Now that tax season is finally behind us, it is time to get away from the forms, receipts and calculating numbers and breathe deeply. For millions of Americans, they have to wait for a refund check or direct deposit. Tax refunds are sent by the IRS to people who paid more tax than they were during the year or for those who qualify for refundable credits worth more than the amount owed to the IRS. Last year, the average tax refund exceeded $ 2,950 and more than 124 million taxpayers received one.
If you have a refund and have not received it yet, you should visit the IRS website and go to the Where's My Refund? After the IRS confirm your identity through a few simple questions, you will provide the current status of your refund.
If you filed your tax return electronically, just 24 hours after doing so you can check the status of the return. But if it was filed and sent them by mail, then you must wait at least 4 weeks before checking.
Once you get your refund, the question is what to do with your money. Depending on the amount of the refund, you can reach many valuable both personal and financial goals.
These are the 10 financial and investing ideas that you should consider:
Buying a life insurance policy to protect your family. Life insurance is the most basic and most important for American families and it is a reliable financial instrument. It helps paying to your family in case you die while you are covered. Life insurance are much less expensive than people think. There are good policy premiums that start from $ 20 per month.
Liquidate all debt with high interest like credit cards. This isn't new, but it's more important than ever. For every $1.00 you spend on a credit card with an interest rate of 18%, over time, it will cost you $ 0.90 in interest if you make only minimum payments.
Create an emergency fund. Most people who file for bankruptcy do so because they something unexpected happens that prevents them from working or carries large amounts of debt. An accident that prevents you from working for 6 weeks is the perfect example. An emergency fund can help you afford the cost without getting into debt.
Purchase a disability policy. According to the Social Security Administration, today in the U.S. there are over 37 million people with disabilities. One in four people between 20 and 29 will become disabled before retiring. A disability insurance policy pays a portion of your salary if you become disabled and can no longer work or can only earn a fraction of what you earned before you got in that state.
Invest in an IRA. Most Latinos can invest up to $ 5,000 per year in an IRA (Individual Retirement Account) in which your money grows over time. In exchange for that promise to leave the money invested until you retire, the government allows you to defer (or expect to pay) or even completely exempt you from taxes that otherwise would have had to pay for the profits.
Opens a savings account for your children. Go with them to the bank and make them participate in the process of opening the account and deposit money. It's a great way to start teaching the concept of being financially responsible.
Invest in a program to learn English family oriented. If you're new to the United States or need help with your English language skills, it is a great investment because language skills are very useful to get a better job and a higher salary.
Invest in a computer. The computer prices have dropped dramatically and a powerful machine with Internet access can offer both educational and entertainment opportunities.
Purchase tickets for an educational seminar or a certification program. Any investment in your education is money well spent. Focus on skills that you can implement at work to better your prospects for promotion.
Replace your old appliances. The very old appliances consume more energy and is more expensive than having them new.