More Americans intend to save—rather than spend—their federal tax refunds this year, according to the National Retail Federation’s “Tax Returns Consumer Survey” conducted by consumer-intelligence firm BIGinsight.
Two-thirds of taxpayers are expecting a refund this year—the exact same as last year. Nearly 44% of them are expected to stash away some of their refund in savings—the most in the survey’s nine-year history (and up 2% from last year).
“After a rocky few years, consumers are now more vigilant about how they spend their money and the importance of preparing for future financial stability,” says NRF president and CEO Matthew Shay. “Increased consumer savings proves extremely beneficial to shoppers and businesses in the long run, allowing future opportunities to invest in a large household item or even take advantage of a well-deserved family vacation.”
Additional figures from the survey show that:
64% of Americans will file their taxes by the end of February—the highest percentage since 2006 (21% will file in March, 14% in April)
39% will use some of the money to pay down debt
29% plan to use it for everyday expenses
12% will make a major purchase, such as a car or a new TV
11% will take a vacation
More than 8,700 consumers were polled in early February for the survey.
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