are worth a minimum of 1¢ each towards things like Paypal cash, Amazon gift cards, or Virtual Visa gift cards.
The Fine Print
- Unknown limit; in the past, you’ve had to wait a short period in between each purchase (2-3 mins). Update: seems to be limited to just 1 or 2 this time.
- residents of AZ, CT, MD, and ND are not allowed to make SB purchases due to applicable state law
Our Verdict
It can be useful for meeting Swagbucks Daily Goals which earns you some bonus SB, and also for generating a small amount of credit card spend. (Note: Citi Access More earns 3x.) This deal isn’t as good as a previous deal which offered a 10% discount, but we’ve written about the face value deals in the past and some people have found it worthwhile.
Each month you can purchase one $25 gift card for 2,200 swagbucks and Swagbucks also runs other gift card sales, so it is possible to get a bit more than 1¢ in value from the SB. Otherwise, you typically get 1 cent per point via Paypal.
Hat tip to reader San
If you’re new to Swagbucks then please read our review. You can get a bonus of up to $13 by using a referral link.
A tax question for the new year. I contacted Swagbucks and confirmed that Buy SB is not a taxable activity. They cann’t confirm if paypal redemption for the SB bought count towards the Paypal $600 threshold. I contacted Paypal and they don’t have a definite answer yet. Does anyone here have an answer? Thanks
Paypal can absolve itself of responsibility by reporting everything (i.e., counting everything towards the $600 threshold). So assume that Paypal is going to report everything that comes into your account, and prepare to maintain records showing what should not be taxable or what should be offset by money you spent.
I’m confident that it’s not a taxable activity. As to whether they’ll 1099 for it – they probably should not, but it’s anyone’s guess what will happen. Especially if you use Paypal cashout, then there’s two question marks: will SB 1099 and will Paypal 1099.
SB confirmed that they will not 1099 for Buy SB for sure. Any redemption using the SB bought will not trigger a 1099 at Swagbucks. However, they are not sure if Paypal count them toward the $600
PayPal cashout of SB shows up in my PayPal reports like goods and services, so I am pretty sure it will count toward $600 reporting threshold. PayPal does not know or care what the payment was for. If it’s not a friends/family payment I would plan on it counting. Note that just because you get a 1099 for it does not mean it’s taxable. It is just extra paperwork and record keeping.
Can I use prepaid debit card to buy a money order at Walmart?
I 2nd this. PayPal cash out shows up as a goods and service purchase. They have no idea what the payment was for. I stopped buying SB specifically because I don’t want the headache of trying to dispute this come tax time. Just not worth it to me. It’s too bad SB doesn’t transfer directly to your bank account.
It’s less of a hassle than you think. Just throw in a line of cost associated with it and show this as a rebate on that spend. For those of us with reselling businesses in various states like Illinois the numbers get way bigger than you’d think and it’s not a problem unless you’re going 7 figures I’d imagine.
I understand Illinois and a couple other states already have these rules set in place. From my understanding (correct me if I am wrong) they state that the 1099-K is for informational purposes only and that you as the tax payer should report actual income based off of this form. In other words, just because you were issues a 1099-K for “X” amount does meant every bit of “X” amount is taxable. I am just wondering of the federal government will follow suit and use the 1099-K for informational only.
I used PPK and linked Boa Cash rewards Online Shopping to purchase Swagbucks. The description says Paypal “Prodege”, but I only got 1% reward instead of 3% I was expecting!
It’s still a TWO per day limit for me. Grabbed 2 @ 2000 before the change. Won’t let me buy 1 @ 2199. I was trying for that 415 daily bonus which would have still made money over their fee. Oh well.
Well shucks. Was happy to liquidate a few virtual visas this way though when it was alive.
Hope DoC made enough of this to buy some nice presents 🙂
Wondering if they have a monthly limit. Hoping it turns back on as of 1/1/22. The more folks that catch on, the earlier in the month it may start to end. 17th end in Nov……15th end in Dec….? end in Jan 22?
Did it start on 11/1 and 12/1?
No, the first term starts around 10/11
yeah it started in Oct mid month…..so might never have hit threshold for Oct….fewer folks were doing this deal in Oct. My theory is it got popular enough to end in Nov on the 17th and in Dec on the 15th. I am hoping it is a recurring thing at the start of every month but that’s probably wishful thinking.
Seeing 2000 pts for $21.99. Break even if I keep buying for P2. Onward!
Damn…missed to get my second for the day.
Got 2 this morning before the change.
My new credit card hasn’t arrived yet. How could I finish my spending requirement.
Making a tax payment or pre-paying taxes is a popular option this time of the year. Depending on the issuer you could look into Visa/MC gift cards.
Ah yes, I did that before. I already closed the account. I would like to know, is it possible to reopen the account and fund the account via cc?
Dan. R U On Drugz?
Isn’t going to code as a cash advance?