Get ready for your windfall

MOST Americans are looking forward to having a little more cash in their pockets, thanks to the new economic policy and tax cuts promised by President Trump’s administration.

Good economic policy, such as lowering corporate taxes, will be a windfall for workers, and lowering personal tax rates will likely lift paychecks and take-home pay to levels not seen in years.

While Trump’s tax plan calls for every bracket to get a tax cut, it is the middle class that will reap the most benefits.

Taxpayers making between $48,652 and $88,148 annually will reap anywhere between $1,174 and $7,052, according to the Tax Foundation, a nonpartisan tax research group.

That raises an interesting question: What should the everyday American family do with their newfound cash?

There are a few things many families should consider as they sit around their kitchen table. There’s three buckets in which to put your extra money to make it work for you and your family.

Consider paying down high interest rate debt. If you have four credit cards, find the one with the highest interest rate and use one-third of your “Trump bump” to pay it off — or make an extra payment every month until it’s paid off.

Put the second chunk in your retirement plan, 401(k) or IRA.

Have some fun with the remaining third, if your financial situation allows. Take the family out to an extra dinner each month, or maybe see a Broadway show that’s actually affordable — sorry, “Hamilton.”

Increased income from economic growth plus lower tax rates equals substantially higher take-home pay across the board, and that ignites the virtual circle of real economic growth — something this country has been sorely lacking for the last eight or more years.