Good Ways to Spend Your Tax Refunds

Posted on Apr 14, 2017 By Heather Banks

attorney Heather BanksDid you receive a tax refund this year?  How did you spend it?  The average refund this year is approximately $3,000.00.  A recent article from CNBC offers advice on how we should spend our refund.  They offered a list of nine ways to get the most out of your 2016 tax refund.

How To Get the Most Out of Your Tax Refund

  1. Pay off your high interest rate credit card and loans.
  2. Save the money in your emergency fund for unexpected car repairs, unexpected home repairs, an unexpected cut in hours, an illness or job loss.
  3. You can fund a big ticket item like a down payment on a new car, pay school tuition, pay for braces, or pay for a needed medical procedure.
  4. Use $50 to enter the “Save Your Refund Lottery.”  It is a promotion from America Saves and Commonwealth designed to encourage people to save.
  5. Invest your money in a traditional IRA or a Roth IRA.  It never hurts to save for retirement.
  6. The article suggests investing in yourself by paying for additional training, tuition, a work-related conference or a membership in a professional organization.
  7. Do upgrades on your home or property that will increase its value.  Currently, resale is all about energy efficiency and curb appeal.
  8. Pay for a vacation, pay for some music lessons,  buy tickets for a concert or sporting event.
  9. Give to a charity.

These are all great suggestions and maybe you will have enough that you can divide it up to do more than one like pay for a medical procedure and save the rest.  If you have not already spent your tax refund and you are experiencing financial difficulties, Bond & Botes offers you a fresh start through bankruptcy.  We suggest that if you are drowning in debt, use some of your tax refund to pay for a bankruptcy.  We offer a free no obligation consultation at all locations.