How to spend a million dollars?





(I am pulling this one out of the archives.  It was originally published on March 14th, 2011.  How would you respond to a million dollars showing up on your door step? Sandy @ Yes I Am Cheap is putting together a round up of related posts on her site so check it out! ) 

You won a million dollars... now what?

Fig at Figuring Money Out posed an interesting question... what would you do if you won a million dollars? 

My answer is a little different. 

 

If I won a million (let's assume it is a million AFTER taxes), I don't think my life would change all that much.  I would do the following:

1. Pay off my house and car ($115,000).
2. Set up an account to cover health insurance costs and IRA contribution costs (being sure to stay within IRA contribution limits) for a few years until my investments kick in ($35,000
3. Add to my emergency fund ($100,000)
4. Invest the rest in diversified accounts ($750,000)

If I lived off the earnings from that $750,000 at say, 4% a year with some easy investing, I would have an income of $30,000 which is more than enough for me to live on, especially with no debt.  I would still live relatively frugally, shop at Aldi, frequent thrift stores, and do all the other fun things I do now to save money!  I would not need to work and could spend my time working for charity and blogging!  I have no real desire to change how I live my life, but it would sure be nice to have the financial freedom to have the time to really live and enjoy my life.  (And good news... since the 2011 fica limit is not changing if I use some of my investments to open a business in the future and make a ton of money, things look good from a tax standpoint!)

Am I going to win a million anytime soon?  I doubt it.  But just think how different your life could be if you had no debt and a large chunk of change to live off of.  I don't know about you, but it gives me incentive to save as much as I can now so I can retire early.  

What would you do with a million dollars, and why?

30 comments:

Anonymous said...

I'd save half for myself, give 10% to charity, and use the rest to pay off debt and go on a spending spree. I'd probab;y keep working, too, because I like havng lots of money to spend.

Robert @ The College Investor said...

I would definitely pay off my house, and then probably invest in another rental property!

MoneyIsTheRoot said...

Hmmm lets see...

Id give 10% to charity (100,000)
Id pay off my mortgage (230,000)
Give 10% to my parents (100,000)
Put 10% in my savings (100,000)
Id invest 400,000 into dividend stocks, average yield of 3.5%, but I would use DRIP for now, as I would continue working for awhile.
The remaining $70,000 would be used to purchase engagement ring, wedding, honeymoon, and whatever is left over in a specific travel fund.

www.moneyistheroot.com

The Single Saver said...

Robert - buying a rental property is a great idea. I wish I had thought of it!

LaTisha D Styles said...

10% Tithe
Pay off all credit card, car and student loan debt
Blow at least $2,000 at the mall
10% in liquid investments (stocks and forex)
put the rest about $698,000 in TIPS and continue working :)

First Gen American said...

I don't know if much would change at first. I think I'd want some time for it to sink in.

I guess the first thing I'd do is tabulate out how much more I'd need to retire and accelerate my early retirement plan..or figure out where to be semi-retired. My kids are young, so I don't know if it would be enough to cover things like schooling, etc.

Sandy said...

There's nothing wrong with making your money work for you and kicking back a little. That's what life is all about.

One Cent At A TIme said...

probably I will start a business with that money, without leaving current job. A fast food franchise is an option I am always pondering since last few years.

$1M should sufficient to start that.

Marissa said...

You are all so responsible with your money. Makes me feel guilty about wanting to buy shiny pretty things.

Harri @ TotallyMoney said...

A rental property would certainly be one of my first investments.

That said, @Marissa I'd definitely be shelling out on some shiny pretty things too!!

The Single Saver said...

Marissa, I may be responsible, but I am also boring! I wish I had more guts so I would buy some shiny things. LOL!

retirebyforty said...

A million dollars is not enough to really change your lifestyle. It's great that you can live on 30k though.

Broke Professionals said...

I would give half of it of charity and with the rest I will start a business - either a real business or a rental property.

Sandy - yesiamcheap said...

I don't know about RB40 but a million bucks would change MY lifestyle

The Single Saver said...

My lifestyle wouldn't change... but I'd be a lot more stress-free!

Marie at FamilyMoneyValues said...

Living on 30K might be a squeeze in coming years!

get bank checks said...

Thanks you so much for your kind words......
please provide us some more information on this issue......

game download said...

Thank you very much for the info, I have been very helpful for my work. Congratulations on the quality of your website and a warm greeting from Chile.

Lili Wang said...

20150708wanglili
cheap jordans
jordan pas cher homme
oakley sunglasses
louis vuitton handbags
louis vuitton outlet
michael kors outlet
jordan 11 concord
ralph lauren outlet
michael kors uk
cheap jordans
celine
soccer jerseys
hollister clothing store
jordan 3s
hollister outlet
pandora jewelry
ray ban sunglasses
coach outlet
louis vuitton uk
fitflops
timberlands
tory burch
oakley sunglasses
louis vuitton outlet
hollister kids
pandara jewelry
air jordan pas cher
oakley sunglasses wholesale
michael kors
louis vuitton outlet
adidas shoes
sac longchamp pas cher
black timberland boots
louis vuitton outlet
jordan 8s
coach outlet

Lili Wang said...

20150708wanglili
cheap jordans
jordan pas cher homme
oakley sunglasses
louis vuitton handbags
louis vuitton outlet
michael kors outlet
jordan 11 concord
ralph lauren outlet
michael kors uk
cheap jordans
celine
soccer jerseys
hollister clothing store
jordan 3s
hollister outlet
pandora jewelry
ray ban sunglasses
coach outlet
louis vuitton uk
fitflops
timberlands
tory burch
oakley sunglasses
louis vuitton outlet
hollister kids
pandara jewelry
air jordan pas cher
oakley sunglasses wholesale
michael kors
louis vuitton outlet
adidas shoes
sac longchamp pas cher
black timberland boots
louis vuitton outlet
jordan 8s
coach outlet

Junda Xu said...

20150709 junda
michael kors bags
true religion jeans
prada shoes
michael kors watches
ed hardy uk
tory burch shoes
coach factory outlet
chanel online shop
oakley store
oakley outlet
fitflops shoes
kate spade handbags
longchamp pliage
ralph lauren sale
kate spade
beats headphones
oakley sunglasses sale
kate spade outlet
nike blazer pas cher
chaussure louboutin pas cher
cheap ray bans
replica watches rolex
true religion sale
michael kors outlet
ray ban wayfarer
mcm backpack
coach outlet store online
abercrombie and fitch
burberry outlet
gucci uk
louboutin
michael kors outlet
michael kors handbags
mont blanc pens
cheap oakleys
michael kors outlet online
soccer shoes
ralph lauren homme
nike air force 1
gucci handbags

Jianxiang Huang said...

0713
tory burch handbags
celtics jerseys
nike soccer shoes
cartier bracelet
russell westbrook jersey
seahawks jersey
colts jerseys
bears jerseys
north face jackets
carmelo anthony jersey
nba jerseys wholesale
new york knicks jersey
nike sneakers
michael kors handbags,michael kors outlet,michael kors outlet online,michael kors,kors outlet,michael kors outlet online sale,michael kors handbags clearance,michael kors purses,michaelkors.com,michael kors bags,michael kors shoes,michaelkors,cheap michael kors
kobe 9
tory burch outlet online
soccer shoes
coach outlet store
coach outlet store
patriots jerseys
beats by dre
nike running shoes
cheap ugg boots
kansas city chiefs jerseys
mbt sneakers
bottega veneta outlet
nike air max
lebron 12
cartier love bracelet
nike air huarache,nike huarache,nike huarache sneakers,nike huarache shoes
nike outlet store
lebron james shoes
juicy couture outlet
mizuno running

Wq Wang said...

coach factory online toms shoes outlet louboutin shoes mizuno wave abercrombie and fitch rayban salvatore ferragamo coach outlet store moncler nike air max eyeglasses frames cheap true religion jeans chanel outlet tory burch shoes oakley vault michael kors outlet longchamp handbags north face outlet celine bag cheap jordan ray ban outlet lululemon australia bottega veneta michael kors handbags clearance wedding dress dre headphones swarovski michael kors outlet online sale bags outlet barbour sale calvin klein outlet ralph lauren hair straighteners burberry christian louboutin

John said...

coach outlet
michael kors handbags
nike huarache
michael kors outlet
tods outlet
toms shoes
oakley vault
mont blanc legend
oakley sunglasses
sac longchamp
ray ban sunglasses
celine
www.louisvuitton.com
prada outlet
coach factorty outlet
kate spade outlet
burberry handbags
ralph lauren
red timberland boots
abercrombie and fitch
adidas originals shoes
louis vuitton outlet
louis vuitton handbags
oakley sunglasses,oakley vault,prescription sunglasses,polarized sunglasses,aviator sunglasses,spy sunglasses,oakleys,oakley canada,cheap oakley sunglasses,oakley frogskins,oakley holbrook,cheap sunglasses,wayfarer sunglasses,oakley standard issue,fake oakleys,oakley glasses,oakley.com,oakley prescription glasses,oakley goggles,sunglasses for men,oakley gascan,oakley store,oakleys sunglasses
michael kors outlet
ghd hair straighteners
celine
jordan 6 black infrared 2015
giuseppe zanotti sneakers
coach factory outlet
oakley sunglasses wholesale
201594yuanyuan

Minko Chen said...

ferragamo outlet, http://www.ferragamo.eu.com/
gucci,borse gucci,gucci sito ufficiale,gucci outlet
nike outlet, http://www.nikeoutletstore.us/
ralph lauren outlet, http://www.ralphlaurenoutletuk.org.uk/
new england patriots jerseys, http://www.newenglandpatriotsjerseys.us/
beats by dre, http://www.beatsbydrdre-headphones.us.com/
air force 1 shoes, http://www.airforce1.us.com/
nhl jerseys, http://www.nhljerseys.us.com/
nike running shoes, http://www.nikerunningshoes.cc/
louis vuitton handbags outlet, http://www.louisvuittonhandbags.org.uk/
converse sneakers, http://www.converseshoes.us.com/
michael kors uk outlet, http://www.michaelkorsoutlet.org.uk/
longchamp handbags outlet, http://www.longchamphandbag.us.com/
louis vuitton outlet, http://www.louisvuitton.in.net/
louis vuitton bags cheap, http://www.louisvuittonbag.us.com/
oakley sunglasses, http://www.oakleysunglasseswholesale.us.com/
miami heat jersey, http://www.miamiheatjerseys.net/
swarovski crystal, http://www.swarovski.in.net/
1016minko

John said...

barbour uk
nike store uk
snapbacks wholesale
air max
adidas shoes
michael kors handbags
ralph lauren
http://www.MichaelKorsHandbags-Us.com
adidas shoes uk
http://www.michaelkorswalletsale.org
hollister
oakley sunglasses
prada outlet
ugg boots outlet
longchamp
retro jordans
christian louboutin outlet
louis vuitton pas cher
cheap versace
ugg boots
chaussure louboutin
ray ban sunglasses
mcm outlet
rolex replica watches
juicy couture
nike roshe run women
nike air huarache
adidas originals
moncler jackets
michael kors outlet
20151023yuanyuan

Minko Chen said...

ysl outlet
hollister clothing
nike air max
lebron shoes
cheap nike shoes
hollister shirts
oakley sunglasses
nike outlet store
louis vuitton,borse louis vuitton,louis vuitton sito ufficiale,louis vuitton outlet
true religion jeans outlet
ugg boots outlet,ugg outlet
marc jacobs
supra shoes
ferragamo outlet
prada outlet online
cheap jordan shoes
oakley outlet store
michael kors outlet
michael kors outlet online
ralph lauren,polo ralph lauren,ralph lauren outlet,ralph lauren italia,ralph lauren sito ufficiale
0115minko

chenlina said...

chenlina20160130
air max uk
cheap air max
canada goose jackets
canada goose jackets
michael kors outlet
burberry outlet
tory burch outlet
ralph lauren uk
louboutin pas cher
hollister
jordan retro
polo ralph lauren
louis vuitton outlet
louis vuitton outlet online
timberland outlet
oakley sunglasses
chanel handbags
ray ban sunglasses outlet
ray ban sunglasses
toms shoes
hollister outlet
michael kors handbags
coach outlet online
tory burch outlet
tory burch outlet
hollister shirts
christian louboutin outlet
uggs for women
the north face
cheap jerseys
louis vuitton outlet
nba jerseys
north face outlet
coach outlet
michael kors uk
fitflops
nike trainers uk
canada goose outlet
cheap ugg boots
kate spade handbags
as

Yuanyuan Lin said...

4.20lllllyuannew york jets jerseys
pittsburgh steelers jersey
seattle seahawks jerseys
washington redskins jerseys
arizona cardinals jerseys
baltimore ravens jerseys
denver broncos jerseys
chicago bulls jersey
cleveland cavaliers jersey
golden state warriors jerseys
los angeles lakers jerseys
oklahoma city thunder jerseys
san antonio spurs jerseys
new york knicks jersey
miami heat jersey
boston celtics jersey
los angeles clippers jerseys
cincinnati bengals jerseys
carolina panthers jersey
bears jerseys
packers jerseys
saints jerseys
raiders jerseys
eagles jerseys
49ers jersey
falcons jersey
cowboys jerseys
colts jerseys
chiefs jersey
dolphins jerseys
vikings jerseys
patriots jerseys
giants jersey
jets jersey
steelers jerseys
seahawks jersey
redskins jerseys
cardinals jersey
ravens jerseys
broncos jerseys

Zhenhong Bao said...

calvin klein outlet
montblanc pens
true religion uk outlet
michael kors outlet
jordan pas cher
michael kors outlet online
adidas uk store
ray ban sunglasses
air jordan shoes for sale
oakley sunglasses
mulberry handbags
tory burch outlet
cheap oakley sunglasses
air jordan shoes
beats by dre
tory burch outlet
nike tn pas cher
ray-ban sunglasses
true religion jeans
gucci outlet
ferragamo shoes
tiffany and co
fitflops sale
michael kors handbags clearance
louis vuitton handbags
michael kors uk
hollister clothing
kate spade uk
christian louboutin outlet
links of london
tiffany jewellery
tiffany outlet
coach outlet store
oakley sunglasses
michael kors outlet
20160629zhenhong

Post a Comment

All information provided on this site is for informational purposes only. TheSingleSaver.com will not be liable for any errors or omissions in this information or any damages arising from its display or use. No content may be reproduced without permission from TheSingleSaver.com.

 
Design by Free WordPress Themes | Bloggerized by Lasantha - Premium Blogger Themes | Best Hostgator Coupon Code
Related Posts Plugin for WordPress, Blogger...