Sunday, April 08, 2007

Consider Investing Your Tax Return

If you have already visited your CPA or filed your 2006 income taxes on your own; you may want to invest the money you'll be receiving from your tax return (provided you are receiving a fairly large sum).

Some may ask why investing your tax refund is a smart move, while others can’t wait to cash the check. Here are some investment ideas for those of you who are considering it.

  • Reinvest the money back into your home - repairs, landscaping, addition, etc...
  • Invest in a bank CD
  • Increase your IRA account
  • Your current 401K, SEP or other retirement fund
  • Invest into a 529 or other educational savings vehicle
  • Pay off insurance premiums
    Pay off your credit cards or other high interest debt
Think about why investing your tax refund is a smart move. Talk to your accountant to determine the best course of action which will yield you the highest interest for you and your family. This may be the smartest move you’ve ever made!

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