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StateFarm Canada is now Desjardins Insurance

State Farm® Canada is now Desjardins Insurance and your local State Farm Agent will now be known as your Desjardins Agent.

Please visit desjardinsagents.com/change-from-state-farm-canada for more details.

Looking for the State Farm USA site? Visit it here: statefarm.com.

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Use your tax refund wisely

Your tax return is filed and you're now anxiously waiting for your tax refund. What's the next step? There are many ways you could spend your refund, but there may be other alternatives to consider, such as helping to create a strong financial future for you and your family.

Want to reach your financial objectives? Contact your Desjardins Mutual Funds Representative.

Consider this . . .

Instead of spending your refund this year, consider contributing to a Tax-Free Savings Account (TFSA), Registered Retirement Savings Plan (RRSP), setting up a Registered Education Savings Plan (RESP) for a child or paying down debt.

First on your list of priorities might be to pay down any high-interest credit card debts.

By paying only the minimum each month, you may be paying just the interest (or less) on the debt and little or nothing toward the principal. Paying down the debt can help free up additional money for other important financial needs.

If credit card debt is not a problem, contribute to your retirement savings.

There are a number of tax-advantaged options to help you save for retirement such as an RRSP or a TFSA. Adding extra contributions to your retirement savings early can really add up over time with the power of compounding.

Your refund could also be used to contribute to an RESP for your child.

Contributions grow tax-deferred, and may be eligible for money through the Canada Education Savings Grant.

What you should know

One thing to remember after you've decided what you want to do with this year's refund: the cheque you received is not a windfall, but the return of an interest-free loan you provided the government.

Regardless of the pleasure you may get from receiving a large cheque each tax year, adjusting the amount withheld by the government to reduce the amount of future refunds may be an appropriate course. You may not get a refund in the spring, but you may have more from each paycheque to contribute to an RRSP, TFSA, RESP or to pay down debt throughout the year.

Take some time to consider your options before making the down payment on that new car. The earlier you start saving for your future, the more you may have during your retirement.

Mutual Funds are not insurance products and are distributed through representatives of Desjardins Financial Security Investments Inc.

Please read the applicable Fund Facts before investing. Commissions, trailing commissions, management fees and expenses may be associated with mutual fund investments.

Mutual Funds are not guaranteed, their values change frequently and past performance may not be repeated. Mutual fund securities are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer.

Neither Desjardins Insurance nor its agents provide tax or legal advice. Please consult your tax, legal or investment advisor regarding your specific circumstances

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