Life is full of difficult choices: Dog or cat? Coke or Pepsi? Steak or chicken? This is especially true when it comes matters concerning your wallet — only making a decision in these situations is much more complicated since there’s no one-size-fits-all financial plan.
Which makes the dilemma of what to do with your tax return all the more difficult to solve. Our recent article on Yahoo Finance, examines two options for your windfall: Invest it or use it to pay off credit card debt?
While the Great Recession reduced the average amount of outstanding credit card debt, it’s been creeping back upward. About half of all Americans have a revolving balance averaging $15,611. Directing a large chunk of money towards it can go a long way towards living a debt-free life. But you should start saving for retirement as soon as you can, especially since you could be tempted to rack up a whole bunch of charges again.
The decision isn’t as difficult as might initially seem, but you’ve got to think about not just the bottom dollar, but your risk tolerance, too. Which is exactly what TradeKing Advisors does. We help you meet your financial goals by recommending professionally managed portfolio that match your risk tolerance and objectives — comfortably navigating you past debt and towards a more secure retirement.
What do you plan to do with your payout from Uncle Sam?