Author Topic: Windfall of mid 5 digits  (Read 1009 times)

Mesmoiselle

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Windfall of mid 5 digits
« on: October 05, 2018, 04:17:36 PM »
Goal: Do the smartest things with the money.

This windfall is from a medical payout where husband was hit by a car. He has scarring and some positions (like sitting straight on the ground) seem to be off the table  but is otherwise currently running 9-15 miles a week.  So short term is looking great. I assume this will be something that bothers him 10-20 years from now.

Mortgage debt of 29k (3.5% interest) but no other debt.  My 401k will be maxed a month from now irregardless of this money. I front loaded my IRA earlier in the year. Husband is giving significant funds to his HSA and is getting his match from his 401k. I already have 5 digits in my bank account that I was wondering if it was too much to be sitting on, and husband keeps a solid 4 digits in his since the last payout. Between chubby bank accounts and a credit card with a 20k limit, I feel an E fund is covered.

Things I've thought of doing with it:
-pay off the rest of the mortgage (the interest is so low, but it would be kinda freeing to declare Debt Free with no Asterisk)
-Stocks ( but aren't we in a boom that is about to bust or something?)
- Hawaii trip next year we would have been able to fund anyway
-pay pro's to finish up our fixer upper home we've worked two years so far on. In that same vein, I probably need a new roof and the furnace/water heater is 10+ years old
- college (I've been thinking of getting a bachelors in something else but money has been a big deterrent)

something I'm not thinking of? Should there be other questions I ask myself?

terran

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Re: Windfall of mid 5 digits
« Reply #1 on: October 05, 2018, 08:00:54 PM »
What about your husbands IRA and/or maxing his 401(k)?

RWD

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Re: Windfall of mid 5 digits
« Reply #2 on: October 05, 2018, 09:28:37 PM »
Taxable brokerage account invested according to your desired asset allocation as specified in your personal investment policy statement.

See the Investment order post.

Mesmoiselle

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Re: Windfall of mid 5 digits
« Reply #3 on: October 09, 2018, 04:35:46 PM »
What about your husbands IRA and/or maxing his 401(k)?

Finally got him to agree. *Thumbs up* he's not working on early retirement so didn't see much point in putting in past the match.

Between the rest of this year, three max roth IRA contributions and his 401k next year, should just about use it up.

 Thanks :) I just wanted to make sure there wasn't some other question I should be asking myself regarding a large sum of money.