Your annual tax refund can underwrite a summer vacation, a week's worth of groceries or any number of investments, depending on your personal circumstances. But the effectiveness of your decision might have more to do with how you THINK than how much you EARN.
Financial experts say that people in vastly different financial situations often have one thing in common: They base their decisions on how to use their tax refund on the misconception that it's a gift from Uncle Sam.
All those people don't regard refunds as earned income. But they really are part of your earnings and you should plan accordingly.