I look forward to receiving my tax refund every year. As a writer and small business owner, I have to pay taxes on my income. I collect all my receipts, pay my taxes quarterly, and do my best to overpay each year to make sure I get my refund.
If you pay enough taxes, you can sometimes get a refund of hundreds or even thousands of dollars. Receiving a refund check is like receiving an extra Christmas present.
Once the money is deposited into my account, there is one question that ruminates in my mind.
What do you do with the money?
Like anything else, I need to be a good steward of all that God has given me. This includes tax refunds. Tax laws change every year, so you don’t know how much you’ll get back. I can give you a rough estimate of my earnings and appropriate reimbursement, but they won’t necessarily match. Annual adjustments and changes will affect the amount you receive.
If I get my money back, I will take good care of that money, just like any other paycheck he gives me. What does it mean to be a good steward of your tax return?Here are five ways to be a good steward and feel like you’re doing good with your money.
Pay off your mortgage (or other bills)
During other months of the year, you may have enough money to cover your monthly mortgage payment, but you rarely have enough money saved to pay off the extra principal. By paying additional principal, you can significantly reduce the amount of interest you pay over the life of your loan. Plus, you’ll pay less for the home. This means you can pay off your home faster and own the property to live in, or sell it for a profit.
If you received your tax return this year, consider paying the big bill. Do you have a large loan or something else that’s putting a strain on your regular monthly budget? Consider paying off some of those bills (or paying them off). The feeling you get from having a little extra in your budget trumps spending money on frivolous possessions or lavish vacations.
Let’s invest
Another way to become a better manager is to invest. The Parable of the Ten Minas (Luke 19:15-20) gives us wisdom that tells us what to do with the money we are given.
“Then he sent the servants to whom he had given the money to find out what they had gotten for it. “The first one came and said, ‘Teacher, your mina has gained ten more minas.'” “Well done, my good servant!” his master answered. “Since you have been trusted with a small thing, please take charge of ten cities.” “The second man came and said, “Teacher, your mina has increased by five more.” “His master answered, “You are in charge of five cities.” “Then another servant came and said, “Teacher, this is your mina. I have kept it wrapped in a cloth, but…”
It is clear from this parable that those who invested and received special profits were praised and given more. However, no interest was earned, and those who simply deposited the money in the bank and did nothing else received no additional compensation.
This parable is a lesson on how we should live for Christ and preach the gospel, but it is also good advice for receiving extra money. If you received extra money at the end of the year, what would you spend it on?
Do your research to find low-risk investment opportunities that are right for you. Try investing in mutual funds or stocks that you know won’t fluctuate much. Don’t invest in get-rich-quick things like Bitcoin, or things where you can lose money quickly. If you realize at the end of a quarter that you have no money because you simply invested in the wrong area, you will regret it terribly.
We recommend that you seek help from someone who knows money. Talk to a financial advisor or church leader who is good with money and knows how to invest it.
Give to those in need
Giving to those in need is a great way to be a good steward of what God has given you. The Bible is full of verses that emphasize giving to those in need. It always honors those who choose to sacrifice and give to those who have nothing. If you have extra money this year, consider donating some or all of it to someone you know in need.
Some single mothers may need food and shelter for their children. This could be someone from your local church or an organization that helps those in need in your area. Be a witness for Christ by donating your extra tax refund to those in need. Not only will you impact the world, but you will also be a good steward of God’s money.
give tithe
Most Christians understand that they must give 10 percent of their income to their local church. This is to allow the church to continue to grow, pay salaries, and allow the church to continue to impact the community. But have you ever considered tithing the extra portion of that money? In other words, you’ll be putting down 20 percent each month instead of just 10 percent. You can allocate it to specific ministries or church activities that you know will be directly impacted by this additional income.
You can also donate to your local pregnancy center, food pantry, or other worldwide ministry. Many denominations focus on both local and global missions. Some have direct access to World Mission Centers, which send people to preach the Gospel to unreached groups of people. By donating that money to the fund, missionaries are free to preach the gospel without worrying about where their next meal will come from.
How nice it would be to go to heaven and meet the person whose life you touched with that extra money. The feeling of having a direct impact on the world with your money will be better than anything you can do with it on this planet.
respect your parents
In the Ten Commandments in Exodus 20, one of the strict commandments God gave to his people was to honor their parents. It’s important to honor your parents even if your relationship with them is strained or non-existent. Does anyone in your family have a hard time making ends meet? Do you have only one parent alive and the other deceased?
If your living parent is struggling, it may be a good idea to give them some money to pay off debt or cover living expenses for the next few years. Especially if your income is low, invest the money by using it directly to meet one of your needs, pay off your mortgage, or pay other bills.
If your parents are on Medicare or Social Security, you can take advantage of all the help available. With those totals decreasing, it’s no wonder seniors have a hard time living on government benefits today. If needed, you can help bridge the gap by giving them something extra to live on. This is a great way to honor their legacy and what they did for you while you were growing up.
Receiving your tax return is a great opportunity for you to make an impact in your community and the world, pay down debt, and ease the financial burden on people you know and strangers in your community. Regardless of what you spend your money on, resist the urge to spend it on frivolous trips or big purchases. Make an impact in your world and be the hands and feet of Christ to those in need by donating to one of the areas listed above.
Michelle S. Lazurek is an award-winning multi-genre author, speaker, pastor’s wife, and mother. She is a literary agent with Wordwise Media Services and host of The Spiritual Reset podcast. Her new children’s book, Hall of Faith, encourages children to understand that God can be trusted. When I’m not working, I enjoy drinking Starbucks lattes, collecting 80’s memorabilia, and spending time with my family and dog. For more information, please visit her website www.michellelazurek.com.
