Toddlers and Tax Refunds

5 Ways to Invest in Your Toddler with Your Tax Refund

By Becky Lane

If you are among the lucky taxpayers to receive a refund this year, you might be wondering what to do with that unexpected bounty. Why not invest that extra cash in your most prized possession – your toddler?

Here are 5 ways to give back to your child with the money Uncle Sam gave back to you.

1. Invest in Her Mind

One way to invest your tax refund is to invest in your toddler's mind. Take the opportunity to buy books to stock up on your toddler's reading library. After all, "It's never too soon to start reading to your children," according to the National Education Association (NEA). "If your child learns early to associate reading with pleasure, she is more likely to enjoy reading on her own when she is older." And it's a great way to bond with your child, too.

The NEA suggests books that are about things that interest your toddler, like cars, insects, animals, etc. They also recommend giving your child a chance to help choose her own books.

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• Large Sums of Money: Smart Investing When You Receive a Windfall
• Check out our Article Library.
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