I’m really really new at this, and I have way too much cash. Like $30,000 sitting in cash. I already own a rental property, so what do I do with it? I see these as my only options. Which do I choose? Do I have other options?
1. Buy a ton of Vanguard index fund shares all at once today.
2. I haven’t contributed to my 401K plan yet this year (I know. What an idiot.). So I could make one lump 401K purchase to max out my 2014 contributions. My employer contributes whether or not I do, so I’m not missing out on any matching funds.
3. Do a combination of the two above regularly over the next handful of months to capture a variety of the highs and lows of the market.
4. Use it as a down payment for a 2nd rental property.
5. Pay off my husband’s $40,000 in student loans. It’s locked in at a 3.5% interest rate.
We have no other debt. We’re already maxing out our Roth IRAs. We’ll have an additional $1500 or so a month available to save/ invest moving forward.
Thanks for your help!