Now that the U.S. tax day has passed, most Americans are looking forward to their tax refund check. Though it can be tempting to impulsively spend the money, there are Mindful ways to invest these funds in your physical, financial, and mental health.
The IRS issues refund checks less than 21 days after they receive the tax returns. While the turnaround is rather quick, not everyone is expected to receive a check. According to statistics from a TD Ameritrade survey, 47 percent of Americans expect to receive an income tax refund. The average refund is said to be between $2,700- $3,000, and if you don’t have proper plans in place you could spend it quickly.
Here are five Mindful suggestions for spending your tax refund:
- Invest in your finances. One of the most common methods in which people Mindfully spend their refunds is by paying off bills and other debt. In terms of credit cards it’s important to start with cards that have highest interest rate. You can also contribute to your retirement funds or your kids’ college funds. Or your tax refund will also make great seed money to start a rainy day fund.
- Invest in your career and hobbies. With this extra money you can also invest in your future. Consider hiring a professional to review your résumé. Consider taking classes or training courses to better your career and strengthen your résumé. Or you can also further your hobbies and maybe start your own business.
- Invest in your health. Your tax refund can be used to better your physical wellbeing. Consider joining a gym, taking yoga classes, or hiring a personal trainer. You can also take a Mindful vacation where you can relax, learn new things, and help others. Consider workcations, voluntouring, yoga getaways, or spiritual retreats.
- Invest in your environment. Your home and yard are an important part of your environment. So you can use your refund check to re-landscape or make necessary home repairs. For instance, help the environment by investing in energy efficient appliances. Your community is also a vital part of your environment. You can use the money to help support those that keep your local community clean and beautiful.
- Invest in others. A tax refund is a great opportunity for you to share your fortune with others. Know a friend in need? Consider loaning them money. Do you know of a local group (like a pet shelter) or a national foundation that needs donations? Make a contribution. Be sure to check with Charity Navigator before donating.
Bonus: Mindful Splurges. If these Mindful investments don’t suit you and you really want to splurge a little, there are Mindful ways to do so. For instance there are eco-friendly and fair trade options for nearly everything nowadays from shoes and jewelry to furniture and food. So if you do splurge be sure that it won’t harm the environment.