1. The most practical and effective way to manage your tax refund is to save it. To save you tax refund is to avoid spending them on things you don’t actually need.
2. You can opt to invest your tax refund. You can place your money in the money market or stock market. Do your research if you are doubtful about where to invest your money.
3. You can use your tax refund to finance your car or home repairs. List down the things that need repair. Figure out which one is the most important. Know if your tax refund is enough to cover the cost of the repairs.
4. Use your tax refund as seed money for your emergency fund. Any unforeseen expenses in the future can be funded by your emergency fund.