What to do with 400k?

Linton

JP130 said:

Thanks all, this is really helpful. 
For a little more context, I'm late 30s, married, 2 kids, not planning to move house at any point. Both myself and my wife work full time. 
As for goals, I'd like to use some of the money to generate an extra income to make life more comfortable/retire earlier, but also want to leave a good amount to my kids. 

You could look into ...

JISAs for the kids maxed out each year depending on their age.  These could be cash or lower risk investments, again depending on the kid's age.  This also depends on how much control you want - the kids could access their JISA at 18.

Up pension contributions and/or max S&S ISAs invested mainly in equity for you and your spouse.  Higher pensions would give more valuable tax relief especially if you are a higher rate tax payer.  On the other hand S&S ISAs would be far more flexible as you can access them at any time whereas pensions cannot be accessed before 55, 57 in 2028 and no doubt rising in the future.

If you are not confident about managing £400K of investments then you could pay for advice from an IFA.

Stubod

Whatever you do, I would suggest getting a BTL is probably the last thing you should consider...IMHO...

poolboy

Btl worked for me as I have had a good tenant for 15 years, the 5+% yield saw me through the decade of near zero savings rates, and it was a cash purchase.

Sadly with expected cgt changes I ll have to keep it till I die.  Shame, I d love to sell it to the tenant in situ.

400k I d max out on isa s, sipps, debt reduction,.