You survived 2021, filed your taxes, and finally received your tax refund. What now?

According to the IRS, the average refund in 2021 was $2,873. It can be really easy to take that money and spend it without much thought, and most of us are probably guilty at some point of doing so. But, what if you could make that money work for you?

Here Are a Few Ideas to Make the Most of Your Tax Refund:


1. Pay Down High-interest Credit Card Debts

According to the Federal Reserve, revolving credit balances reached an all-time high in 2021.  Paying off your balance could save you hundreds to thousands of dollars in interest, not to mention significantly reducing your stress over being in debt.

2. Start an Emergency Fund

Give your household some peace of mind by building an emergency fund, knowing you can handle unexpected expenses such as car or home repairs.

3. Invest in Yourself!

Using your tax refund to pay for additional training, tuition, a work-related conference, or membership in a professional organization is an investment that can pay off for years in bigger paychecks and greater job stability.

4. Invest in Your Future

Add some of your refund check to a Roth or traditional IRA. Start saving now for your golden years.

When you work with TaxTime CPAs, you can feel confident that you are paying the right tax amount and taking full advantage of the deductions and refunds available. You can contact us here to see if Tax Time CPAs is a good fit for you.