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.
A Finder survey of 1,015 respondents revealed 47% – equivalent to more than 10 million people – expect a tax refund this year.
Of those expecting a refund, more than half (52%) said they will put the extra cash straight into savings.
The research found 1 in 5 (19%) will use the windfall to pay for household bills, while 7% will put it towards a holiday.
Just 6% said they'd put the funds towards paying off their mortgage, while 5% will go on a shopping spree.
Sarah Megginson, personal finance expert at Finder, said this tax season, it's all about covering the essentials before any discretionary spending.
"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.
"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."
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.
A further 2% plan to invest in shares with the money from their tax refund.
Megginson said over the past few years, families have burned through their savings trying to keep up with rising interest rates and everyday costs.
"Millions of Australians have had to dip into emergency funds just to pay for basics like petrol and electricity.
"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."
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 |  |
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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