CHARLOTTE, N.C. — Have you filed your taxes yet? If so, you might be getting your tax refund soon.
But before you spend that refund, WCNC Charlotte is taking a closer look at what you should do with the money instead so you’re not left asking, "Where's the money?"
If you are receiving a tax refund this year, it might feel like you just got some "free money." But financial experts say it's important to save that money, rather than spend it right away.
"When it comes to a lump sum of money, for a lot of people that only happens one time a year during tax season, and they get this check they've been waiting on all year," Mark Henry, CEO of Alloy Wealth Management, said.
WCNC Charlotte is always asking "where's the money?" If you need help, reach out to WCNC Charlotte by emailing money@wcnc.com.
Henry said some people use their tax return and try to tackle some of their debt. But he said don't rush to that option.
"I would caution people not to do that -- and that sounds crazy, being the finance guy that I am," he said. "We have to get rid of that debt, but if we don't already have an emergency fund, which is three to six months of living expenses set aside... and because we don't have an emergency fund, guess where we have to go to to take care of life -- right back to the high-interest credit cards."
So what is the first thing you should do when you get that tax refund? Henry said do nothing.
"Don't cash it, don't deposit it, don't do anything," he said. "Sit down and look at your emergency fund have a real discussion in the household about where this money needs to go, and what's the best place we could use it."
For those who have waited all year to make some home repairs, Henry said try and prioritize what you do.
"You made it last year without the back deck being fixed, you can make it this year," Henry said. "Unless it's an emergency where we have to get AC on the house this year because it's been broken or something like, that I get it."
WCNC Charlotte's Where's The Money series is all about leveling the playing field in the Carolinas by helping others and breaking down barriers. WCNC Charlotte doesn't want our viewers to be taken advantage of, so we’re here to help. Watch previous stories where we ask the question “Where’s the Money” in the YouTube playlist below and subscribe to get updated when new videos are uploaded.