The Sweetest Ways to Spend Your Tax Refund
Tis the season - it’s tax time! Recently we were asked to think about the biggest tax mistakes we’ve made in the past. From paying late penalties, to not taking full advantage of the write offs we should have, we have done it all. But our biggest tax regret is not what we did; it™s what we didn’t do with our tax refunds. Avoid feeling regretful by checking out these sweet suggestions on spending your tax refund.
First, take 10% of the money and treat yourself to something special. Seriously! Book a massage, or a dinner out; even treat yourself to those new shoes. Get it out of the way “ enjoy it, savor it, and then…
Remind yourself that you’re a Smart Cookie and you need to invest in yourself. We suggest…
- Putting it directly into your retirement account. Think of it like this: if you had a $1500 tax return this year and you invested in an account with the rate of return of 7.5%, in 45 years it would turn into $38,857.26. Which would you rather¦a small trip to Mexico, or $39,000?
- Donating it to a charity of your choice. If one of your goals is to donate this year, use this opportunity to give a large cash gift to a cause that is close to your heart. Check out Marie Claire’s list of top charities that benefit women. PS: your contribution is tax deductible.
- Invest in a green efficiency make over. For example, investing in energy star appliances may cost a premium upfront, but they can use up to 10 to 50 percent less energy or water than your current appliances. With those savings, you’ll make up the cost in no time at all.
Remember:
It’s making the most out of small opportunities (such as a tax refund) that really make us smart cookies. xo
