Do you have a fully funded rainy-day fund? Understand the importance of reserves! Whether it’s home repair, auto repair, a layoff or an emergency pedicure, having cash set aside will ease the financial burden. We recommend three to six months of readily accessible savings.
Get out of debt. Love financial freedom more than your credit cards. Pay down or pay off credit cards or unsecured loans. Start with the card with the highest interest rate. Wiping the slate clean on a card or cards is a big psychological win and will encourage you to stay on track until you are out of debt.
Reap what you sow. Let your financial gardens grow. If you don’t sow into a retirement plan now, there will be no harvest come retirement. For example, if you take a hypothetical $3,263 tax refund and stash it in a Roth IRA, you could have $32,834 in 30 years, assuming an 8% annual return*. Plus, you’ll pay no federal income tax when you take a qualified withdrawal from a Roth IRA
investor.gov/financial-tools-calculators/calculators/compound-interest-calculator
Embrace the future. Invest in your child, grandchild, or yourself. Working with a financial advisor is the best way to understand all your options, and we can point you in the right direction to help get you started. Consider an education savings account for your kids or grandkids.
Have you thought about investing in yourself? Do you want to ascend to the next level? Certifications and college classes can help sharpen your skills. Even if you are not career-oriented, investing in your hobbies can bring added enjoyment.
Gifting your refund. Women are givers. You may decide that you don’t need the money. What puts a smile on your face? That may be the appropriate strategy for your refund.
Have some fun. Stop putting other things in front of fun. You may take one of our ideas to heart and earmark the lion’s share toward that goal. Save some for yourself. Whether it’s a week-long trip, a day at the spa, or that expensive restaurant you have always wanted to try, it’s good to take care of yourself.
These suggestions are just food for thought. Be strategic. Think long-term. And take some time to consider what you might do with your refund or any windfall you may receive. Remember, we are always here to assist you. Find us at jayfinancialgroup.com Securities and advisory services offered through Commonwealth Financial Network®, Member FINRA/SIPC, a Registered Investment Adviser. Fixed insurance products and services offered through Jay Financial or CES Insurance Agency.