Wondering what's the best thing to do with your tax refund? The U of M Extension Service suggests four smart uses:
- Pay off bills.
- Save for needs in the coming year. Maybe you know a big bill is on the horizon, or you just want to put something aside as an emergency fund.
- Save for long-term goals. Think "retirement."
- Save for special purchases. Need to replace an appliance? A sofa? Use your tax refund to start saving toward it.