What to do with your tax refund

Posted: March 10, 2023

Let’s put your money to work!

If you’ve got a tax refund coming your way, congratulations! That’s extra money that you can use to improve your financial situation.

Rather than letting the money get absorbed into your normal spending routine, make the most of it by using it wisely. Here’s a roadmap to help you choose where to spend your money:

1. If you don’t have any debt, or if you’ve already paid off your debt, consider saving your refund into an emergency fund. This will give you a cushion of cash to fall back on if you have unexpected expenses in the future.

2. If you have high-interest debt, use your refund to pay it off. This will save you money in the long run by reducing the amount of interest you’re paying.

3. If you have a specific goal in mind, such as saving for a down payment on a house or taking a dream vacation, use your refund to help you reach that goal.

4. Finally, if you’re not sure what to do with the money, consider investing it or making a donation to your favorite charity. This will help you grow your wealth over time.

No matter what you do with your tax refund, make sure you use it in a way that will improve your financial situation. By following this roadmap, you can make the most of your hard-earned money.

Need help getting started? Remember, getting in contact with one of our finanical wellness advisors is easy. Visit us online, give us a call at (202) 789-2901 or schedule a virtual appointment through our virtual branch.