Make the most of that NHT refund
IF you have been a contributor to the National Housing Trust (NHT) for eight years or more, then you know what time of year it is. During this time each year, contributors flock the entity’s website to apply for a refund of their unused contibutions, and set plans in motion to use the funds for various purposes. But as you prepare to receive that extra cash, it’s wise to remeber that the NHT contributions refund is a great opportunity for you to establish a good financial foundation for your future.
Clinton Hunter, assistant vice-president of retail banking at Sagicor Bank, says “Preparing for your financial future can be difficult when you have to resist making that spur-of-the-moment purchase that will make you happy but my encouragement is for you to focus on the long term. This year, treat your future self by exploring alternative ways to put your refund to use.”
Below, the seasoned banker shares practical ideas to help you build a strong financial future with your refund.
Create an emergency fund
If the past year taught us anything, it is the importance of having a sizeable amount in savings in case of any eventualities. A lack of savings can leave you and members of your family vulnerable should you experience any misfortune. Using your refund to start or supplement an emergency fund gives you more breathing room if the need for it arises.
Prepare for your child’s educational future
You can start planning for your child’s financial future by starting a college/university fund. You would be doing your child a favour by putting away money that can be used to fund their education in the future and prevent them from incurring unnecessary debt when the time comes.
Save towards owning your home
When purchasing your home you will be required to pay a percentage of the sale amount as a down payment on the house. You are also likely to incur additional expenses when you begin the process. Saving toward accomplishing this goal will be beneficial in the long run.
Invest in yourself
Put your refund to work by spending it on improving your overall well-being. Using your refund to finance your personal development goals can help you to build your career and expand your horizons by exploring new interests.