What would you do with $1.5 million? (spinoff)

[mefordis]

I liked the other thread, interesting replies. So.....let's say you came into $1.5 million. Just fell into your lap somehow.
What would you do with it?

Don't forget to account for taxes.

 

[JimMIA]

I would set aside whatever would be needed for taxes and invest the rest before year-end.

 

[Mysterian]

Spend a very small fraction of it now, find out some ways to invest. Hopefully make a decent amount in interest too?

If it takes money to make money then I would not squander the amount and spoil an opportunity like that.

 

[Uncle Coaster]

If I could report it as having dropped in the lap of both my brother and I equally then I would start by doing that. Then I would pack up and move out of town and get a part time job doing something I enjoy and quietly live the rest of my life.

 

[mefordis]

If I could report it as having dropped in the lap of both my brother and I equally then I would start by doing that. Then I would pack up and move out of town and get a part time job doing something I enjoy and quietly live the rest of my life.

You mean you'd need $1.5 mil for your brother, too, in order to do that?

 

[kdonnel]

That would leave about 900,000 to 1,000,000 after taxes. Together with what I already have saved, I would retire.

 

[Uncle Coaster]

You mean you'd need $1.5 mil for your brother, too, in order to do that?

That or be able to split it with him.

 

[dvcgirl67]

I would set aside whatever would be needed for taxes and invest the rest before year-end.

Same. I'd just invest that 800K or so into an index fund like VTSAX and call it a day.

 

[LuvOrlando]

I give this thought because it happens every now and again. I have a cousin who inherited a great deal and is dealing with it like a dingbat so I'd like to avoid that and protect myself from bad decisions and impulsive nonsense, not to mention all the cons out and about dressed up as friends.

Likely a modest house (the major investment) and an irrevocable trust for taxes for this house for about 10 years. Education trusts for future grandkids, enough to get them started, and maybe a trust with money set aside for emergency money for my kids like in the event of divorce or serious illness so no-one gets wrecked by life. After that life would probably be chill and no-one would know because stuff provokes people: having stuff, wanting stuff, jealousy of stuff, people are deeply kooky about stuff & can't seem to be happy for others.

 

[tvguy]

Invest it and blow the earnings.

 

[soccerdad72]

Gamble it. Spend a month out in Vegas and play in the World Series of Poker

 

[DLgal]

I'd use the after tax portion for a down payment on a house in our city. That would leave us with a mortgage about equal to what we are currently paying in rent.

 

[leeniewdw]

Absolutely retire. Pay to have my Mom's living situation upgraded (she's in a fine place but it's small and now that she has aides, she has very little privacy). Buy a small RV. Maybe splurge and buy a suite at our local arena for all the events, lol.

 

[Karin1984]

Disney around the world trip!
(And pay off my mortgage, invest wisely, donate to charity etc.)

 

[DisneyOma]

Pay off our small mortgage. Pay off my daughter's student loans. Pay off her friend's student loans. Her friend is like another daughter to me!

With the rest, I'd give some to my mother, my cousin (who is like a sister to me) and set up a scholarship at our local high school.

Now I'd have about 500K left, if I started at 900K (after taxes). That would be used as part of my retirement, as it would supplement my pension and my husband's retirement investments.

ETA: I forgot about my older daughter! I'd help pay some of her mortgage (couldn't afford all of it and still have some to invest/use for retirement!)

 

[mefordis]

Gamble it. Spend a month out in Vegas and play in the World Series of Poker

High roller suite at the Cosmopolitan?

 

[BrianL]

$1.5M isn't just an exhorbitant amount, so I agree with those who would invest it smartly. It's a sizeable chunk that can make itself bigger. It's also enough to be pretty comfortable if you don't go crazy. I would definitely put some of it toward certain things, and if it's growing appropriately then it won't be a problem to use it as needed and for fun sutff sometimes too.

 

[soccerdad72]

High roller suite at the Cosmopolitan?

im thinking Aria, but the Cosmopolitan would work too.

 

[mefordis]

I'd set aside the rest of our college money, make some major home improvements on our 1960's ranch house (like adding a second story) and invest the rest.

 

[neverlandsky]

900K after taxes
$19,500 to 401K
$15,000 each to the kids
$15,000 each to the kids when they get married.
$30,000 a new vehicle for me
$30,000 to travel
$500,000 for a paid off home
$140,000 liquid savings
$140,000 investments.