Tax refund tips

Tax refund tips
By: Erica Byfield

PADUCAH, Ky. - The deadline for filing taxes is April 17the. Once when the paper work is done the average American will get about $2000 in a tax return.

Now the question is what to do with that extra cash. William Cox will tell you this question comes along with the job "what tips would you give someone that asked you, what should I do with my tax return?"

He's a certified financial planner that crunches numbers all day.
Cox says tip number one is "everybody needs an emergency cash fund that's for if your car breaks down, air conditioner breaks."
He suggests your emergency fund should be at least three to six months in wages.
Next, think about investing some of that extra green in your home or use it for a down payment on a new house like Emi Poppens "I'm buying a new home so I'm going to put the money down on the purchase price of the house."
You could also think about giving a portion of our tax return away to a charitable organization, that was you feel good about it and you can claim it as a tax deduction next year.
William Cox goes on to say it's never a bad idea to use your tax refund to fix up your car, pay off some credit cards or save for retirement.    
That's what Robert Alexander says he plans on doing "I'm not getting much back but what I have all probably invest in my savings account." 
Finally Cox adds it's even ok to use your tax return to take the vacation of your dreams, just as long as you have all the money to pay for it up front so you don't end up in debt. 
Another good idea is to use your tax return to make an extra mortgage payment.