Be Smart With Your Tax Refund!
Last year, more than 109 million of us received tax refunds from the IRS. Similar numbers are expected this year. Whether your tax refund comes by mail or direct deposit, it can be tempting to think of creative and extravagant ways to spend it. Take a moment or two, though, and carefully consider the best ways you can be helped by that money. In this article, we’ll share a few savvy ideas for your refund that can really make a difference in your life.
Attack the Debt
While we may have had fun running up that debt, paying it down is not as enjoyable; but it must be done. If most of your debt is in the form of credit cards, attack the ones with the highest interest rates first. While it’s not unusual for most credit cards to have an average interest rate of 14 percent, some store credit cards can be in the 28 percent range.
Give your Car a Checkup
You’ve GOT to have a way to get to work! For many of us, our automobiles are our lifeblood. Now that you’ve got a few extra dollars, take the time to hire a trusted mechanic to have a look-see under the hood, just to make sure things like hoses and belts are in good shape. You can check off a few other routine auto maintenance things as well, like rotating your tires, and changing the oil and transmission fluid.
Invest in Your Home
If you have a look around, chances are good that you can think of something that will improve your home. Whether it’s having your carpeting professionally cleaned, hiring a landscaper to turn your lawn into a head-turner, making minor repairs around the house or even stocking up on routine necessities like cleaning supplies, investing in your home is always a wise move.
Wall Street isn’t strictly for millionaires. There’s an abundance of individual stocks, dividend-reinvestment plans, mutual funds and others that do not require a huge investment.
Establish an Emergency Fund
Just about any financial expert will tell you that it’s wise to have three to six months’ worth of living expenses saved up. Doing this positions you well in cases of emergencies like unemployment, medical expenses or extensive auto repairs. We know it’s tempting to treat yourself by splurging with your tax refund, but the smart move is to do what’s necessary to get your financial house in order. If you’re facing serious debt problems like bankruptcy, we’re here to help you! Contact the office of Statewide Bankruptcy at (602) 225-2222 for a free consultation.