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Tag: Tax Refund

Financial Tips

Posted on by djbechard

Plan tax refund dollars.  Make a plan for tax refund dollars before they hit your bank account.  Some options to consider as you make your plan include:

  • Pay down debt
  • Build your savings
  • Jump-start a financial goal
  • Give to someone in need
  • Invest

Create your will. There are many free or inexpensive forms available online that can guide you through creating a will. Your employer may also provide access to legal services. If you use an online form, make sure it is specific to your state.

Put 5% of your tax refund into your savings or emergency fund account. If you won’t receive a tax refund, add at least $5 extra to your savings or emergency fund this month. Small amounts add up over time.

Become financially confident.   Financial confidence is the intersection of building a savings habit, knowing what resources you have available to support your financial stability, and taking advantage of those resources as needed.  Financial confidence recognizes that Savers have unique circumstances, and even if you are in a scenario that makes it difficult or impossible to save at this moment — you are committed to doing the work, taking control of your finances, and becoming more financially stable.

By: Brenda Langdon

Money-Smart Uses for Your Tax Refund

Posted on by djbechard

If you are expecting a refund this tax season, consider these tips for using it wisely.

  • Pay down credit card debt. Attack the card with the highest interest rate first. If you can pay off the card in full, that’s even better.

 

  • Build an emergency fund, by putting some of that refund into savings. Even a modest amount as little as $300 can help soften the blow of an unexpected expense.

 

  • Invest in a retirement plan. Enhance your future now by using your tax refund to invest in a tax-deferred retirement plan. If you have an Individual Retirement Account (IRA) make a one-time sizable contribution, or save your tax refund for a series of smaller investments over several months.

 

  • Be good to your car and home. Spend your tax refund on costly, but necessary, repairs to your home or vehicle. Replace that leaky roof or buy new tires for your car.

 

  • Treat yourself. If you have covered all of the above, then reward yourself – but do so responsibly. Spend your tax refund on a well-deserved vacation or buy yourself something you have been saving for.

By: Brenda Langdon

Saving Tips

Posted on by mjsaxton@ksu.edu

There are many tactics for making saving faster and easier. One of the most effective strategies is to put away tax refunds and other windfalls to make major strides towards achieving your goal.  Make saving automatic. If you can, set up direct deposit of your paycheck so that a portion goes into your emergency fund and the rest goes into your checking account.  Or you can schedule automatic transfers from your checking to your savings – for example $50 the day after each payday.

By: Brenda Langdon