The IRS has started depositing Economic Impact Payment funds. Here are a couple of tips for what you could do with the money.
Having a budget is the best way to see the big picture of how your money is utilized. We suggest you create a plan before spending anything and now would be a great time to make one! If you already have a budget, take another look to see if there are things you can cut back on. It is highly recommended to plan for your basic essentials first. Then, find out if there are any areas you can cut back on. Can you place any subscriptions on hold for a few months?
Once you have your budget figured out, check to see how much money is left over after paying necessary bills. If you can afford to do so, you should put some of the money into an emergency fund. This way you will have money available if it’s needed later.
You can also take this time to assess your financial situation. Do you know the interest rate of your mortgage loan? How about your car loan? You should evaluate the interest rates to see if it makes sense for you to refinance at a lower rate. When was the last time you checked your credit report or credit score? Do you have any credit card debt? You can get a free copy of your credit report at annualcreditreport.com.
You may be looking for ways to help support local businesses. If you have room in your budget, you could make a weekly menu incorporating one night a week to get takeout from your favorite local restaurant. If you’re looking for ideas, we recently asked our members what their favorite local businesses are and a few restaurants that were mentioned are Bagel Boy, B&G Milkyway, Nick’s Gyros and Swamp Daddy’s Cajun Kitchen.
If any of this makes you feel overwhelmed, don’t worry, we are here to help! You can contact us or give us a call at 605-336-1047.