$75,000 windfall

[jamesnmlaw]

Where would you stash the money? What would you do to invest the money? Classic car? Fix up the house? Buy land? Create a memory? Long-term stocks or bonds? Hookers and cocaine? Create a memory?

[Gogar]

Are you debt free? How old are you? Are you married?

Hookers and blow.

[GH85Carrera]

As it ain't likely to happen, I never even think about it. I honestly don't know what I would do with it.

[Paul T]

Really need more details on your personal financial situation. If you have debt, depending on the rate, I'd consider paying that down first. If not, next question is will you potentially need the $$ anytime in the relatively near future (3-5 yrs)? Lastly, depends on your age. If it were me, I'd stick it in an SPX index fund (or ETF) and forget about it for a decade.

[jamesnmlaw]

Sorry, too vague. I guess I was wondering how to park a $75,000 windfall so that, in say 5 or 10 yrs, the $75,000 would have the power it had in December, 2022. If you'd had $75,000 in 2012: https://www.in2013dollars.com/us/inflation/2012?amount=75000 .

I do not have a $75,000 windfall. Just a hypothetical question.

[masraum]

It depends upon your situation.

Pay off debt or put in investments seem like the two most obvious solutions. Lump sums are infrequent, so when you get one sticking it into investments (low cost equity index funds) is a good solution. If you've got debt, then paying off the debt (unless it's a super low interest rate home loan) is good. And even paying off a super low interest rate home loan isn't a bad idea. If you pay off debt which should lead to having more money each month, don't then decide to spend that money. Instead, keep your expenses the same and save the extra money.

That's my 2¢.

[3rd_gear_Ted]

Buy another ICE Porsche and enjoy it or bore yourself with paper statements every month.

[Paul T]

Originally Posted by jamesnmlaw

Sorry, too vague. I guess I was wondering how to park a $75,000 windfall so that, in say 5 or 10 yrs, the $75,000 would have the power it had in December, 2022. If you'd had $75,000 in 2012: https://www.in2013dollars.com/us/inflation/2012?amount=75000 .

I do not have a $75,000 windfall. Just a hypothetical question.

I'm not sure I understand the hypothetical? You want to invest in something so that in 10 years your buying power (in inflation adjusted dollars) stays the same? In other words, no return, in real $$?

[aschen]

IF maintaining purchasing power is a goal maybe ibonds with some of it?

[9dreizig]

I actually had this exact scenario ,, bought a CD 3.98% for 3 months matures in Feb

[flatbutt]

For me it would be land maybe in West Va. Enough to put up a small cabin and grow food.

[BK911]

2 or 3 down payments for rental houses.
Then let the tenants pay the mortgage.

[fintstone]

Assuming you have no outstanding credit beyond a very low mortgage interest, I would buy Ibonds. The rate combined with the tax advantage is very good. 10K each for you and your wife in Dec and 15K each in Jan/next year. That is $50K. Put $20K in a 1-year CDs (2 10Ks) or money market account at the best rate you can find. Cash out the CDs in a year and put the money into Ibonds unless the market has recovered, or you find a better opportunity. Use the remaining $5K as a cushion (savings account).

[stevej37]

Stick it in my credit union super savings account where it will earn a whopping .9% apr.

[hbueno]

Buy VTI and VWINX

[varmint]

Originally Posted by masraum

It depends upon your situation.

Pay off debt or put in investments seem like the two most obvious solutions. Lump sums are infrequent, so when you get one sticking it into investments (low cost equity index funds) is a good solution. If you've got debt, then paying off the debt (unless it's a super low interest rate home loan) is good. And even paying off a super low interest rate home loan isn't a bad idea. If you pay off debt which should lead to having more money each month, don't then decide to spend that money. Instead, keep your expenses the same and save the extra money.

That's my 2¢.

Being debt free has been a better investment than any investment I’ve ever had.

Other than that, how old are you. Maybe time to pursue a dream. Learn to fly. Travel, take a year off and write the novel.

[McLovin]

If you have debt, pay it off.
If you don’t, I’d put it in a CIT Bank 3.60% savings account and wait and see what happens to the economy in the next 6 months.

[Baz]

Real estate here on the barrier island is going no where but up.

Baby boomers retiring and guess where many want to end up?

Yup.

$75K wouldn't get you much - not even a lot anymore.

So the next option (for me) would be a vintage Porsche.

Preferably one in good nick. No projects!

Get one as original as possible. Anything from '89 back.

I'm sure there are other options but those are my thoughts, James.

[fintstone]

I suspect the $75K would be the proceeds from a vintage Porsche.

I was just laddering CDs today at 3.85% APY. Not as good as IBonds, but easy to cash out if something better comes along (and no real limit). One can receive the interest monthly or let it remain with the investment. Like Ibonds, you can do it all online.

[Bill Douglas]

Booze, drugs, prostitutes and the rest I'd just fritter away.