What would you do with $50k?

[klarose]

This is just a hypothetical question, but it's fun to think about and hear everyone's responses.

I would:

1. Tithe - $5,000
2. Max 2014 and 2015 Roth IRAs - $22,000
3. Buy a used truck for husband - $10,000
4. Pay off our LOC - $5,000
5. Increase our EF - $2,000
6. Make a payment to our mortgage - $5,000
7. Buy some furniture - $1,000

What would you do if someone gifted you $50k tomorrow?

[MonkeyMama]

I'd probably just throw it at our mortgage (our only debt). I'd maybe hold back $10k for our next vehicle purchase.

(Already maxing out retirement, and don't have anything on our "wish list" at the moment).

[HappySaver]

Mortgage.

[LittleMissSplendid]

I think this is what I would do:

$50,000
-5,000 tithing/charity donation
-10,000 emergency fund
-5,000 retirement fund
-20,000 debt repayment via avalanche
-10,000 traveling somewhere out of the country

It's funny thinking about how I would have answered this question completely differently 10 years ago. Back then I would have just put a little on debts and blown the rest on clothes and traveling.

[disneysteve]

Hmm. 50K is a good chunk of money. Not life-changing but nothing to sneeze at. Conveniently, our mortgage balance happens to be right about $50,000 right now so that would certainly be a decent option and would free up the $764/month that currently goes toward that. This would definitely be the cleanest, simplest option.

We do owe about 10K on my wife's van so I could put 10K toward that and 40K toward the mortgage but if the mortgage was gone, I could just apply the mortgage payment toward the van loan and knock it out soon enough.

We also have a daughter who is a freshman in college. I could set aside money for that, but once again, if we didn't have a mortgage payment, we'd have more cashflow available for school expenses.

So I'll stick with paying off the mortgage since 50K would wipe it out entirely. Shall I tell you where to send the check?

[JoeP]

With $50k I would likely distribute as...
$8k: Pay up the EF
$2k: Carpet the stairs and upstairs
$1k: New tires for wife's car
$1k: Allocate for some drainage work I want to do in the back yard
$20k: Put into our semi-liquid bond funds used for our next car
$10k: Roths

The rest I'd just park into the bond funds, possibly for college use down the road. We'd probably splurge a little at a B&B over a weekend.

[Tabs]

My taxable investment account.

[bjl584]

Pay off my student loans. Invest the rest.

[feh]

My taxable investment account.

+1 Every penny.

We don't have any debt we could throw it at.

[LizfromtheBronx]

Between all debt (student loan, auto, old debt that I am clearing), it comes to about $43k....so that's a no brainer. It would free up close to $1500 a month in cashflow, which can then be turned around to use for things like bumping up e-fund, maxing retirement accounts, and investments.

[Ashcroft]

open a sale clothes store and big grocery store

[JohnR90]

Invest in innovative start up. may be in crowdfunding project

[alarson566]

Pay off student loans or start a business

[amarowsky]

My mother passed away last February so I literally faced this same scenario. My brother and I each received about 100k , 50 in investments (Roth and taxable mutual fund) and 50-k in the form of a life insurance check. I wound up investing 35k of mine and used the other 15k as a buffer for my school and the cost of refinancing her home. I'm done with the refi and didn't have to tap into the 15k from the Insurance for my school costs. So odds are I'll also invest that remaining 15k into my taxable brokerage account.

I have an old car (13 years) that runs fine, no debt, and essentially everything I need. Inky debt is my mortgage on my house and on hers. But they're very manage able, I figure the time value of money in an investment is more valuable invested in a mutual fund or blue chip than as principle paid off a 70k 15 year mortgage at 3.5% fixed interest

[Bright]

We have no debt so I would give dh, and each adult kid $1500 to spend. I'd put what was left in investments.