This year, my wife and I filed our taxes in February, which was quite an accomplishment for me. Normally, I am knocking on the door of April 15th when I finally get my papers together. So, I was pleasantly surprised when I was rewarded, for getting my act together, with a refund.This year we learned that we will be getting a $2700 tax return (we actually got the money a couple of weeks ago).
Normally, we do not get such a large return. In fact, in some years in the past we have had to pay come tax time. We have a daughter, which means a little cash back to offset what we have to pay, but we generally do not see this much. We discovered that the reason for such a return this year is because my employer had my exemptions incorrect, so too much tax was being taken out of my pay check each week. I promptly corrected this mistake because I do not like giving Uncle Sam an interest free loan on my money.
Now that the mistake was corrected, my wife and I had to decide what to do with this unexpected money. We thought about putting it in savings for later, but we have been pretty good about saving money. We thought about adding a sun room to our house, but this money is no where near enough to cover that expense, so we quickly axed the sun room. Because we do not need the money for anything and our savings is where it should be, we decided to use the money for fun. So, we are going on a Disney Cruise.
My wife, always searching for a good deal started doing her research on cruises and found a great Disney cruise to the Bahamas for our family of three. The cost of the cruise did not take the full amount of our refund, so we have extra spending money for our trip. Our daughter has never been on a cruise, and we think she will really enjoy the Disney experience. We are leaving at the beginning of August and are very excited. We had not planned on taking a family vacation this year, nor did we plan on getting a tax refund, so this pleasant surprise has really worked in our favor. I do not advocate having too much taken out of a paycheck in order to get a refund at the end of the year, but since it happened to me, my family and I are going to enjoy the benefits, this year.
Next year we will be back to our normal small return, or paying in taxes, but that is okay with us. As I said earlier, I do not want to give out an interest free loan. I would rather have my money now and try to earn interest on it.