a bit of a fantasy - what would you do if you had a £100000 windfall?

justme111
justme111 Posts: 3,508 Forumite
First Post First Anniversary Combo Breaker I've been Money Tipped!
edited 1 December 2015 at 5:27PM in Savings & investments
After reading the other thread I remembered how I am fantasising every now and again about getting a hundred thousands unexpectedly. What would you do with that money if you had am unplanned windfall ?
Soory missed 0 from my title , corrected
If you haven’t already, join the forum to reply!

[threadbanner]box[/threadbanner]
The word "dilemma" comes from Greek where "di" means two and "lemma" means premise. Refers usually to difficult choice between two undesirable options.
Often people seem to use this word mistakenly where "quandary" would fit better.
«13456789

Comments

  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    Combo Breaker First Post
    £10,000 - Put it in the bank. I think it's too small for investing in anything much bigger. You can get up to 6% interest in some savings accounts.

    £100,000 - Purchase an investment property or two with minimum deposit and maximum mortgage and put the rest into a stocks and shares ISA. £50,000 can go into savings accounts earning at least 3%.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • MJ12
    MJ12 Posts: 86 Forumite
    It depends on how I got it. I am already close to maxing out my CGT allowance this year. If it counts as an income then it's even worse.

    Anyway, I would OP my BTL mortgage. At 3.6% that is my priority right now.
    2nd Aug, 15: £276k. 18th Sep, 15: £269k. 30th Oct, 15: £265k.
  • masonic
    masonic Posts: 23,229 Forumite
    Photogenic Name Dropper First Post First Anniversary
    edited 22 November 2015 at 8:28AM
    It's not been mentioned yet, but I guess you might want to spend some of it ;)

    For the rest, it depends what other savings you have, but saving in high interest current accounts would give you a good risk free return.

    If you've exhausted the available 3/4/5% current accounts and have sufficient cash to cover emergencies then even a sum as small as £1,000 is more than enough to invest in a S&S ISA, for example in a multi-asset fund that you can essentially buy and forget for 15+ years. I started by investing just £150 per month and since then it has become much easier to invest small sums. Of course, you do need to be comfortable with your investments going down in value at times as well as up.
  • jimjames
    jimjames Posts: 17,586 Forumite
    Photogenic Name Dropper First Anniversary First Post
    edited 22 November 2015 at 9:44AM
    Not sure how much you're talking about, the title says £10,000 but post refers to hundreds of thousands and I'd think it would be different for each.

    £10,000 would easily fit in a S&S ISA for example but £100k wouldn't.

    I did have an unexpected windfall of just over £10k a few years back. My mortgage was under control and I'd got other investments so decided to splash out on my dream car and bought a Porsche 911. After a year or so I got bored of it, sold it and put the money into my S&S ISA instead.

    It really does depend on your financial situation though, if you have debts or no emergency fund then that should be priority before looking at long term investment and pension. I had both those sorted so splashed out, at least initially before my MSE instincts kicked in!
    Remember the saying: if it looks too good to be true it almost certainly is.
  • chuckley
    chuckley Posts: 4,405 Forumite
    First Anniversary
    title says 10k, thread says 100k. which one is it?
  • justme111
    justme111 Posts: 3,508 Forumite
    First Post First Anniversary Combo Breaker I've been Money Tipped!
    Corrected title. It is not what should I do with 100 000. It is what would you do. Like a sharing fantasies thread.
    May be if we talk about it it will happen :)
    The word "dilemma" comes from Greek where "di" means two and "lemma" means premise. Refers usually to difficult choice between two undesirable options.
    Often people seem to use this word mistakenly where "quandary" would fit better.
  • george4064
    george4064 Posts: 2,809 Forumite
    First Anniversary Photogenic Name Dropper First Post
    If I suddenly received £100,000 I would firstly fill up my remaining S&S ISA allowance (approx 10k). The rest I would use to buy my first home.
    "If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes” Warren Buffett

    Save £12k in 2021 - #027 £15,268 (76%)
  • El_Torro
    El_Torro Posts: 1,463 Forumite
    First Anniversary Name Dropper First Post
    I'd probably quit my job and go travelling for a few months. That would probably take care of about £30k.

    I'd use the rest of the money to ensure I can retire earlier than planned. I'd probably do this by putting some of it into my mortgage and the rest into my pension.
  • pjread
    pjread Posts: 1,102 Forumite
    First Post First Anniversary Combo Breaker
    I reckon the wife would spend it within 6 months so not worth planning, but ideally maybe skim most away for the pension (just enough to become a BR taxpayer)/ISA/poss VCTs
  • Malthusian
    Malthusian Posts: 10,928 Forumite
    First Anniversary First Post Name Dropper Photogenic
    I would spend half on booze, fast cars and loose women. The rest I would squander.

    [/ObGeorgeBest]
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.6K Spending & Discounts
  • 235.1K Work, Benefits & Business
  • 607.8K Mortgages, Homes & Bills
  • 173K Life & Family
  • 247.8K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards