It’s Tax Return time! If you’re like me, you’re anxiously awaiting or hopefully have already received that nice little deposit or check… but now what do you do with it? It can be super easy to just blink and the money be gone, so instead, make a plan of what to do to make that money last, or at least go to something really awesome! Here are some ways you can use that tax return…
Save It or Invest It. Seriously. Open up a bank account or an investment account that you can’t touch easily, and start saving that tax return money. The best part is that you’ll start gaining interest on it, helping you get in an even better financial place in the future. Plus, it’s always a great time to start your emergency money fund if you don’t have one– it helps you be more prepared for multiple crazy things that could happen.
Take a Family Vacation or Staycation. If you haven’t had time to get away, take your tax return and put it towards a family vacation– bonding time and memories are priceless, and definitely beat material possessions. Taking that time to spend with each other is a great way to use your refund, allowing you time to just unwind after the crazy tax season. One of my favorite affordable family vacations is a trip to Dauphin Island, Alabama. If you’re in the Kansas City area, you can also take an awesome Staycation instead! Or, wherever you’re having a staycation at, use this staycation planner to help you figure out where you’re going and what you’re doing! Also, Kansas City residents, you could splurge on a year-round staycation by stocking up on family annual memberships to great places around the metro, so you can visit this year as many times as you want!
Spend it on something special! Right now, I’ve got my eye on a new mattress to alleviate my chronic back pain… (not sponsored, I just REALLY want this mattress!) if you’ve had your eye on something special that you refuse to treat yourself to. This is a great opportunity to splurge on something you want or need but can’t always justify spending the money on. For me, it’s a new mattress, but for you, it may be a new couch, or a new grill, or a new refrigerator. Just take something you’d really like, and splurge on it using your tax return!
Buy a vehicle (or at least have a nice down payment). Now is an awesome time to replace your vehicle. For one, if you’re looking to sell your current vehicle, selling it now is an option because someone else has a tax refund to spend and may want to spend it on what you’re selling. I asked my favorite car dealer and repairman for advice on how to sell my car, and his biggest piece of advice to give was to sell it during Tax Return season– that’s when people are willing to spend some money on a large purchase, like a car. When selling your vehicle, combine the money you made on the sale and your own refund that you received, and you’ve got yourself quite the start towards a new vehicle (yay for down payments!) or enough money to get a decent used car! If you’ve been looking to swap out your ride, this is the perfect time to do so.
Start a business, continue your education, or do something new. Use your tax refund as an investment in a change for yourself– perhaps you’re a stay at home mom looking to get into direct sales to make some money working from home (I personally love Perfectly Posh!)… your tax return is a great way to feel okay about investing the average $99 that most Direct Sales starter kits run. Your tax refund is also a great payment towards taking a class that helps you in your current career, or if you’re a blogger like I am, putting that money towards a blog conference or eBooks to help you grow is always an option, too! In the past, I’ve put money towards equipment I needed for my blog (like lighting or photography equipment), courses I wanted to take, and of course, investing in side businesses to keep me going.
Work on making your house your dream home. One thing my family has been very intentional about the last few years is putting effort into making our house, our forever dream home. It’s gone room-by-room at times, but putting that refund towards one big intentional change, like flooring throughout the house, or a house addition, or a new shed, or getting rid of popcorn ceilings and putting in something new… these little updates can be expensive, but when you use your tax return, you can definitely get it done, one step at a time!
Change up your family’s wardrobe. One fun way to spend your tax return is to shake up your family wardrobe. Go through your closets and donate anything that you or your family has outgrown, hasn’t worn, or is just plain not your style anymore. Replace it with a full-on shopping spree of a wardrobe that is your style, your taste, and your size, so you can enjoy something new!
Get out of debt! If you’re experiencing credit card bills, phone calls from collections agencies, or if you just have a mortgage you want to pay off a little early, one great way to use your tax return is to get out of debt! (Or at least make a start). That refund can help you get one step closer to being debt free, and can really go a long way towards your family’s future success. Paying off your debt means less money going towards late fees or interest meaning you’ll save more money in the long run that you can use for something better!
Donate it. Seriously. Pick an organization, charity, or church you love, and send it their way. Giving your money to charity or religious organizations is a very important thing, and being able to give a lump sum, like your tax return, can really do wonders for an organization you love.
How do you plan to spend YOUR tax return? Let me know in the comments below!
