Refund remedy: Aussies reveal where their tax returns are headed
Australians are directing their tax refunds toward savings and bill payments, according to new research by Finder.
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A Finder survey of 1,015 respondents revealed 47% – equivalent to more than 10 million people – expect a tax refund this year.
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Of those expecting a refund, more than half (52%) said they will put the extra cash straight into savings.
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The research found 1 in 5 (19%) will use the windfall to pay for household bills, while 7% will put it towards a holiday.
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Just 6% said they'd put the funds towards paying off their mortgage, while 5% will go on a shopping spree.
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Sarah Megginson, personal finance expert at Finder, said this tax season, it's all about covering the essentials before any discretionary spending.
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"It's been a tough stretch for households, and many are counting on their tax refund to ease the pressure on their budget just a little.
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"For a lot of people, a refund acts as a kind of forced savings – especially when they're only just making ends meet each month."
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Finder's research shows paying off debt is also a priority with 4% planning to pay off credit card debt, while 1% will pay off Buy Now Pay Later (BNPL) debt or a personal loan.
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A further 2% plan to invest in shares with the money from their tax refund.
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Megginson said over the past few years, families have burned through their savings trying to keep up with rising interest rates and everyday costs.
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"Millions of Australians have had to dip into emergency funds just to pay for basics like petrol and electricity.
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"A few thousand dollars back at tax time can be a real lifeline for families working to rebuild their financial footing.
"The peace of mind that comes with having an emergency buffer can't be overstated – so using a tax windfall to rebuild that safety net is always a smart move."
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How will you primarily use your tax return/refund?
| Put it in savings | 52% |
| Use it to pay household bills | 19.00% |
| Use it on a holiday | 7% |
| Put it towards paying off my mortgage | 6% |
| Go shopping | 5% |
| Pay off my credit card | 4% |
| Other | 2% |
| Invest in shares | 2% |
| Pay off my buy now pay later debt | 1% |
| Pay off my personal loan | 1% |
| Source: Finder survey of 1,015 respondents, 201 of whom are expecting a tax refund, May 2025 |  |
Sources
Methodology
- Finder's Consumer Sentiment Tracker is a monthly recurring nationally representative survey of more than 60,000 respondents.
- Figures in this release are based on 1,015 respondents from May 2025.
- The Consumer Sentiment Tracker is owned by Finder and operated by Qualtrics.
- The survey has been running monthly since May 2019.
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