2007-05-28 09:35:31 · 12 answers · asked by Elsa 1 in Business & Finance ➔ Personal Finance
First, I would put it into a money market fund (they have an average rate of return of 4.5%).
Second, I would pay off my debt (which isn't much).
Third, I would invest maybe $800k into various mutual funds. I currently have mutual funds, but they are all inside an IRA. Together, they currently have an average rate of return of 14%. So I would get the same mutual funds outside of an IRA.
And finally, I would go on a spending spree on what ever left over. I would buy this Alienware PC that cost almost $10,000. I would buy a new car. Fix up my home (maybe buy some new appliances). Buy some new clothes and shoes. If there is still some money left over, I'll go to a strip club. lol
2007-05-28 09:46:36 · answer #1 · answered by Anonymous · 6⤊ 0⤋
First I'd have to pay taxes on it. Don't want to end up in jail for tax evasion. They are very serious about that here in the US.
I would then take the remaig and put it into cd's at different banks. Cd's don't make the most interest but they are the most secure.
I would collect interest and add that to the principle until i reached back to that million dollar amount,
In the mean time I would use all my savings to pay off the house so that I would have no bills.
At that point I would retire and live off the intrest.
2007-05-28 16:45:59 · answer #2 · answered by alanpks4 4 · 0⤊ 0⤋
I will assume that by 'given' you refer to actually receiving a gift, not winning a contest. It that is the case, alanpks4 is mistaken about taxes. The US does not tax the recipient of a gift. The giver may be subject to taxes, but that would not apply to me in this case. The first thing I would do is give $100,000 to my church, or perhaps split it among more than one church. Next, I am debt free by the end of the week. Whatever is left goes into 6 month CDs to let me recover from "sudden money syndrome" before I make any more choices. After that the larges portion will be invested in good quality mutual funds to provide an income for life. I never plan to retire completely, but my current job is history. Eventually, I would love to give generously to various charities.
2007-05-28 17:27:20 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
First I would eliminate all debt.
Second I would give away a good amount to help the African AIDS orphans.
Third, I would use the rest to purchase some assets like investment property or a good small business. These will continue to build wealth.
This would help me make sure I'm not like the many lotto winners that are bankrupt after a few years.
Check out this site to see some good ways to responsibly manage money:
http://www.FinancialFreedomTrail.com
It teaches ways to control your money rather it control you.
2007-05-28 16:54:05 · answer #4 · answered by Pilot Paul 2 · 0⤊ 0⤋
Pay off my house, buy a decent car, help my family, donate some of it, put some aside for my kids and invest some of it wisely.
2007-05-28 16:39:55 · answer #5 · answered by Line 2 · 0⤊ 0⤋
I would definitely put money up for my two kids to attend college and I would pay off my debt. Then I would find a business to open.
2007-05-28 17:39:06 · answer #6 · answered by breashes02 2 · 0⤊ 0⤋
My daughter just told me she is getting married. Some of it would go to that party! I would donate to charity and pay off all my debts.
That is probably that.
2007-05-28 16:40:43 · answer #7 · answered by glenn 7 · 0⤊ 0⤋
Invest in Berkshire Hathaway stock, all of it.
2007-05-28 17:40:47 · answer #8 · answered by knowitallwhenasked 3 · 0⤊ 0⤋
set it in the bank and live modestly off the intrest. i wouldn't have to work for the rest of my life and i could devote all my time to my kids!
2007-05-28 16:43:50 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Invest it and live off the interest.
2007-05-28 16:43:04 · answer #10 · answered by Anonymous · 0⤊ 0⤋