Posted: 10/31/2025 2:07:41 PM EDT
[Last Edit: First-World-Problems][Edited]
| I know it should go into an investment account if you aren’t financially literate, but I’m just curious. What would you do with it? Just go ahead and deposit it, or is there some current happenings that you could make more than an investment account but without too much risk? |
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Pay off my truck(about $20,000), buy the 20 acres of land behind my house(let's say $45,000), put $50,000 in some form of investment and burn the rest on whatever I wanted. Probably buy some form of thermal and a tractor for the land. Current mortgage is at 3.25% so no reason to pat that off when I can make about double that investing the money. |
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Originally Posted By eclark53520: Right at the moment, I would invest it in land. I’m in that process as well. There’s an acre of junk land that won’t perk behind an acre that I’m going to build on. It would cost more than it’s worth to develop it so I’m getting it cheap. Doubling the size of the lot should be enough value increase to more than cover the land. |
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I'd say thanks and buy a new Lexus for me and what ever the minister of war wanted. I already have enough to retire. |
Member Ranstad's Militia
You ever notice that no one says "don't judge me" when they've done something positive? - gearjammer351
Do it. GD needs entertainment. Your misery will amuse us. - Cypselus
You ever notice that no one says "don't judge me" when they've done something positive? - gearjammer351
Do it. GD needs entertainment. Your misery will amuse us. - Cypselus
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Originally Posted By Global_Cooling: I'm 100% debt free so I'd invest it in something like VOO and let it sit for the next 20 yrs. Already have some with an investment company that charges 1%. What’s the difference in going with something like that? Explain like I’m 12 years old. I guess the good I’ve seen so far in paying someone, isn’t really how much they make you, they would have to be competent to stay in business. But am I thinking right that where they can save your ass is right before big market drops. An investor does it all day everyday, and can move things around when they see a downturn coming. |
| Pay off my student loans and car then I would invest half of it in low risk mutual funds and then take the other half over to my friend Asadulah who works in securities... |
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Who is John Galt?
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Originally Posted By First-World-Problems: Already have some with an investment company that charges 1%. What’s the difference in going with something like that? Explain like I’m 12 years old. I guess the good I’ve seen so far in paying someone, isn’t really how much they make you, they would have to be competent to stay in business. But am I thinking right that where they can save your ass is right before big market drops. An investor does it all day everyday, and can move things around when they see a downturn coming. Open a brokerage account and invest it yourself. You don't have to pay anyone. Set it and forget it for 10+ years no need to make periodic adjustments. Time in the market not timing the market. Or invest $100k in a set it and forget it and invest $50k in something you want to manage and play with. |
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| About $50,000 would go to fixing my house, maybe $60,000. $12,000 would go to paying off bills. $25,000 would go towards a new / newish car which desperately need, just a Corolla or a Camry with low miles. The rest would go into my bank account for any upcoming bills or needs that might pop up. |
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Originally Posted By First-World-Problems: I know it should go into an investment account if you aren’t financially literate, but I’m just curious. What would you do with it? Just go ahead and deposit it, or is there some current happenings that you could make more than an investment account but without too much risk? How soon do I need the money? There is very little risk in an investment account - there is only volatility. For me personally, if I stumbled into $150k unexpectedly.... I'd just throw it on the pile in VTI (or VOO if you prefer) For someone else, it depends on where they are in this list: 1. Pay off all toxic debt (credit cards, high interest rates). 2. NEVER carry a balance on a credit card month to month. 3. Build an emergency fund of 6-12 months of *expenses* and keep it liquid, such as in a High Yield Savings Account (HYSA) or Money Market Fund (MMF) 4. Contribute to your 401k up to the company match maximum. 5. Contribute to an HSA (if offered/eligible) up to the maximum allowed. 6. If your 401k plan allows, contribute to a Mega Backdoor Roth. https://thecollegeinvestor.com/17561/understanding-the-mega-backdoor-roth-ira 7. If you do not have access to a Mega Backdoor Roth through your 401k, contribute to a ROTH IRA (unless income ineligible, then use Backdoor Roth IRA method. https://thecollegeinvestor.com/38006/how-to-do-a-backdoor-roth-ira 8. Go back and finish contributing to the 401k plan, up to the maximum limit ($24,500, plus $8000 for age 50+ in the 2026 tax year). 9. If offered a Company Stock plan (ESPP/ESOP) that gives you shares at a discount, AND you can sell immediately upon stock purchase, contribute the maximum amount to this program and sell each time. You should participate in this regardless of any choices or order of operations above. This runs in parallel to everything else. 10. Open a taxable brokerage account and begin investing here, and/or real estate, and/or side business. 11. Consider funding children's college in 529 plans or taxable brokerage account, or other state advantaged options. 12. Limit the amount of vehicle debt you carry, as vehicles can be one of the biggest barriers to building wealth. Between depreciation and interest, this can be a wealth evaporator. Invest all of these in a low fee Total US Equities Market index fund like VTI/VTSAX/FSKAX (if offered) or an S&P500 index fund like VOO/VFIAX/FXAIX, to start. DONT TOUCH it. Just be steady and don't change, be careful who you listen to, and don't make emotion-based moves into cash because what you just "know", likely is not so. Recommended reading: https://www.amazon.com/Simple-Path-Wealth-financial-independence/dp/1533667926 https://www.amazon.com/dp/1119847672?tag=arfcom00-20 https://www.amazon.com/Richest-Man-Babylon-Original-Classics/dp/B0C1J5ML66 https://www.amazon.com/The-Millionaire-Next-Door-audiobook/dp/B0000547HR |
Moderate-Length Barrel Evangelist
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Emergency fund(s) if you don’t have that. Max IRA ($7k) and fill it with VOO (probably, depending on age.) Every year. I like Roth, but even traditional is better than skipping this. Next depends heavily on age, mortgage APR, and current retirement track. Regular taxed brokerage account. 100% VOO and chill is very valid for the next steps. Under 50, maybe consider being more aggressive with a portion, over 60, some would advise more conservative with a portion. Google “boglehead”, for further reading. Or just buy VOO. Edit: Falarak posted while I was typing. Go back up and read that. Pay attention to where 401k fits in priority. |
Moderate-Length Barrel Evangelist
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It would depend if it's taxable income or something like an inheritance that's not taxable. In the first case, I would have to set aside around 1/3 for government services I'm not receiving during the shutdown. If it was a non taxable windfall, I would spend 1/3 - 1/2 on things to enjoy now and invest the rest for the future. I'm on track with retirement savings and my only debt is my mortgage, so I wouldn't feel guilty about using some of it to upgrade my daily driver, do some traveling, and indulge in some luxuries. |
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| Put it with the rest in dividend stocks. Post 5000. |
My own view is that left-wing positions largely come about from resentment, I agree with Nietzsche, a resentment about the surrounding social order. They have privileges, I don't. Or, I have them and I can't live up to them. Roger Scruton
