If you consider your tax refund as a gift from the government, you’re not alone.

Many Canadians see their tax refund or savings as free money – and money to spend freely. But that refund is your own money that was kept in the government’s hands.

Instead of splurging, you may want to determine which part of your financial life needs the most attention. If you have credit card debt, you can use the tax refund to reduce or eliminate ongoing interest charges. Perhaps you want to contribute the amount to mutual funds in a registered account, either saving for your retirement, a first home, your children’s education or another financial goal.

Just keep in mind that the refund is your own hard-earned money being returned to you.

You can always contact us for guidance whenever you receive a tax refund, annual bonus or any other cash sum.