How to deal with a big cash windfall

atush

Post 19 has some merit.

But I would wait intil you are in recept of the 22K per annum @ 55. Doing it now will reduce capitol, and income.

Instead use the 75 K. To pay bills, take a fab holiday such as a cruise, and buy a new car. That should take about 25K, and other 50K in equity expoure to help you fight inflation.

And don't forget that there is only 85K per bank group for protection so you should pick up to 6 banks/BS and NSI for your money. And keep some easy acess as you will want to purchace an NSI index linked certificate as soon as a new tranch comes out.

If you keep doing that (at 15K) and 5K+ into Cash ISAs each year, then each year you can shelter the income of 20K to tax. In 5 years when your pension comes due you will have already sheltered 100K of your money. Keep on with this approach with your cash pot to lower your tax bill. Look at more NSI prodicts your last year as you will have a tax bump when you have the pension income coming on stream.

curi

A lot of people are quite right about 'the structure of work'. I was employed for 31 years until I stopped, but of course for a purpose. Since that purpose went away, it has been difficult to fill a void. Something to do is important, even if you might not have to financially. I did try St Luke's Hospice, but they didn't reply and have also found that a lot of volunteer organisations are making cuts. I could go back to the old job, but hear that a number of people are off with stress! I admit I have developed a so-what attitude to life as it's now both my parents gone to leukameia, so at 50, I'm thinking, what chance have I got? I might as well try to enjoy without the stress of that old job. Maybe the next six months will determine what actually happens, but there has been a lot of good thoughts here.

atush

First of all I would ask your GP for a referral for genetic testing as some leukemias and cancers can be linked to genetic pre disposition. Certainly with both parents having had it, get checked yearly via blood work ups at least.

I would suggest you approach your old work with restarting due to the fact your mother is now gone as I presume that is what you told them as your reason for leaving a year ago. Think about starting back part time instead of full time so as to give yourself income, structure, but not too much stress. See how you get on?

IronWolf

curi wrote: »

A lot of people are quite right about 'the structure of work'. I was employed for 31 years until I stopped, but of course for a purpose. Since that purpose went away, it has been difficult to fill a void. Something to do is important, even if you might not have to financially. I did try St Luke's Hospice, but they didn't reply and have also found that a lot of volunteer organisations are making cuts. I could go back to the old job, but hear that a number of people are off with stress! I admit I have developed a so-what attitude to life as it's now both my parents gone to leukameia, so at 50, I'm thinking, what chance have I got? I might as well try to enjoy without the stress of that old job. Maybe the next six months will determine what actually happens, but there has been a lot of good thoughts here.

If you dont have it already id get private health insurance if theres a history in your family of leukameia.

Why not use some of the money to set up a small business? It would give you something to fill the time and you could choose something not stressful, like a coffee shop.

opinions4u

50 things you really want to do in life.

Write them down.

Fund it.

Do it.

Why the hell not?

£75k will fund the gap between now and drawing your pension. I'll make an assumption that your pension will fund your normal lifestyle after that (is it indexed?). I'd certainly see an IFA about the tax efficiency of investing your money and drawing on it. Lots of ways to shelter it from tax. Also advice of IHT too. Where do you want the money to go when it's your turn to leave this mortal coil?

Making small chartiable donations to local organisations (e.g. a number of £2k awards can make you feel good, especially if you know what the money will support). I've got a passion for lower league football where most clubs are struggling to bring in new fans. For me paying for 1,000 free kids tickets for half a season would feel good too! You may have a different interest that you can choose to influence positively.

curi

atush wrote: »

First of all I would ask your GP for a referral for genetic testing as some leukemias and cancers can be linked to genetic pre disposition. Certainly with both parents having had it, get checked yearly via blood work ups at least.

I suppose this is another thing. Until that happened, there had never been "history". Plus their neighbour contracted it about a year after my dad going back 15 years. I remember the consultant (when my mum was diagnosed) saying it was not common, but not unknown; radiation from the ground, all susceptible etc. But approaching docs on it for myself?? I appreciate what you say, but I think my experience is to want to stay away and if it happens, let it. I might change my views in time, but right now, I sort of have this "so what?" attitude to life, which frankly, I wouldn't want to try to extend by chemo, if it came to that.

purple45

curi wrote: »

I sort of have this "so what?" attitude to life,

Thats really sad. There is more to life than work and I think you are missing some happiness in your life. If I had money I would be spoiled for choice of things to do and see. Even without money I am spoiled for choice! There must be things you would like to do or places you would like to visit? I think it is possible to get in such a rut with life that you never stop to consider all the possibilities. Please don't just go back to working without having a really good think about all the choices you have. You could do anything!

purple45

opinions4u wrote: »

50 things you really want to do in life.

Write them down.

Fund it.

Do it.

Why the hell not?

.

YES!!!!! I agree!!!!!!!

somethingcorporate

Just enjoy it, I am sure that is what your mother would have wanted.

curi

Cheers again!
It's been cathartic to get a load of this down in writing and get opinions, which I've valued.
What I have learned is that 'work' is generally good. Most want to win the lottery and get out, although I've always understood those who keep their jobs because they get something out of it.
Unfortunately, in my case, I was frustrated by that particular job, which I could return to, but from what I hear, it's now worse than it was when I was there. To explain, when I was off on a "career break" looking after my mum, they outsourced the job, and threatend the final salary pension I could get at perhaps 55. So I jumped. Possibly not thinking straight at the time. Mates told me to 'milk the situation' which was something I could never do.

Also what I've learned, (and some replies allude to this), is that money isn't everything. There are other things that are more important.
BTW, Diedre (as in 'Dear Diedre' from the Sun newspaper), was very helpful, even following up later after I'd got in touch while in a rut some months back.

Maybe I'm missing a dirty-great big lesson here.