If you are filing your 2015 1040 tax form and receiving a refund, you should reconsider your options for the year 2016. If you must use the refund to catch up on bills and debt payments, you should really get serious about avoiding that process in the future by making sure your don’t get a refund in 2016. Skip the refund and use your own money throughout the year to pay down debt! If you will use your refund on eating out, buying new technology, or any other non-appreciating items, you should really get serious about changing what you are doing. If you are doing any of the foregoing, you really need to get coaching to help you learn how to manage your money more efficiently! Stop listening to popular money “experts” and get serious about making changes that will totally change your life.
Take Greg and Mary (not their real names), they are in their early forties, making a modest middle 5-figure income, and they get a $3,800 refund. This means that on average, they have overpaid federal income tax an average of $317 per month. This has been going on for at least three years. It is therefore reasonable to be very concerned about their financial future while carrying on such inefficiency.
Consider the opportunity cost of Greg and Mary paying too much too soon to the government:
- Monthly cash available ($3,800 divided by 12) = $317
- Savings rate if applied to their mortgage 3.25%.
- Dollars saved over 25 years = $146,000
- Savings rate if applied to guaranteed cash value 5.00%
- Dollars saved over 25 years = $189,000
In these days of bad economics, declining wages and an uncertain investment market, you must take charge of your money in a different way than you have heretofore. Unfortunately, your financial life is very complicated in real time and emotionally. But on the bright side, there has never been a better time to get effective help and support than now. No one can afford to lose $146,000 or $189,000 anytime, for any reason. When it doesn’t have to be, why allow it to be so!! Take action and call your financial coach now!
For more information affordable financial coaching call Alan at 801-292-1099, firstname.lastname@example.org.