Tax season is upon us, and if you have any income you are probably hoping for a hefty check after filing your return. The big question once your tax refund arrives is what to do with it. Read on for some ways to save that money, as well as smart spending tips if it is burning a hole in your pocket.
Part of your income
The experts at TurboTax would like to remind you in their article “How to Spend, Save, or Stretch Your Tax Refund” that your tax refund is not a gift from Uncle Sam. In reality, that money is part of your income and you should take that idea into consideration when you are deciding on whether to spend or save that check.
What’s more, if you are getting too large of a refund, then you may need to adjust your paycheck withholdings. According to TurboTax, “the amount that is withheld from your paycheck is based in part on the number of exemptions you entered on the W-4 you gave to your employer.” Read more