April. Time for bunny rabbits, Easter eggs and pastel fashions, right?
Ever since we joined the self-employed ranks back in 1998, Uncle Sam only gets the bare minimum necessary from us throughout the year.
The reason why we would rather pay in April than get money back, is because as Dave Ramsey says in his free Guide to Budgeting:
If you get a big check from Uncle Sam at tax time, that’s actually a bad thing. Why? Because it’s just money that you’ve overpaid, and now Washington is giving it back to you. It’s not a gift. It never belonged to the government in the first place.
Overpaying on taxes . . . It’s letting the government use your money interest free for one year.
Download Dave’s Free Budget Guide
Before we became Dave Ramsey followers, it never occurred to us that getting an income tax refund was loaning the government our hard-earned money. That’s just one of many life-changing bits of financial advice we’ve received from him, along with learning how to stick to a monthly budget.
Getting a grip on budgeting is an ongoing process that can be frustrating and even feel hopeless at times when you’ve got crazy sporadic income like we do. But as long as we dedicate a couple of hours a month to Dave’s budgeting tools, I’m certain that we can stay debt-free for a lifetime.
If you’ve got a gnawing sense that your financial life is in need of a tune up, visit Dave’s website and get his financial help books. I think you’ll find his debt-free approach can change your life for the better.