According to USA Today the average tax refund is $3,096. That is a good chunk of money. While I don’t have any information on what people use their refunds for my own observations are that people immediately run out and spend the money on things. Some items they maybe in need of and probably most items are things that they want but really don’t have a real need for.
What if you started a new tradition with your annual tax refunds – Investing it into income producing stocks? Done properly you not only save your money but it starts producing a steady income for you that will serve you for the rest of your life.
It only takes a few short actions on your part to do just that. Have a plan ready for which stock(s) to Invest in. If you don’t already have a Brokerage Account make sure to open one. Go to the account and under trade stocks enter the stock symbol and the number of shares you are buying and at this point you will be asked what type of order. I choose Market order 90% of the time and its that simple. Now sit back and wait for your dividends to roll in.
By the way if you are the “average ” person and have $3,096 to invest at 8% you yearly income will be $247.68 or about $20.64 per month. Not bad, you still have your money and now it is producing more money for you. You are now a Dividend Income Investor and can start building an income stream for your future.
Or… you could have blown it on something you probably not even remember by your next refund………….. the choice is yours ! Choose wisely !
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