9 Smartest Ways to Use Your Tax Refund This Year

Tax season is here. According to USA Today, the average federal tax refund is $3,453. Are you wondering what to do with your tax refund? Rather than splurging on consumable items that bring short-term pleasure, why not put your tax refund to good use and invest in your professional future? This blog outlines smart ways to utilize your tax refund.

Key Takeaways

• Invest in Education and Certifications: Enroll in pre-licensing courses or certifications to boost your professional value and unlock potential new income streams.
• Start a Side Business or Freelance Career: Seed a side gig or freelance job.
• Upgrade Your Skills with Training Programs: Participate in specialized training programs within your industry.
• Build a Strong Professional Network: Attend conferences and networking events or join professional groups to establish valuable industry relationships, mentorship, and referrals.
• Invest in Career Coaching: Partner with a career coach to define clear goals, create actionable plans, and maintain accountability for strategic career growth.
• Purchase Essential Tools and Equipment: Invest in necessary technology such as a laptop, professional software, or a home office setup to boost productivity and professionalism.
• Financially Prepare for a Career Transition: Allocate part of your refund to an emergency fund or debt repayment, providing financial stability during your career transition.
• Relocate for Better Job Opportunities: Consider using your refund to offset moving costs if relocating to another Ohio city or neighborhood promises enhanced career opportunities.
• Take a Career-Boosting Course on Personal Development: Enhance vital professional skills like communication, leadership, and time management through personal development courses.

Smart Ways to Use Your Tax Refund

Ask yourself, “how can I use my tax refund to increase my earning power?” Here are ways to invest in yourself to improve your full-time or part-time income.

1. Invest in education and certifications.

Are there courses or certifications that would help you increase your professional value? Use your tax refund for professional development or to unlock potential new income streams.

Consider real estate if you’re considering a career pivot or side gig. The Ohio real estate market is hot, and you can complete your required pre-licensing courses for around $2,000. If you’re already a practicing real estate agent in Ohio, research the reasons to become a broker and use some of your refund money to earn your broker license.

2. Start a side business or freelance career.

Your tax refund can seed a side gig or freelance job. Creating an additional income source provides financial stability or a path to a new career.

Real estate makes an excellent side hustle in Ohio, as most real estate-related work is done during evenings and weekends. If you’re already licensed as a real estate agent, consider investing in property management, staging, or consulting training to build your portfolio and credibility in the industry,

3. Upgrade your skills with training programs.

Using part of your tax refund for specialized training programs can differentiate you from competitors.

For example, if you’re focused on growing your business, take real estate professional development classes on negotiation tactics, digital marketing, and property management to help establish your expertise and develop multiple income streams.

4.Build a strong professional network.

Consider allocating some funds to attend conferences, networking events, or join professional groups in Ohio.

Networking is invaluable in real estate for learning industry trends, gaining mentorship, and generating business referrals. The relationships formed through these investments can significantly boost your career trajectory.

5. Invest in career coaching.

Working with a career coach can be helpful in any industry, but it can be especially beneficial when working in real estate. A career coach will help you define clear objectives, create actionable plans, and maintain accountability, ensuring your business decisions are strategic and successful.

6. Purchase essential tools and equipment.

Your refund could finance essential technology and tools necessary for business success. Investing in a new laptop, professional software subscriptions, or setting up a productive home office creates an environment that supports efficiency, professionalism, and growth.

7. Prepare for a career transition.

Transitioning careers can bring financial uncertainty initially. Setting aside a portion of your tax refund into an emergency fund or using it to pay down existing debt can provide financial cushioning, allowing you to confidently pursue real estate as a full-time career.

8. Relocate for better job opportunities.

If relocation to another Ohio city or neighborhood promises greater career opportunities, your tax refund could help offset moving costs.

For example, a strategic move can position you in a stronger real estate market, optimizing your professional prospects.

9. Take a career-boosting personal development course.

Personal development courses can enhance vital skills like communication, leadership, and time management, all critical in real estate and many other professions. Using your tax refund for personal growth translates into professional effectiveness, potentially leading to higher earning potential.

Turn Your Refund into a Lasting Investment

Strategically using your tax refund to launch or advance your real estate career is more than just smart spending—it’s an investment in your future. With careful planning, your refund can become the foundation of a rewarding, lucrative career in Ohio’s vibrant real estate market.

Hondros College offers in-person, livestream, or online courses – and you can switch course formats anytime. You can also depend on Hondros College for exam prep courses and career support. Take the first steps to getting your license by enrolling in pre-licensing courses at Hondros College.