Today I found out I inherited $1,200,000

do as I say not as I do wrote:

Sloetry in Motion wrote:

Let's see what Warren Buffet says about this strategy:

"My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund..."

That's not how Buffet made his money.

I doubt this guy is the next Warren Buffet. Buffet's advice was for the typical investor. I'd guess the OP falls into that category.

First thing you do is lose the girlfriend and upgrade.

That's the dream of having money.

First order of business is to show your live in gf the door.

She has no business about being excited about somebody else's money

Wow, this thread is now on the main page in the morning! And, now FP has chimed in!

As someone else mentioned, seems like the OP needs to clarify how the $ is coming to him: open v retirement account (he will have to take RMD which may mean higher personal taxes-but that is a nice problem to have).

But, some things won't change:

1. He will still need to decide between hiring someone to manage his $ v self-directing.

2. Fund retirement accounts to the max.

3. "Educate" his GF about his decisions.

4. Stay grounded.

5. Contribute to charity.

Previously married? wrote:

1. He will still need to decide between hiring someone to manage his $ v self-directing.

2. Fund retirement accounts to the max.

3. "Educate" his GF about his decisions.

4. Stay grounded.

5. Contribute to charity.

6. Never touch principal.

You are rich. You can retire now and live comfortably off of this windfall.

You are undoubtedly the most ignorant and stupid person on two feet, and those are your good points, for making such a statement.

T&F Nut wrote:

You are undoubtedly the most ignorant and stupid person on two feet, and those are your good points, for making such a statement.

Couldn't agree with you more.

This is what he said back on Page 1-"lots of boomers have more money than you'd expect. They work so hard to money, destroying the US in the process (As their money is often made on the backs of others), but have no plans for the money."

P Diddy wrote:

I am utterly shocked nobody has suggested the fantasy of half of the Letsrun community: going full time as an athlete.

The cash will allow you to take a good few years at it, go to an anti-aging Doctor to put you on the trendy PEDs of the moment & you will achieve your long time dream of being a local running hero & reep the benefits of this at your prime (gift vouchers for local running stores, cut in the county paper, loads of s-ex with women in their mid-40s, etc).

Your post reaffirms my belief that 95% of runners are complete nerds. Dear old Dad has bequeathed him with a license to run and bang and all the other guys want to argue about is Certified Financial Planner costs and tax implications???

F that!! Run, dope, bang, repeat!!! 50 is right around the corner!!!

Early in the thread I mentioned the Gone Fishin Portfolio. Written by a successful long time Wall Street hedge fund manager. He outlines in precise detail exactly what to do in order to beat the SP500 long term and do so with very little comparative risk and extremely low fees.

Not a typical read where you get vague ideas and boasts about performance. He gives you specific funds, percentages and asks you to simply rebalance annually. His results speak for themselves. The last two years have underperformed but the last 15 have significantly outperformed.

I would highly recommend the book for any amateur investor who doesn't want to spend their life learning how to invest AND doesn't want to give their fortune away to financial advisors.

I joined on three years ago and have never slept better in my life. No concerns regardless of market conditions. I'm sure others could have made me more money over this period, but these same people could have and would eventually lose me a heck of a lot more money as well. I'm care free and not paying somebody with less experience than the author to manage my money.

I believe the website you are looking for is letssprint.com

41 with live-in, no kids wrote:

The weird thing is that its from my dad and I had NO IDEA he had that kind of money.

He always lived like he was barely middle class. .

$1.2m IS barely middle class. you're not even close to being rich so get it out of your head before blow it all.

first, find an accountant. figure out how much you'll need to pay in taxes.

then find a financial planner and re-invest all of it. don't spend a dime. Don't change your lifestyle.

MA native wrote:

41 with live-in, no kids wrote:

The weird thing is that its from my dad and I had NO IDEA he had that kind of money.

He always lived like he was barely middle class. .

$1.2m IS barely middle class. you're not even close to being rich so get it out of your head before blow it all.

first, find an accountant. figure out how much you'll need to pay in taxes.

then find a financial planner and re-invest all of it. don't spend a dime. Don't change your lifestyle.

It's definitely not barely middle class. He's not rich, but for his age his net worth is in the top 5-10%.

9/10 troll attempt

Tons of replies and giving just enough with that girlfriend hint to trigger tons of responses.

You already made a big mistake

Step1 Don't go to lets run for financial advice.

kang6789 wrote:

MA native wrote:

$1.2m IS barely middle class. you're not even close to being rich so get it out of your head before blow it all.

first, find an accountant. figure out how much you'll need to pay in taxes.

then find a financial planner and re-invest all of it. don't spend a dime. Don't change your lifestyle.

It's definitely not barely middle class. He's not rich, but for his age his net worth is in the top 5-10%.

That is one steep distribution curve though.

MA native is still right. Dump it into a ROTH, after taxes and over time and forget about it. Moderate yield in 2016 is low single digits and OP, like most people, have no business seeking anything more with retirement funds.

pop_pop!_v2.2.1 wrote:

kang6789 wrote:

It's definitely not barely middle class. He's not rich, but for his age his net worth is in the top 5-10%.

That is one steep distribution curve though.

MA native is still right. Dump it into a ROTH, after taxes and over time and forget about it. Moderate yield in 2016 is low single digits and OP, like most people, have no business seeking anything more with retirement funds.

ok

tell me how he gets it into the roth.

if it is in a regular IRA then you want him to convert? then he would pay income taxes on over a million dollars of income?

if it is not in an ira already, his limit is $5500 per year.

a roth is not the answer unless I am missing something.

Duh, winning! Brah.

agc5k wrote:

Invest in real-estate. Here you could buy 8 houses with that kind of money. Then you rent them out and have a stable income of over $8000/month (over 96 grand a year) for the rest of your life.

kang6789 wrote:

It's definitely not barely middle class. He's not rich, but for his age his net worth is in the top 5-10%.

According to Mitt Romney, the median American income is over $200,000, so this poor sap is not even close.

Hey guy, I know you were excited about your 7-figure inheritance, but you shoulda worked harder. Like Mitt. Better put all that money away immediately - invest it in our companies that are putting the planet in such great shape for your retirement 25 years from now