If you’re getting a really big tax refund this year, we’re not trying to crush your joy. But here’s why it ISN’T always a good thing . . .
When you get a big refund, it’s usually because you had too much money withheld from your paychecks. Maybe because you filled something out wrong on your W-4. And it IS nice to get that big chunk of money.
But a lot of people end up using their refund to pay down credit cards, which rack up interest all year. And if you had a little more money in your pocket, maybe you wouldn’t have NEEDED to use your credit card.
Or if you REALLY want to be an adult about it, that extra money could have automatically been deposited into a retirement account. Here’s why it makes sense . . .
Let’s say you get paid twice a month, and got a really nice refund this year of $1,200. That means you overpaid by $50 per paycheck.
If you invested all that money and kept doing it for 30 years, you’d put away $36,000. But because of compound interest, you’d actually end up with a lot more than that.
If your 401K or IRA made 6% a year, you’d actually end up with about a HUNDRED-THOUSAND dollars after 30 years. About 60 grand of it would come from the compound interest alone.
A 57-year-old woman named Glenda Blackwell bought a $10 lottery ticket last Saturday near Asheville, North Carolina, because she wanted to show her husband it’s a waste of money.
His name is Buddy, and he plays the lottery a lot. He actually asked her to buy two Powerball tickets, but she bought a scratch-off instead. Apparently just to get under his skin, because she wanted him to stop.
But her plan blew up in her face in a pretty spectacular way. Because the ticket she bought ended up hitting for a MILLION BUCKS.
They came forward on Monday to collect their money. They took the lump sum of about $415,000 after taxes.
Glenda says she had to eat her words after the ticket hit. But she’s not too upset about it, because they don’t have to worry about money for the first time in their lives.
She says they’re using some of the money to buy a house and put their grandkids through college. And in a roundabout way, she also got what she wanted. Because now that they’ve won, Buddy promised to stop buying so many lottery tickets.
I’m going to go out on a limb and say you don’t like paying taxes. It’s okay, I won’t tell Bernie Sanders on you. So . . . what’s it worth to you to NEVER pay them again?
A new survey asked people what they’d be willing to do for a tax-free future. Here are the results . . .
- Get an “IRS” tattoo, 27% would do it.
- Move to a different country, 16%.
- Clean the toilets at Chipotle for three years, 11%.
- Stop talking for six months, 10%.
- Name your first-born child “Taxes,” 8%.
- Sell a kidney, 6%.
- Assuming you’d get away with it, murder someone, 4%.
- Spend a year in prison, 4%.
The survey also asked people what they’d rather do than work on their taxes. Here are those answers . . .
- Do the laundry, 77%.
- Cut the grass, 60%.
- Teach your kids how to budget, 48%.
- Cook Thanksgiving dinner for your in-laws, 47%.
- Paint your house, 45%.
- Change a baby’s diaper, 43%.
- Talk to your kids about sex, 35%.
- Fold 100 fitted sheets, 32%.
- Miss a connecting flight, 23%.
- Spend the night in jail, 13%.
- Break your arm, 8%.
And finally, 5.7% of people say they’ve already given up and they’re planning on paying their taxes after Tax Day.
If you were ever going to buy a lottery ticket, this might just be the day to do it.
The Powerball drawing tomorrow night is going to have a jackpot of around $700 MILLION . . . possibly even more. And that’s the biggest lottery jackpot in HISTORY. The previous record was $656 million in 2012.
If you win and take the lump sum, you’ll get about $428.4 million. Assuming about half of that goes to taxes, you’re winding up with $214 million. Not too bad.
Your odds of winning the jackpot are one in 292.2 million. So I’m saying there’s a chance . . .
Powerball tickets are available in 44 states . . . everywhere but Alaska, Hawaii, Nevada, Utah, Alabama, and Mississippi. They cost $2, and the drawing is at 10:59 p.m. Eastern tomorrow.
The Top 10 Naughty Things We Did This Year
Regardless of whether you were “naughty” or “nice” this year, you’re going to get Christmas presents.
It’s like how you basically HAVE to tip a server even if they’re terrible.
Or how we HAVE to elect one of these idiots president.
A new survey found the top 10 NAUGHTY things we did this year. Check ’em out . . .
- 57% faked being sick to get out of doing something.
- 52% used their kids as an excuse to get out of doing something.
- 33% threw trash in a recycling bin.
- 33% lied to their significant other about where they were going or what they were doing.
- 29% had sexual thoughts about their significant other’s friends.
- 27% gossiped. Which seems WAY too low.
- 19% of people in relationships cheated. Which seems kinda high, right?
- 17% cheated on their taxes.
- 8% bullied someone.
- And 7% of the people who found a purse or wallet KEPT it.