If you received $20,000 tax free, what would you do with it to improve your life?

Question

If you come from an impoverished or middle-class background, how would you invest your newly received money in order to improve your life and make more money for the future?

Answer 1

I would strongly advocate going to your community college and taking a class on personal finance.

Also, lots of non-discount brokerages, like AG Edwards, etc, offer free personal finance and investing seminars. Attend several in your area...find one who you think would do a good job for you and then use him to invest your money.

I did this when I was starting out. My broker gave me very good advice and continued to do so. Unfortunately, after several years I thought I knew better and when he suggested I invest in a small company that had recently gone public. I decided "definitely not" because I was in the computer field and knew that computers were fast becoming simply commodity items. I moved to a discount brokerage and started doing my own research/investing. Sigh.

Answer 2

If I had $20,000 then i would donate it to charity. The reason why is that most of the things that you buy will break and erode away over time. But if you change someone's life then that will be there always. You'll remember it, they'll remember it and those who witnessed it will remember it. But the Bible does say to preform your glaims in secret.

Answer 3

Invest it in dividend income fund. You may need it in the future. Now you have a rainy day fund. Or if you feel compelled to upgrade your house, then use it for a down payment on a larger house & sell your current one.

Answer 4

invest in some real estate, or buy some Certificates of Deposit.

Everyone should get a Roth IRA though.

Answer 5

reduce debt and save the rest

Answer 6

give it back!