What would you do with a $1,000,000?

money
Creative Commons License photo credit: khrawlings

FiveCentNickel asked his followers on twitter, “What would you do with a major windfall? For the sake of argument, let’s say that someone dropped a million bucks in your lap. Would you pay down debt? Buy something nice? Save or invest it?”

There are tons of responses over at FCN, but most seem to line up with saving and investing the money and “living off it.” Most people I imagine would choose to quit their jobs and do work that is fulfilling to them, for people who are already happy with what they do, they are more likely to stay put in their job.

My response was @centsiblelife: “Pay off all debts, spend $100K updating our house/yard, put away $ for 4 college educations, save the rest and live off the interest.”

Remember this is twitter so I was limited to 140 characters!

I would likely order my priorities like this:

1) pay taxes on the windfall

2) pay off all debt, including mortgage

3) renovate our house

4) put aside a chunk of money for each child (to use for college or a start on their life)

5) save and invest the rest

6) take an amazing, once in a lifetime, long vacation

I don’t know that we would continue working so hard, it’s likely that we would want to take a year or two off and spend it with the kids. I figure with that kind of money on hand we could afford to work part-time on our passions. I would continue blogging. :)

As you know we recently received a mini-windfall. We spent it in a pretty balanced manner in my opinion. 31% to fun, 23% to savings, and 46% to debt repayment.

Okay, back to reality. (see my next post)

So, what would you do with $1,000,000?

Kelly

What to Do with a Windfall?

About Kelly


Kelly Whalen is the founder and editor of the Centsible Life blog. She started the blog 6 years ago as her family faced a mountain of debt. The blog became a resource to readers and a hub for everything you need in life for less. Kelly lives in the Philadelphia area with her superhero husband, 4 awesome kids, and one adorable dog. She still believes you can have it all....just not all at once.


Comments

  1. says

    Thanks for giving your money minding advice. I may visit again when I have more time. I’m definitely into living life well, but frugally : ) Louise

  2. lfaith says

    Thanks for giving your money minding advice. I may visit again when I have more time. I’m definitely into living life well, but frugally : ) Louise

  3. Kelly says

    I love that you both want to give back so much!
    I always say it starts at home with so many little ones! Not that we give them so much money, but that we give them our time.

    I would probably spend a lot of time doing volunteer work if we had a million bucks. I dream of traveling with the kids as they get older to do volunteer work in various places in the world.

  4. Kelly says

    I love that you both want to give back so much!
    I always say it starts at home with so many little ones! Not that we give them so much money, but that we give them our time.

    I would probably spend a lot of time doing volunteer work if we had a million bucks. I dream of traveling with the kids as they get older to do volunteer work in various places in the world.

  5. says

    I’d invest it somewhere, then join the Peace Corp for a few years. When I came back, I’d startup some sort of business and buy a plot of land somewhere.

  6. says

    I’d invest it somewhere, then join the Peace Corp for a few years. When I came back, I’d startup some sort of business and buy a plot of land somewhere.

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