Did 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
- Pay off your high interest rate credit card and loans.
- Save the money in your emergency fund for unexpected car repairs, unexpected home repairs, an unexpected cut in hours, an illness or job loss.
- 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.
- Use $50 to enter the “Save Your Refund Lottery.” It is a promotion from America Saves and Commonwealth designed to encourage people to save.
- Invest your money in a traditional IRA or a Roth IRA. It never hurts to save for retirement.
- The article suggests investing in yourself by paying for additional training, tuition, a work-related conference or a membership in a professional organization.
- Do upgrades on your home or property that will increase its value. Currently, resale is all about energy efficiency and curb appeal.
- Pay for a vacation, pay for some music lessons, buy tickets for a concert or sporting event.
- 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.
Heather Ellis Banks is an Associate Attorney at the Bond & Botes Law Offices in Knoxville, Tennessee. She holds a Bachelor of Science from the University of Tennessee Knoxville, and a Juris Doctorate from the University of Memphis, Cecil.C. Humphreys School of Law. She has been helping consumers to navigate through the bankruptcy process since 2005. Read her full bio here.