Welp, another Tax Day has come and gone. We hope you were a good little citizen and filed by the deadline! 🫡📮 If you’re expecting a decent refund, you’re probably already scheming about how you’ll spend it. 🤔
Sure, you could blow it all on a wild night out with the boys (we want video). 🤑🍻 But you could also put it towards something less fun…er, um, we mean responsible!
Here’s Five Fast Facts on how to be smart with your tax refund:
- 🛠️ Tool Time - Been putting off repairs for your home or car? Use your money from Uncle Sam to finally take care of that to-do list. Put your refund towards a new set of tires or that refrigerator upgrade. Home improvement projects, like a new roof or spruced up landscaping, add value to your property - a win-win!
- 💸 Debt-ie Downer - With interest rates higher than the audience at a Grateful Dead show, using your tax refund to pay down debt is a wise decision. Reducing your balance allows you to save money on interest and boosts your credit score. Plus, it frees up your credit in case you need it in an emergency.
- 🚨 Call 911 - We probably sound like a broken record, but if you don’t have an emergency fund, you should really get on that. It’s recommended to have at least three to six months of expenses set aside. It’s not a fun spend, but dumping your tax refund in a savings account will certainly help you sleep a little better at night.
- 💰 Save It For Later - If you feel like you’re behind in retirement savings, invest your tax refund into a Roth IRA or add to your 401(k). The beauty of Roth IRAs is that, since they go in tax-free, you can withdraw the funds without penalty if you need them before you retire.
- 🥰 Sharing is Caring - Feeling abundant? Want to do something great for your community or the environment? Consider donating your tax refund to a charity that backs a cause you feel strongly about. As a bonus, you’ll be able to write off your donation on next year’s taxes.
🔥Bottom line: Hey, if you want to splurge on those new Gucci shoes, we won’t stop you #treatyourself. Did you know that different states have different tax burdens? School yourself with this article and share your new knowledge with your pals in the breakroom.
Did you get your tax return yet?
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