When you file your tax return, you should be aware that receiving a large refund (think $2,000 or more) can mean you have some work to do. You should review your withholding options on your W-4, which you fill out with your employer.

Basically, each paycheck the government withdraws the amount of taxes they estimate that you owe, based on what you fill out on your W-4. Getting a tax refund means the government over-estimated, and you paid more than you should.

While getting a large lump-sum refund at tax time may seem nice, it may help to think of what that money could have done if you saved it in an interest bearing account for a year. In theory, by giving the extra cash to the IRS, you’re giving the government an interest-free loan.

If you get a large refund, check with your HR department at work and file a new Form W-4, opting for a lower withholding. You can then set up an auto-transfer for the money you would have spent in taxes to be directly deposited into a savings account. Then you’ll never know the difference, except your money will be earning interest.