YOUR Daily Bread
Make your tax refund count
was needed. When the bridegroom arrived late, By Terry Frisk only the wise bridesmaids who were prepared atOnce again, it’s tax time! That dreaded time tended the wedding banquet. Using your refund of the year when you must gather all the relto build an emergency fund will give you peace evant information to prepare your tax return. of mind knowing that you will be prepared But wait; it may result in receiving a refund! when an unexpected expense arises. In a recent article posted on Bankrate.com, 72 4. Add to your retirement account. In percent of the tax returns filed in 2019 resulted Proverbs 6, we learn about the wisdom of the in a refund. The average refund for the year was ant who prepares and stores food in the summer $2,869. Odds are, most of you will receive a tax for sustenance in the winter. Putting money in refund this year, as well. HOORAY! Now, the a retirement account now will provide for the question is what to do with that refund. Before winter of your life. If you put your refund in an going on a spending spree, you should consider IRA, it will reduce your tax bill next year. Winhow to best utilize the windfall you received. win! Here are some recommendations in order of 5. Reward yourself. You have worked hard importance. and deserve a reward. Ecclesiastes 9:13 states, 1. Give back to the Lord. Giving is an act Terry Frisk “And people should eat and drink and enjoy of faith that helps us keep our priorities straight. the fruits of their labor, for these are gifts from Everything we have is a gift from God and we are stewards of what He has given us. Honoring God with some God.” Allocate a modest portion of your refund to reward yourself. Better yet, take the opportunity to recognize those or all of your refund recognizes that God is our provider and around you who have been a part of your journey over the past that we will prosper with more than just money if we trust in year. Take your family to dinner, treat friends to a movie, or Him. 2. Reduce or pay off debts. We know from Proverbs 22:7, purchase something you can enjoy with others. Sharing the fellowship will bring more satisfaction than spending on something “The rich rule over the poor, and the borrower is the slave of the lender.” While we are not literally a slave to the financial that loses its luster once the new wears off. If you are receiving a refund this year, use it as an opporinstitution that we owe money to, it can sure feel that way when tunity to accomplish some important financial goals and to we make the periodic payments. Use the “snowball method” also reward yourself for your toil. Keep in mind, a tax refund debt reduction plan advocated by financial advisor Dave shouldn’t be a free pass to go do whatever you want with the Ramsey to pay off your smallest debts and take the payments you would have made on those to apply toward your larger bal- money. Prayerfully consider how to put it to best use to serve God. Remember, it’s still our responsibility to be good stewards ances until they are paid off. with the abundance God has provided. n 3. Create or add to your emergency fund. While God provides for our needs, we should still be prepared for unexpectTerry Frisk is a partner in the firm B2B CFO, providing financial advisory ed financial emergencies. I am reminded of the parable of the services to small businesses. He also counsels individuals on personal 10 bridesmaids in Matthew 25:1-13. The foolish bridesmaids financial matters through the Cathedral of the Rockies Budget Counseling brought only enough oil for their lamps to last until the groom ministry. He may be contacted through e-mail at terry_frisk@msn.com. arrived, while the wise bridesmaids brought extra oil in case it
30 March / April 2020 | Christian Living
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