Tax time is winding up and you may be getting a check in the mail from the IRS. Now it’s time to figure out what to do with your tax refund. Here are a few suggestions from The Motley Fool to make the most of it:
- Open or contribute to a short-term savings account to protect yourself from unexpected expenses. Then, if your car breaks down or the refrigerator goes on the blink, you won’t have to borrow money to take care of it.
- Pay down some on your credit cards, especially those with the highest interest rates.
- Open or add to an IRA.
- Invest in yourself. Take a course to learn or to polish a skill.
- Invest in your home. Add insulation around windows and doors, replace an older roof or add a new coat of paint.
- Invest in your car. Replace those balding tires or make repairs you’ve been putting off.
- Invest in your community. Donate to worthy local charities.
- If you’ve never bought stock before, test the waters by buying a few shares of your favorite company.