16 Smart Ways to Spend Your Tax Refund Money Wisely

How to Use Your Tax Refund Money Wisely

• Expand Your Emergency Fund. ...
• Pay Off Credit Card Debt. ...
• Pay Off Student Loans or Other Unsecured Debts. ...
• Put It Toward a Major Savings Goal. ...
• Contribute to a Tax-Sheltered Retirement Account. ...
• Contribute to a Tax-Sheltered Education Account. ...
• Invest Through a Taxable Brokerage Account.

1. What is the smartest thing to do with tax refund?
2. How do you spend your tax refund wisely?
3. What are smart ways to use your tax refund?
4. What should I use my tax refund for?
5. How can I stretch my tax refund?
6. What Should taxes be spent on?
7. How do you spend your stimulus check wisely?
8. What happens if I just don't file?
9. How can I maximize my refund?
10. How do I not spend my tax refund?
11. Should I save my tax refund or pay off debt?
12. How can I check my tax refund status online?

What is the smartest thing to do with tax refund?

Buy your financial freedom

If you have credit card debt, paying it off is the best investment you can make with your tax refund. ... If your refund doesn't cover the entire outstanding balance, look into rolling over your remaining debt to a balance transfer credit card with a lower interest rate.

How do you spend your tax refund wisely?

How To Spend Your Tax Refund

1. Pay Off High Interest Debt.
2. Build Your Emergency Fund.
3. Open A High-Yield Savings Account.
4. Max Out Your Roth IRA.
5. Start Investing With A Robo-Advisor.
6. Apply Your Refund To Your Future Tax Bill.
7. Make A Principal-Only Extra Mortgage Payment.
8. Invest In Your Home.

What are smart ways to use your tax refund?

6 Money-Smart Uses for Your Tax Refund

1. Pay down credit card debt. First, attack the card with the highest interest rate. ...
2. Build up an emergency fund. Tuck some of that tax refund into savings. ...
3. Invest in a retirement plan. ...
4. Prepay your mortgage or loans. ...
5. Be good to your car and your home. ...
6. Treat yourself.

What should I use my tax refund for?

12 Smart Things to Do with Your Tax Refund

• Create an emergency fund. Many Americans don't have an adequate savings account accessible in case of a sudden financial need. ...
• Send it to savings. ...
• Pay off debt. ...
• Fund your retirement. ...
• Look to the future. ...
• Seed the college fund. ...
• Invest in the stock market. ...
• Kickstart your career.

How can I stretch my tax refund?

7 ways to stretch your tax refund

1. Get to a zero balance on credit cards. Rid yourself of high-interest credit card debt. ...
2. Make an extra loan payment. Reduce your balance on high-interest personal loans. ...
3. Plan for the unexpected. ...
4. Invest in the future you. ...
5. Simple savings. ...
6. Donate to charity. ...
7. Treat yourself to something special. ...
8. Tax preparation options for members.

What Should taxes be spent on?

Mandatory. Mandatory spending consists primarily of Social Security, Medicare, and Medicaid. Several welfare programs are smaller items, including food stamps, child tax credits, child nutrition programs, housing assistance, the earned income tax credit, and temporary assistance for needy families.

How do you spend your stimulus check wisely?

How to Spend it Wisely

1. Pay Off Debt. Debt would always be first on my list. ...
2. Finish Your Emergency Fund. ...
3. Start Your Next-Car Fund. ...
4. Pay Down Your Mortgage. ...
5. Contribute to Your Retirement. ...
6. Start Living a Month Ahead. ...
7. Contribute to Your Kid's College Fund. ...
8. Pay Ahead on Car Insurance.

What happens if I just don't file?

You'll also owe a late-filing penalty, which is usually 5% of the tax owed for each month, or part of a month that your return is late, up to five months. If your return is over 60 days late, the minimum penalty for late filing is the smaller of $135 or 100% of the tax owed.

How can I maximize my refund?

Pay no more than you owe, or even increase your tax refund.
...
These strategies go beyond the obvious to give you tried-and-true ways to reduce your tax liability.

1. Rethink your filing status. ...
2. Embrace tax deductions. ...
3. Maximize your IRA and HSA contributions. ...
4. Remember, timing can boost your tax refund. ...
5. Become tax credit savvy.

How do I not spend my tax refund?

9 Ways You Shouldn't Spend Your Tax Refund

1. Don't Spend It on Material Things.
2. Don't Hit Up the Casino.
3. Don't Put It in Your Checking Account.
4. Don't Spend It All on Your Kids.
5. Don't Use It on a Car You Can't Afford.
6. Don't Borrow Against It.
7. Don't Continue the Debt Cycle.
8. Don't Book an Expensive Vacation.

Should I save my tax refund or pay off debt?

"Using your tax refund to pay the highest interest credit cards would be the most beneficial, as you would save on interest that is not tax deductible." It makes sense to use the "extra money" you receive to pay down your unpaid credit card debt, focusing first on the highest interest balances.

How can I check my tax refund status online?

View Refund/ Demand Status

1. Login to e-Filing website with User ID, Password, Date of Birth / Date of Incorporation and Captcha.
2. Go to My Account and click on "Refund/Demand Status".
3. Below details would be displayed. Assessment Year. Status. Reason (For Refund Failure if any) Mode of Payment is displayed.