It always amazes me how much I am able to get back every year…Andrew is considered a disabled dependant, and as a single parent, I am allowed to claim another child as “equivalent to spouse” (although it now has another name). This brings my income down considerably and I am getting back all but $2000.00 of the income tax I had deducted from my paycheque this year. I realize I am more fortunate than most.
Of course, almost all of it is going to debt repayment. With the return I get we can completely pay off one credit card, all our property tax, and the dentist bill that we have for some work on Evan’s teeth.
I also completed Amy and Shane’s returns and they are getting a sizeable refund as well (about half the size of mine). We are going to put a big chunk of that on another bill, put some into savings and then buy the over-the-range microwave that we’ve been wanting.
We are also on track to pay off the line of credit as of the middle of May. I will no longer have car payments starting the beginning of July. This will free up about $725.00 a month in funds. We’re going to snowball the $500 payments from the line of credit onto another credit card, and then split the other $225.00 up between a “car repair” fund for our older cars and savings.
I haven’t sat down to crunch the numbers as yet, but as soon as the tax return $$ comes in, I am going to sit down and make a plan as to how we’re going to pay the rest of the consumer debt off. I can’t wait to share it all with you guys when I do.
Are you getting a refund this year? What are you doing with it?
***don’t forget my giveaway that I posted yesterday! I am giving away a custom made hat for you, or for someone you love!!