Did you know that the average Australian received a tax refund of $2,381? That’s enough to splurge on some new furniture or an LED Smart TV, right? Well, before you head down to your local shopping centre with your tax refund in hand, take a look at three ways we’ve come up with to spend your tax return. We’re confident that the following strategies will help you make the most out of your tax return and create positive change in your life.
#1 SET UP AN EMERGENCY FUND
Research conducted in last year’s Financial Consciousness Index found that a concerning 13.4 million Australian’s do not have emergency savings to fall back on if there were unable to earn an income for more than three months. The study also found that 7.5 million Australian’s struggle to pay their bills and are not saving money regularly. With this is mind, why not use this year’s tax return to set up an emergency fund and make this the start of your savings plan. Our team at Canny Advisory can help you with budgeting and saving to ensure that you have the right financial plan in place to set yourself up for success.
TIP // speak to one of our Financial Planners or Advisers to find out the easiest way to make this happen without even noticing!
#2 MEET WITH AN ESTATE PLANNING LAWYER
As the saving goes, there are only two certainties in life; death and taxes. Unfortunately, more than half of Australian adults do not have a will. So, with this year’s tax return, why not protect your loved ones and sit down with an estate planning lawyer to draw up a will or testamentary trust. Our team at Canny Legal can help you with your estate planning needs, including wills, enduring powers of attorney and medical power of attorney. Getting this sorted can be the final way you say ‘I love you’ to the people you love the most.
TIP // check out www.cannygroup.com.au/wills to complete your Will in the comfort of your own home, without having to leave your couch!
#3 STARTING YOUR SIDE HUSTLE
If you have an idea of starting a side business, use this year’s tax return to kick-start this once and for all. it doesn’t take much more than $2,381 to get started these days: a basic website and some Facebook or Instagram ads to attract your first paying customers. Why not make this the start of your side hustle and see if you can generate a return on investment and get your business off the ground. It’s also worth keeping in mind that our team at Canny Accounting can help you to take your side hustle to the next level. We will ensure that you’re equipped with the knowledge to manage your side hustle the right way and take advantage of opportunities as they present themselves.
TIP // speak to one of our team to ask them about booking your ticket to our FREE Side Hustle webinar to help you get started the right way!
So, how will you spend your tax return this year?
Chris Graham – Client Services