Using Your Tax Refund to Bump up Your Security System

In 2021, the average tax refund amounted to more than $2,800. Now, that is a lot of money. There are many ways to enjoy your tax refund. However, to some people, it is the most money they receive all year, so it’s critically important that the money is used in important matters. 

Financial advisors remind us not to splurge or make impulse purchases. Start a spending plan when you know you are getting some money back. A good plan includes those things you use regularly and not something put on a shelf after purchase. 

You could use it to pay off small debts or cover sudden changes in any of your bills. While many people choose to do either of those mentioned above, others want to save it for the rainy days. If you have zero savings, then this would be better for you. 

Another group of people also uses their tax refund to improve their homes; some renovate specific features like getting a granite countertop. But another way to amplify your home is getting a security system. It is no longer a luxury item; it is a necessity. If you invest the money in your security system, you can enjoy the benefits even years later. 

A good security system, or an improved one, is a great home investment. Using your tax refund for this is a smart way of spending it. To know why it is a wise investment, read on. 

Increased Safety

All of us want to ensure our family’s and home’s safety. Without a doubt, this is the primary reason why you need to have a home security system. It should not be your mere second thought; this should be a priority. There is nothing better than going to work knowing your family is safe or going out on a family vacation without having to worry about leaving your home empty. 

There are many options regarding what kind of security system you can get from your tax refund money. You can choose to get basic items such as a video doorbell camera to keep an eye on those porch pirates that enjoy stealing your packages. External surveillance cameras also keep potential home intruders away when they notice said cameras. 

If you already have a security system, then improve it. The more you add different security devices, the stronger your protection barrier. The best option is to back up your choice of a security package with 24/7 monitoring. With this, you get to have eyes on your property even when you are not around. 

Avoiding Interior Hazards

While most homeowners worry about outside intruders and dangers, you should neither overlook nor underestimate internal or interior hazards. These are possible dangers that happen inside the walls of your home to guard against, especially when vulnerable kids or elders are left at home. 

Most security systems have smart home options that immediately alert your smartphone or whatever app device you use when a home hazard is detected. What are the different home hazards? Well, these include smoke, fire, carbon monoxide, or flooding. 

Given that houses are already equipped with smoke and carbon monoxide detectors, upgrading these systems to work well with your home security is critical. Having them work with a monitoring system enables you to resolve the emergency quickly. Upon receiving the alert in real-time, you will have the chance to do what is necessary and can get back to your home swiftly. 

Convenience of a Smart Home

Smart home technology, previously dubbed a futuristic dream, is now at your disposal. Smart home security is much more than ordinary security as it is much easier to use and ultimately more convenient than traditional home security. With this, you can control everything in the palm of your hand.  

According to, a whole set of smart home systems can consist of a huge range of devices, namely smart thermostats, connected video cameras, smart locks, video doorbells, garage door openers, connected lighting, and more. Having a smartphone app linked to your home security means you can easily arm and disarm the system from your driveway, office, or bedside table. It can even detect if your security panel is smashed or the phone line is cut, and it will alert you through the app.  

Investing in smart technology could reduce homeowner insurance costs. The automation system can significantly lower a home’s risk for damage. In return, insurance providers, in a way, reward homeowners for installing a smart home system through reduced premiums or deductibles. 

Genuine Investment

Yes, we know that the latest, widest TV is tempting, but a professionally-installed smart home is a much more lasting investment for your home. Realtors report that it can increase property value when selling it to others. With the advancement of technology, it will not take long for the security tech to be a must-have item rather than a luxury. 

To enjoy the longevity of your investment, you should purchase a security system that is reliable and durable rather than an afterthought. Continuously keep your security tech updated and improved, including the new and latest features. 

We should always give it our all when we invest in our homes. Besides the fact that our houses are where we rest and spend most of our days, they are also something that we can sell in the future. Taking care of them and continuously improving them will make it easier if we ever decide to put them on the market. 

Extra Savings

Although installing smart security technology might make you spend a lot of money, you can build up your savings as time passes. As mentioned, home insurance companies offer special premium discounts for professionally monitored systems because a reliable and trusty security system that can deter and detect intruders means less risk to them. 

Certain devices will help you save up, such as a smart thermostat. This device can help you save money by conserving energy when you do not need it. Some devices immediately turn off when you leave your smart home. It is not an ongoing expense that you need to deal with.  

Besides that, if you are a small business owner, you can also save up as your home security might be tax-deductible. But if you are eligible for the deduction, it means you have lessened your tax expenses by using your tax refund wisely! The tax deduction is further explained in the next section. 

Tax Deduction

Did you know you can deduct your security system from your taxes? If you are a small business owner and your home is your principal place of business, yes, you can! Granted, this does not apply to all homeowners. But if you qualify for the deduction based on the IRS guidelines, you invested your tax refund wisely and saved yourself from future tax expenses -- an excellent reason you should invest in your security system.  

If you use your home for your business, you can deduct your home security system from your taxes. Your home office qualifies as your principal place of business if you use it exclusively and regularly for administrative or management activities of your trade or business and if you have no other fixed location where you can do these tasks. This admin work includes billing customers, keeping records, ordering supplies, setting up appointments, forwarding orders, or writing reports. 

Following is an example from the IRS website to give you more insight. John is a self-employed plumber, and his usual operations place is at the homes of his clients, where he installs and repairs plumbing. He has a small office at his home where he does his usual administrative work and management activities, including phoning customers, ordering supplies, and keeping his books. He does not have any other office or fixed place where he conducts these activities. 

Additionally, there are two security cameras in his home office and the rest of his house. Since his office is his principal place of business per definition, he is qualified for a tax deduction. However, there is a limitation. The only security system eligible for deduction is inside his home office and not the whole system that includes his house. 

If you qualify for this deduction, there is still a limit on what can be deducted. Say you have a home system installed throughout your entire house, it does not mean that the overall system is eligible for a deduction. You can only deduct the equipment, monitoring, and maintenance within the four walls of your office as a percentage of your whole house.  


When tax season is coming and you are about to receive your tax return, it is of utmost importance that you spend it wisely. If you are not planning to save it for rainy days, you should invest in something useful. One of the best options to splurge your money is on a home security system. 

There are several reasons you should put your returned money into home security. It increases the safety of your home and family. If you already have one, you should also make an effort to upgrade your devices. Remember that the more you add, the more secure your property and loved ones will be. 

Most smart home security systems already have the features that alert the homeowners of any possible crisis. With this, you can easily make a course of action upon receiving real-time notifications or alerts. Besides the external danger, you can also avoid interior hazards. 

The convenience of having a smart home should not be underestimated as well. Imagine having the ability to arm and disarm your security system from anywhere in the world. Everything is under your control, even when you are away. 

Smart home security systems are also genuine investments for your home. Having them increases the value of your property. Not only have they kept you physically safe, but they will also save you money in the future. For the security system to last long, you should also ensure that you buy the top-tier, most trusted system. 

By spending more on your security technology, you get to save a lot of money. How? Well, insurance companies often give homeowners premium discounts. From the insurance company’s perspective, your property has less risk as it is more secured and protected than a house that does not have a security system. 

If you are a business owner working from your home office, you might also be eligible for tax deductions. Although only a part of the security system is qualified for the deduction, it is still a big help. As long as you meet the approval as based on the IRS guidelines, then you did not only enjoy your tax refund, but you also enjoyed receiving a tax deduction. 

As mentioned, these are only some of why it is smart to use your tax refund money. There will always be temptations from other people making you want to spend your cash on unimportant things that are not even considered investments. Installing home security is always a good choice, regardless of whether it comes from tax refund money or elsewhere. 

Please take advantage of that money and put it to the best possible use!