Author Topic: Sold Business - Looking for Financial Guidance.  (Read 1069 times)


  • 5 O'Clock Shadow
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Sold Business - Looking for Financial Guidance.
« on: May 16, 2016, 11:19:20 AM »

I recently sold my small business and would like some help on what I should do with the money I have sitting in my account.

Long story short, I have $42.5k in my account doing nothing. I sold the business for $25.5k and it has not been taxed yet and I'm not sure how much will be taken out come tax time. Also note I had $1,000 in Attoeny fees. About $5,000 also needs to be taxed for 2016 income.

My wife and I have no other debt besides our house which we bought in summer 2015. I have a 403b through work which I put in enough to get the match and am on track to max my Roth IRA through Vanguard.

My wife does not have a retirement account set up and her work does not offer any sort of match. I was looking into setting her up a Roth IRA through Vanguard as well but that would only be a $1,000 start up cost.

We have out first baby on the way in September and still need to buy a fair amount of stuff while expecting hefty medical bills (pretty sure my deductible is $4,000).

On a side note but prefer not to get into details about, we also have 45k in another account which we can access if needed but not necessarily able to invest with just yet. But it's there if we come across hardships.

I make about 45k annually and my wife about 25-30k, so we don't make too much at the moment.

What do you guys recommend we do given out current situation? Thanks much. 


  • 5 O'Clock Shadow
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  • Posts: 18
Re: Sold Business - Looking for Financial Guidance.
« Reply #1 on: May 16, 2016, 05:17:24 PM »
Just invest it. If you have a low interest rate mortgage park the money you have available in an index fund and get the snowball rolling. If current mortgage rates are lower than what you have maybe its a good idea to refinance, some of the money might be used for that down payment.

You have a hefty emergency fund, and a nice chunk of money to invest... Its a good problem to have =)

Just subtract all the bills/ payments you expect incurring from the 42.5k and invest about 70-80% of the remainder.