“It’s over! It’s over!”
The standard tax season has come to an end – for most people that is! If you did not have to file for an extension then by now you should be wiping the dust from your hands and kicking back to relax! If you had to file for an extension, then hopefully, you’ll be doing the same in no-time.
So tax season is over, you may or may not have received a refund from the feds and or the state, but now what are you supposed to do? Well it certainly depends on your personal situation, but if you did receive a refund here’s what you should be doing with it!
1. Under the Mattress: OK well maybe not literally “under the mattress”, but how about you stock some of that tax return away in your savings? If you’re not in any dire need for the money, then take a portion of the refund, based on your needs and stow it away for a rainy day.
2. Pay it Off: How is your debt-reduction plan going? Making any progress yet? After you put some money aside for savings, take another portion, based on your personal needs, and pay off the debt that has the most interest associated. The faster you can whack away the high interest debt, the faster you can bury your debt all together!
3. Go Ahead… Have Fun: After your financial responsibilities are taken care of, go enjoy yourself. Take a weekend getaway with family or friends, go enjoy life! Remember, its not just about the money, it’s about your life. Just remember, to stay within your means, set a budget for your trip and make sure you stick to it.
If you’re one of the many that are still waiting on your refund or you had to file an extension and are still waiting, take this time to setup a plan for yourself. So when you do receive your refund, you can enjoy it immediately!
Tax Tip: Don’t forget to save your tax returns for at least 7 years!