It’s tax day! Even with two extra days to prepare, I’m sure some of you are scrambling to get those dreaded forms in on time. Every time you think you understand one, another question pops up!
Well, it’ll all be over by tomorrow and soon, you may even have a refund in your account!
I already know what your first thought is: “Free money = Spend it all!”
I can’t blame you, but this may not be the best decision. You can save the money to go toward your dream closet fund, go out for an epic night out with the girls or plenty of other things.
There’s almost too many options to choose between. So, here’s what I keep in mind during tax season:
1. Do Something for Yourself.
You work hard; you pay your bills and you still make time to do everything you love. I’d call that #girlboss status. So why not celebrate that? Whether you’re getting back $200 or $2000, if you can afford it, take $20 (or up to 10 percent) and do something you wouldn’t normally do. Go buy a new pair of shoes, actually go for that soul cycle class or grab drinks with your friends at that restaurant you’ve been dying to try.
Life is about more than just money….but also:
2. Save Some and Forget it.
You never know what’s going to happen tomorrow, let alone a year or more from now. You may need that money later on. Drop it in a savings or retirement account and forget that you ever saw it. This way, you can’t throw it away on an entire capsule collection (I love Victoria Beckham, too, but no one needs THAT much of one designer).
3. Spend Only on What Matters Most.
If you absolutely must spend more of it, which I don’t recommend, make sure it’s only a small percentage and spent on something worthwhile.
Let’s say you got $2500 back and are $100 shy of what you need for that Gucci disco bag you’ve wanted for the past year. Since it is a small amount of the whole refund (under 10 percent) and you were already saving for it, why not? Just don’t go overboard. Carrie Bradshaw had an enviable closet full of designer goods but she couldn’t buy her apartment when she needed to. #SexAndTheCity
After all is said and done, the decision is one only you can make. I just recommend doing your research, checking everything against your personal finances as well as weighing the pros and cons of each option. I, personally, wouldn’t regret any of the above.
Happy Tuesday, everyone!
Now it’s time for me to ask you a question. Would you spend it or save it?