Tax refund tips

    Tax refund tips

    It’s tempting to want to spend your tax refund on something fun, but it is a better idea to put that cash into an emergency fund or to pay off high-interest debt. Hold on to some of that cash, says Andrew Zumwalt, personal finance specialist with MU Extension. Refunds are wages you earn throughout the year and should be thought of as hard-earned money rather than found money.

    Follow these financial tips to have peace of mind:

    • Save $500-$1,000 or more for unexpected repairs or medical bills that could create a financial crisis and add to your debt.
    • Jump-start a savings account by using part of your refund.
    • Pay down high-interest debt with some of your refund. If you have more than one credit card, pay off the card with the highest interest first.

    MU Extension’s Volunteer Income Tax Assistance program offers free tax preparation throughout the state for qualified individuals and households.

    For information about the VITA tax program in Missouri

    MU Extension offers numerous financial education workshops throughout the year.

    For information on resources in your county