JACKSONVILLE, Fla. – So you got a big tax refund or perhaps a few thousand dollars in a stimulus check? How do you make that money work for you?
Rather than rush out and buy a big-ticket item, accountant Janae Pollard suggests you stretch these dollars by opening a savings account to create an emergency fund, pay down your debt or investing the money.
“Understanding when is a good time and a perfect time to spend money so that it can become a return to your personal household,” Pollard said. “The goal of financial literacy is really financial freedom.”
According to a recent study, 17% of students were required to take at least one semester of personal finance in high school yet only a quarter of millennials demonstrate basic financial literacy.
Statistics show the average American adult lost almost $1,700 due to a lack of financial understanding in 2020. Altogether, that totaled to nearly $415 billion was lost last year.
Pollard says overspending and not having a budget are the biggest mistakes people make when managing their finances.
Pollard regularly posts helpful tips on her Instragam page that can help with financial planning.