What to do with $250,000?

[ministeroftruth13]

@notb Sorry about losing your family member

You can seriously reduce your outgoings long term with the inheritance.

Paying down your morgage

Personally the student loan is 0% so i would not pay that off over a morgage as that's a net loss.

I think you should be thinking about your long term plan with the balance of your home. If you where going to uitlise your equity to purchase a second home you can fast track that now.

Same I'd you where going to invest that money in investment funds / stocks / crypto , then you can fast track that process.

$250k is enough money that depending on your carer and experience you could look at purchasing a business.

Final thoughts from me , you could spend all 250k on BTC and there is a 50% chance that it goes up 10x over the next 5 years.

 

[notb]

@ministeroftruth13 Thank you for your comment. I'll definitely look at all options that are possible, I hadn't thought too much about BTC.

 

[kareeebearrrr]

@notb Sorry for your loss. Debt B gone is always my first choice when "free" money comes along. I'd get rid of the student debt and maybe chuck something at the house debt anyway.

 

[notb]

@kareeebearrrr Thanks for your comment. I wasn't leaning against the student loan since it's interest free but it would free up spare cash each pay day.

 

[soulwinner92]

@notb If you are planning to stay in nz - it would be much smarter to throw it all against house debt. Do not understand why you'd clear your student loan debt.

Sorry for your loss.

 

[butterfinger15]

@notb Sorry for your loss mate.

I'd put 100k into Crypto (BTC and ETH majority, and maybe a few other bigger caps)

100k into stocks with the majority in index funds and say maybe 30k in 3-5 individual companies.

50k in the bank is a nice emergency/safety net.

Don't worry about the student loan it is interest free. Re mortgage just pay it off slowly, as the gains you make from crypto/stocks should outpace the mortgage repayments.

 

[notb]

@butterfinger15 Thanks for your comment and advice. Will study more about crypto, I'm not overly familiar with the investment process.

 

[freegirl555]

@notb If you do plan on looking into crpyto, be aware that you should do the best to fully educate yourself on the potential upsides and downsides.

Bull market has been pumping, and while that may continue, the BTC market has been pretty volatile and a large downswing is a definite possibility in the near future.

Just saying you wouldn’t want to chuck too much in without knowing what you’re in for and find yourself looking at a large paper loss which could lead to some rash trading decisions. Just my 2c!

 

[resjudicata]

@notb Don’t worry about the Student Loan unless you have to pay interest meaning pay the 10% required. 150,000 towards the mortgage and 100,000 in low-medium risk investments.

 

[notb]

@resjudicata Thanks for your comment.

 

[resjudicata]

@notb Sorry for your loss..

I would put a majority of this towards your home. This locks it somewhere secure, you have a lot more options when you're mortgage free. If you regret this in the future you always have this equity.

1) Emergency fund to - $10-20k based on what makes you feel better, should be able to pay for your life 3-6months or get you out of any reasonable situation instantly without causing you grief.

2) Top up this years kiwisaver if need be (make sure $1043 has been added by June 30 to maximise the government contribution).

3) Leave the student loan be - unless you plan to travel for over the interest free period.

4) Reduce your mortgage to approx. $200-220k - and pay it off in

 

[notb]

@resjudicata Thanks for your well-thought out and structured comment. This is great practical advice. Congrats on getting your house paid off so young!

 

[toluyomi]

@notb Damn what a nice sum

 

[notb]

@toluyomi While it's nice it's very bittersweet. I'd trade every cent in the world to have that person back.

 

[toluyomi]

@notb That person must have cared for you a lot also