Using Your Tax Return on Your Home

The COVID-19 pandemic is not the only major event that working Americans should concern themselves with. Tax season is underway, and while the deadline is April 15th in most circumstances, it has been extended to July this year due to that pandemic. There has even been talk of a payroll tax cut to help business and households during this difficult time. Either way, if you have filed your taxes, you may have received some money, and you can invest it in your home if you so choose. If you have filed your taxes, you may have received some money, and you can invest it in your home if you so choose. If you need helping filing your taxes, you can speak to a credentialed tax expert online whether you're in New York City or anywhere else in the USA. If you are a business owner, you may have also undergone an audit, which can be done in more than one way. Perhaps the IRS audited you by mail, or you visit an IRS office in person, or a field audit is performed (the IRS visits your place of business) -- the three main types of tax audits. Assuming that you are in good financial shape, how can you put that money to good use?  

Fresh Plumbing

Your home has a number of utilities in it that must run smoothly, and that certainly includes water, both to receive fresh water from the public utility and sewage disposal. What might go wrong with your plumbing? Often, your pipes, sinks, and showerheads will develop leaks, and this dripping water will add up fast. If your shower head is leaking just 10 drips per minute, that calculates to 500 gallons per year (that's enough for 60 loads of dishes in a typical dishwasher). In fact, statistics suggest that all leaking American homes combined waste an incredible one trillion gallons of water per year. Leaking water will pad the water bill, and this loose water will stain the drywall, spur mold growth, and pool on the floor or in the basement. Also, old toilets, sinks, tubs, and showerheads are not water efficient, and are padding your water bill even if they aren't leaking.

So, you can spend some of your tax return money on a plumber who can diagnose and fix any issue with your plumbing, from a backed-up sink to a leaking bathtub faucet. A plumber will fix or replace any leaking pipe to prevent leaks or water sprays, and they can also recommend new showerheads, toilets, and tubs that are more water-efficient, and install them if asked to. Such new features are an up-front expense, but they pay for themselves over time with savings, and they look nice the whole time.

Improve Or Build A Home Office

Home offices have existed for years, but in light of the COVID-19 pandemic, they are taking on new significance. Some experts even say that home offices may become the new norm after the pandemic ends, and whether or not they're right, it may be a smart idea to invest your tax refund money this way anyway. Home offices are popular and practical for many reasons. For example, they don't require any commuting, so that saves you time and takes a car (and its air pollution) off the road. A regular office is also rather noisy and dirty, and the noises make it difficult to concentrate on phone calls while dirty air, carpets, and doorknobs contribute to sick day rates. You dodge all of that by working at home, where the environment is clean and quiet, but you will need to fully furnish that office first. If you couldn't afford that earlier, maybe you can now.

Current technology allows working professionals to conduct business anywhere, from their homes to a chartered jet to a hotel room, and you can easily take advantage of that. Designate a room to be your home office, and get the right furniture in place, from a computer desk and swivel chair to filing cabinets and shelf units, and set aside room for a printer or fax machine, too. You will need a PC or a laptop with good video chat services and a reliable internet connection, so you can send and receive files via email and Cloud data storage alike.

With a proper webcam and microphone, you can have a virtual presence in any meeting, and this saves a lot of time and money that would be spent on traveling somewhere in person for a meeting (and cuts down on pollution). You will need either a wireless adapter or an ethernet cable to connect your computer to your home's router and be sure your device is well connected to the printer and fax machine. Make use of binders and folders for printed documents and organize them, and ensure that your device has proper virus protection software. Virus protection programs do cost money, but that's worth it if you can shield your PC from viruses that try to steal, corrupt, or delete files and personal information of yours.

Kitchen Remodeling

Home remodeling is very skill-intensive and requires the hiring of a crew of contractors, and if you can afford this, then you can totally remake one or more rooms in your house to refresh the entire thing. About one in three home remodeling jobs includes the entire house, and the kitchen and master bathroom are popular targets for remodeling in particular. After all, a clean, fresh, and well-stocked kitchen is the perfect place for cooking and serving food (if you have no dining room), and remodelers can upgrade or replace just about anything you ask them to.

For example, you can spend your tax return money on workers who will sand down and refinish your cabinet doors, or replace them entirely. The old countertop can be removed and replaced with a tough, attractive model with no scratches or burns or stains on it, and you can hire plumbers to have a brand new sink installed, too. Flooring experts can remove old tiles and put down new ones, and your old appliances such as the stove or fridge can get replaced with clean, modern models that have more features. This is a good investment, too, since it boosts the property's value when you put it on the real estate market. Kitchen and master bathroom renovations can yield an ROI (return on investment) as high as 70-80%.

It may be tempting to spend your tax return money on a vacation or a new car, but if you redirect your money to your house, you can make it a much more practical and comfortable place to be, and that investment will pay off for years to come.