Greetings,

Thanks to all of you who responded to my inquiry about a financial newsletter. I'll be putting that together sometime during the summer.

I will be on vacation from today, May 26th through June 7th. If you need some help with a matter, please call my assistant, Sandi, and she will put the wheels in motion to solve your problem. I have some CPA friends that have offered to assist her in the event of any emergencies that I cannot get to. I will be checking my e-mails periodically while I'm away.

Have a wonderful Memorial Day weekend.

Here's the tax tip:

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Getting a tax refund? Plan to use it wisely

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Did you receive a tax refund this year? With extra cash from this or any other source, why not use the opportunity to improve your financial situation. Here are a few suggestions.

Pay off credit card debt. This is generally one of the best uses for extra cash. If you typically carry a credit card balance and pay 16% interest, you'll realize a 16% return on your money simply by paying off that debt.

* Put money into a retirement account. Whether the account is a 401(k) plan at work, a regular IRA, a Roth IRA, a SEP, a SIMPLE, or some other plan, your contribution will grow tax-deferred or tax-free. You'll be increasing the chances of a financially secure retirement while, in most cases, lowering your current tax bill.

* Start or add to an education fund. Consider putting the money into a tax-favored account, such as an education savings account or a 529 plan, for your children's education.

* Invest in yourself. If you've put off training for new job responsibilities or a new career because you couldn't afford it, invest the extra cash in yourself. In certain situations, your expenses might qualify for a tax deduction or credit.

If you typically get a big tax refund every year, you should consider filing an updated Form W-4 with your employer. Instead of letting the government use your money all year, you could be investing it for your own financial benefit. If you need assistance, give us a call.

Until next time,

Linda