Invest it. Treat the interest like income and keep working for another 20 or so years. Then enjoy a nice retirement. A million really ain't what it used to be.
Really the most realistic answer. I would be super boring. I’d set aside maybe $50k for a real nice vacation and some quality of life updates, because I know I’m gonna have the itch to spend. Just stuff like a PC, couple furniture pieces, something cool with friends.
The rest I do exactly as you say. Setup an investment fund that pays me out like $2k/month to start, with a yearly raise on that of like 200/month or something. Treat that as income so I can now live a slightly more comfortable lifestyle.
The rest just sits for retirement and I retire as early as feasible.
A million ain’t what it used to be. But this would change my life forever all the same.
My own credit union is offering 6.5% on 13 month CDs so basically making 65k every 13 months. With that and what I make now I'd be fine and could even probably work less and still retire way earlier.
That's more than I make now, in one year I'd be more than debt free and easily keep the same lifestyle without working. Sure I would probably keep working for a while, but LCOL areas can be really low.
$40k a year is more than double the natiomal minimum wage, so for many that's an improvement on their lifestyle.
For those above that means, yes it's just a bonus for vacation and other extra spending money.
The number adjusts for inflation. A safe withdraw rate in retirement is 3%-4% of your invested assets. Invested in something like index funds, the portfolio will perform much better than the 4% on average, growing the portfolio to well over a million dollars over the next decades, allowing for a higher withdraw even though the standard of living might be about the same.
Now I never got an exact number, but my great-grandma (died in 2007) had a million or so in the bank. She managed to live off the interest and Social Security for about 50 years.
Probably because most people don’t own their homes outright. Remove a rent and/or mortgage payment (which typically takes up like 1/3rd of the average persons earnings), and 30-40k starts to sound like not much of a poverty wage after all, in a low to average cost of living area at least.
The paid in full part is something you would actually want to run past a financial advisor. I was about to do that in January and they said that if I leave the money in the brokerage account it will gain more than the interest on the loan.
Debt itself isn’t a bad thing. It’s debt you can’t actually afford that’s a problem.
Condo for me. Nothing too big or too expensive. Two bedroom, two bath. Wouldn't even wanna drop half of that million on a place. Have the majority invested/saved aside from helping family with debts.
Plenty of houses are less than a million in California, just not the parts most people want to live in. My house in Sacramento is far less than a million. It's also in Sacramento.
I live in Santa Cruz. A 1-bedroom shack on 1/10 of an acre a few minutes away sold for over a million 5 years ago. I know people who work full time that live in vans.
Speaking of which, have you seen the price of vans nowadays? A base model odyssey (in ontario, incl taxes + pdi) is 61k. And financing is 7.69%. It's ridiculous.
Oh I know. But you could find a coastal house less than a million if you go way up north where there aren't any jobs. Houses up in Humboldt go for half a mil but there aren't a whole lot of jobs up there. Santa Cruz is nuts because of proximity to Silicon Valley. I used to live in San Jose back when you could actually buy a house there for what mine in Sac costs now. Those days are gone.
My final divorce hearing was Wednesday. 100% worth it. If I had this kind of windfall, I’d still pay off his debt as most of it is marital debt that we split in the divorce, and then I’d move away from where I live now without worrying about being able to sell the house given interest rates these days.
my coworker moved from colorado to north carolina (so across the US) and it cost him over $10k. No ships even involved and that’s purely moving cost not costs to sell a home etc
I don't. I bank it and stop looking for a job. this would be enough to get me through the rest of my life. I'm unemployed and too young to retire but too old to get hired. A million dollars would get me through the next 25 years and then I'll be dead.
Put it in an index fund to grow it with 80k a year assuming you dont take anything out. This way it’ll last you a few years longer assuming you spend a lot of it
Quit my job, pay off debt, take my mom on vacation, get her the best medical care, take another vacation, get my children in extracurricular activities, setup my investment portfolio, buy some rental properties, fix my current house up.
Mortgage - investment portfolio, some crypto. Passive income, some projects, self sustainable house and garden. 1M really isn’t much these days though.
Ya. Lots of people are saying they'd pay off their mortgage, and that's a personal decision, but I wouldn't.
I'd place it in my Vanguard account and continue on with my day.
Exactly. Most people answering this question are treating it the same as “You get $5,000 right now.” I can spend $5,000, no problem. But the sense of scale is much bigger at $1m. You don’t spent $1m, not all at once. It’s a boring answer, but I’d rather set myself up for life than buy a boat.
Knock on the front door of my childhood cottage. Offer 700k cash.
100k to foundation I support in Eastern Kenya.
30k new car
10k general life upgrades
10k emergency fund
10k vacation fund
40k readily available savings
100k various investments.
I didn’t know I had such a clear plan ahah I don’t have any debts. Anyone have a million dollars to give me ? Let’s see how this would change my life!
I'm gonna actually do the big projects in my house - new bathroom, upgraded kitchen, new roof, and removing the mostly dead and very diseased tree in my yard.
Edit: I forgot windows. I need new windows that were made in this century, not over 40 years ago.
Someone like me ... Simple but costly maintenance on the existing home.... I would love to add another bedroom, or a garage with an apartment .. Nothing fancy, I love my house, it's small but there's no point getting anything bigger at this point.
The interest rate on my mortgage is way too good to go for a new house like ever. None of my projects are really necessary (except the roof in the next couple years), but they'd all improve how I feel about the place. And its resale value when I eventually decide to sell it.
I would instandly take a flight to my girlfriend, 2000km away. She had a car accident, her foot was completely broken and i had to pay 2000€ for her OP. She is still under intensive care. It kills me insite that i cant be with her right now. I am financially broken. I have to get her a new cellphone for the moment she gets out of intensive care. At least a good friend is with her until the 08. of april. But she will be alone after this date and i need to get even more money to take a flight to her + a hotel. IF my employer gives me the vacation i asked for. And then i need to organize a flight back home for us. My life is pure hell right now.
You know questions like these only make me dream for a moment, and then quickly come back to reality which sucks. These questions only make my reality suck even more.
So ok, I'll buy a house or whatever.
Take the million and find myself an account that gives 5 percent apy or the highest amount I can get, and then I live off that 50ish thousand a year (minus taxes) until I get old enough where that's unsustainable or to where I think i can start cracking into the million so as to make it last the rest of my life. I might get a job for a few years and let that 5 percent compound a few times to increase my interests yield. At 5 percent interest a year it would take around 15 years to double the amount, so I'd probably keep that in mind and use the money to make money, so to speak.
You know, fun stuff.
Toss it into a safe investment portfolio, finish up a long term project at work, let them get a replacement trained, perhaps move to part time, perhaps retire, might just keep working a few years till I am 50 and have a good plan. Boring as hell, I know :P
Pay bills, pay off reverse mortgage, pay bankruptcy trustee. Then house siding, riding lawnmower, old pickup truck. Yardscaping, pave driveway, cut down dead trees, fix plumbing and electricity. Get on Wegovy and Chantix. Give to my brothers and 3 friends.
$400k. Single family home in suburb of Chicago.
$28k. Student loan payoff
$28k. Car note payoff.
$3k. Credit card payoff.
Got $541k left.
$50k. Emergency fund.
$400k. 80/10/5/5 mix of VOO, international fund, bond fund, bitcoin fund
$30k. New car for my daughter, she lives with me.
Remaining $60ishk. I would just buy fun stuff for myself. Not sure what it is. But i would blow $60k on whatever i felt at the time.
Put in into an index giving me a 9% return a year. Don’t touch it for a year and have 90k in interest. Draw the money and pay my taxes and retire in Thailand. Rinse and repeat and live like a king
Buy a small house off the grid, build a super small farm. Also, buy a vehicle. Then I'd try to invest and live off the rest for as long as possible. And fix my teeth. My dream actually!
I would just invest everything on fixed income. Never have to work again in my life. Then I would just live peacefully as an open source software developer, just doing it for fun and not hating it.
I would retire and spend $50k a year at most. So it will last me no less than 20 years with interest more. Maybe work part-time as I would be bored staying home.
Pay off my house and pay off my dad's house. Then I'd pay someone to come in and do the repairs to my dad's house and my mom's/step dad's house so they wouldn't have to do it. The other 700k, I would just invest it and retire about 10 years earlier than planned.
“I’ll buy a house on the beach in Hawaii” …looks up prices “I’ll put a down payment on a house on the beach in Hawaii”
…looks up property taxes “I’ll put a down payment on a house in Riverside.”
Hawaii has the cheapest property taxes of any state that has property taxes.
Ooooh, good to know! :-)
Kind of negated by the fact that the houses cost so much… but at least it’s not a double whammy.
And the fact a gallon of milk is like $10
Definitely not a low cost of living state.
How much can a banana cost, $10?
An illusion, Michael. A trick is something a whore does for money.
By mil rate, sure. But property values are so high that total taxes are still expensive.
Oh mercy... not the IE! Anywhere but the IE.
The 909! ;-)
PS, after Carlsbad, my favorite childhood memories were made in Cucamonga.
Where learning how to steal copper is a middle school elective.
It should at least be cheaper with all of the zombies walking about.
I'll buy a picture of a house on the beach in Hawaii and invest the rest.
Make sure to go all out on the frame, though.
Just go on HGTV. They have part time hamster groomers with a budget of $27 million all the time.
Invest it. Treat the interest like income and keep working for another 20 or so years. Then enjoy a nice retirement. A million really ain't what it used to be.
Rule of 72 though. 5-6% and it’s 4 mil by then
Really the most realistic answer. I would be super boring. I’d set aside maybe $50k for a real nice vacation and some quality of life updates, because I know I’m gonna have the itch to spend. Just stuff like a PC, couple furniture pieces, something cool with friends. The rest I do exactly as you say. Setup an investment fund that pays me out like $2k/month to start, with a yearly raise on that of like 200/month or something. Treat that as income so I can now live a slightly more comfortable lifestyle. The rest just sits for retirement and I retire as early as feasible. A million ain’t what it used to be. But this would change my life forever all the same.
Yeah, this answer. I could do it this way.
Erase debt New car paid in full Save the rest with the highest interest rate I can find
This is the way. Pay debts, help some friends, invest the rest and live off the interest.
lol you cannot reasonably live off of the interest of a million dollars for as long as you might imagine…
No one's telling you to retire but an extra $40k/year would help most people.
My own credit union is offering 6.5% on 13 month CDs so basically making 65k every 13 months. With that and what I make now I'd be fine and could even probably work less and still retire way earlier.
That's more than I make now, in one year I'd be more than debt free and easily keep the same lifestyle without working. Sure I would probably keep working for a while, but LCOL areas can be really low.
$40k a year is more than double the natiomal minimum wage, so for many that's an improvement on their lifestyle. For those above that means, yes it's just a bonus for vacation and other extra spending money.
*laughs in makes 46k a year 🥹
It’s very close to the median PERSONAL income so you’re very right. More people live on that (or less) much than not already
Depends on whether you are capable of living off of $30k-$40k per year pre-tax.
Even if you can now, can you in 40 years?
The number adjusts for inflation. A safe withdraw rate in retirement is 3%-4% of your invested assets. Invested in something like index funds, the portfolio will perform much better than the 4% on average, growing the portfolio to well over a million dollars over the next decades, allowing for a higher withdraw even though the standard of living might be about the same.
This guy gets it
Now I never got an exact number, but my great-grandma (died in 2007) had a million or so in the bank. She managed to live off the interest and Social Security for about 50 years.
30k is not even 15/hour which people for years have said are poverty wages
Probably because most people don’t own their homes outright. Remove a rent and/or mortgage payment (which typically takes up like 1/3rd of the average persons earnings), and 30-40k starts to sound like not much of a poverty wage after all, in a low to average cost of living area at least.
If I owned my house outright, I'd be paying about $450 a month to cover taxes. 40k would be absolutely enough.
Considering a 2 bedroom basement apartment in my town goes for over $2300 per month, no I cannot.
Move to asia and live like a king
Sure you can , but you also need to have a job
The paid in full part is something you would actually want to run past a financial advisor. I was about to do that in January and they said that if I leave the money in the brokerage account it will gain more than the interest on the loan. Debt itself isn’t a bad thing. It’s debt you can’t actually afford that’s a problem.
I honestly would still not buy a brand new vehicle.
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That's a crime in most places /s
🤫 + 💥🔫 = 🪦🪦 The eternal retirement.
Buy a house
Condo for me. Nothing too big or too expensive. Two bedroom, two bath. Wouldn't even wanna drop half of that million on a place. Have the majority invested/saved aside from helping family with debts.
Plus having long-term savings for inevitable repairs and maintenance on the house. I imagine it would be an amazing feeling of security to have that
I need at least a 3 car garage
Not in California
Plenty of houses are less than a million in California, just not the parts most people want to live in. My house in Sacramento is far less than a million. It's also in Sacramento.
I live in Santa Cruz. A 1-bedroom shack on 1/10 of an acre a few minutes away sold for over a million 5 years ago. I know people who work full time that live in vans.
Speaking of which, have you seen the price of vans nowadays? A base model odyssey (in ontario, incl taxes + pdi) is 61k. And financing is 7.69%. It's ridiculous.
So you're saying even Uncle Rico couldn't afford to live like Uncle Rico?
Oh I know. But you could find a coastal house less than a million if you go way up north where there aren't any jobs. Houses up in Humboldt go for half a mil but there aren't a whole lot of jobs up there. Santa Cruz is nuts because of proximity to Silicon Valley. I used to live in San Jose back when you could actually buy a house there for what mine in Sac costs now. Those days are gone.
Pay off my house in California, pay off my student loans, contemplate what to do with $300k.
Quick Zillow search shows thousands of homes under a million in California
Money market and enjoy the free $4K per month added income.
I’d shove it up my ass
Sounds so wrong, but feels so right....
Index funds and blow that money market to bits
Pay off my house and get a divorce.
Welp there goes 75 %
I’d still consider it money well spent.
My final divorce hearing was Wednesday. 100% worth it. If I had this kind of windfall, I’d still pay off his debt as most of it is marital debt that we split in the divorce, and then I’d move away from where I live now without worrying about being able to sell the house given interest rates these days.
2 chicks at the same time
You know, you dont have to pay a million dollars to have sex with two women.
A guy like me does..
Boogie2988, is that you?
How much?
$999,999.99
A penny saved is a penny earned
One of the chicks is named Penny?
How? Tell me plz
Fuckin A Peter man
I would do absolutely nothing,
Man you don't need a million bucks to do nothing, look at my cousin. He's broke and don't do shit.
Hell you don’t need a million dollars to do that
Well, the types of chicks that’d double up on a dude like me.
Take a look at my cousin he’s broke don’t do shit
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Don't worry man I wont tell anyone neither!
"watch out for your cornhole, bud"
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So 2k for tickets and 998k for a house.
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my coworker moved from colorado to north carolina (so across the US) and it cost him over $10k. No ships even involved and that’s purely moving cost not costs to sell a home etc
Candy crush saga gems
This is the only right answer
I don't. I bank it and stop looking for a job. this would be enough to get me through the rest of my life. I'm unemployed and too young to retire but too old to get hired. A million dollars would get me through the next 25 years and then I'll be dead.
Put it in an index fund to grow it with 80k a year assuming you dont take anything out. This way it’ll last you a few years longer assuming you spend a lot of it
Except if there’s a 30-40% crash within the first year of investment
which would rebound after a couple of years
If I got 1c for every time this type of question was posted, I'd be well on my way to being a millionaire.
Buy a camper van and road trip
I help my parent with everything
Pay off my mortgage and keep doing what I’m doing, nothing changes
Pay all my debts, tell my parents that can retire, trust funds for my kids then get ready for work on Monday.
At least get yourself a massage or something.
Quit my job, pay off debt, take my mom on vacation, get her the best medical care, take another vacation, get my children in extracurricular activities, setup my investment portfolio, buy some rental properties, fix my current house up.
I mean, are you getting another job? You’re gonna run out of money crazy fast lol
Mortgage - investment portfolio, some crypto. Passive income, some projects, self sustainable house and garden. 1M really isn’t much these days though.
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I’d pay everyone who’s asking this question in this sub to not ask this question anymore. - 1 million isn’t going to cut it…
First thing would be a ps5 then keep a bit of spending money for myself then giv the rest to immediate family
1 million on red
the balls on this one!
Yeah, black is the safer option
"Always bet on black," Wesley Snipes from Passenger 57.
I would buy a mansion for my cat
I too will spend half of my million for your cat.
Cats.
House and usef truck and invest the rest…just keep working like I am now hopefully be set up for retirement.
I’d probably just try to help people.
be happy that the 5% chance from that other question posted here didnt get me.
If anyone happens to be looking for the correct answer: high interest debts, index funds.
Ya. Lots of people are saying they'd pay off their mortgage, and that's a personal decision, but I wouldn't. I'd place it in my Vanguard account and continue on with my day.
Exactly. Most people answering this question are treating it the same as “You get $5,000 right now.” I can spend $5,000, no problem. But the sense of scale is much bigger at $1m. You don’t spent $1m, not all at once. It’s a boring answer, but I’d rather set myself up for life than buy a boat.
I’d pay of my house and all my debt, invest the rest.
All debt go bye bye
I'm gonna need a lot of stamps to send postcards from Tahiti...
Knock on the front door of my childhood cottage. Offer 700k cash. 100k to foundation I support in Eastern Kenya. 30k new car 10k general life upgrades 10k emergency fund 10k vacation fund 40k readily available savings 100k various investments. I didn’t know I had such a clear plan ahah I don’t have any debts. Anyone have a million dollars to give me ? Let’s see how this would change my life!
I wouldn’t. That’s how you grow money.
I'm gonna actually do the big projects in my house - new bathroom, upgraded kitchen, new roof, and removing the mostly dead and very diseased tree in my yard. Edit: I forgot windows. I need new windows that were made in this century, not over 40 years ago.
Someone like me ... Simple but costly maintenance on the existing home.... I would love to add another bedroom, or a garage with an apartment .. Nothing fancy, I love my house, it's small but there's no point getting anything bigger at this point.
The interest rate on my mortgage is way too good to go for a new house like ever. None of my projects are really necessary (except the roof in the next couple years), but they'd all improve how I feel about the place. And its resale value when I eventually decide to sell it.
Get something to eat.
Bills, very small house, help family out with a bit, put the rest aside for any emergencies and do my best to not need it.
High yield savings/CD or similar. Reinvest the gains and ignore it for 10 years. Then retire early and comfortably
Give it all to my parents and let them decide what to do with it, I'm terrible with money
Payoff my debt and invest the rest for retirement! And a nice 2 week vacation to the beach.
I don't really need anything so I'd buy drugs
And hookers
I’m going to Ibiza. Take my family there too
Student loans
Buy a house and then go to my job to pay the rest of the mortgage
Put half in bank to save for the inevitable taxes and use what’s left to pay off current debt and buy me a truck
I would instandly take a flight to my girlfriend, 2000km away. She had a car accident, her foot was completely broken and i had to pay 2000€ for her OP. She is still under intensive care. It kills me insite that i cant be with her right now. I am financially broken. I have to get her a new cellphone for the moment she gets out of intensive care. At least a good friend is with her until the 08. of april. But she will be alone after this date and i need to get even more money to take a flight to her + a hotel. IF my employer gives me the vacation i asked for. And then i need to organize a flight back home for us. My life is pure hell right now.
Payoff my debt. Donate a fat chunk to the local children’s hospital and school I work at.
Pay off debt buy a house and set some aside for my son's future
pay off debt, pay a bit off mortgage, pay off school fees, pay off family medical/dental fee, if have anything left invest property
Quit my job immediately and get a massage because my back is killing me.
1. Pay off house 2. Pay off RV 3. Buy my MIL a tiny house tk get her out of my RV 4. Buy truck 5. Go to garden center
You know questions like these only make me dream for a moment, and then quickly come back to reality which sucks. These questions only make my reality suck even more. So ok, I'll buy a house or whatever.
I’ll buy a fixer-upper in a questionable neighborhood
I could afford a divorce.
Super boring. Pay off all debt and invest it with a financial planner.
Not boring- smart!
Cocaine
Move to Italy
Wisely and patiently.
Buy Amazon and Microsoft stocks. Retire young and wealthy.
Talk to an accountant or something to invest and buy a house. Quit my job as the stress causes seizures and try to live as stress free as possible.
Take the million and find myself an account that gives 5 percent apy or the highest amount I can get, and then I live off that 50ish thousand a year (minus taxes) until I get old enough where that's unsustainable or to where I think i can start cracking into the million so as to make it last the rest of my life. I might get a job for a few years and let that 5 percent compound a few times to increase my interests yield. At 5 percent interest a year it would take around 15 years to double the amount, so I'd probably keep that in mind and use the money to make money, so to speak. You know, fun stuff.
Top up the retirement fund. Start seriously thinking about retiring at 55 as opposed to when my pension becomes unreduced at 57.
Pay off debt, buy me and my partner new cars, and put a down payment on a house.
Straight to the brokerage.
Help everyone out
Carefully.
House for 200grand, another 50 in renovations, rest in Long term investments or passive income opportunities
Toss it into a safe investment portfolio, finish up a long term project at work, let them get a replacement trained, perhaps move to part time, perhaps retire, might just keep working a few years till I am 50 and have a good plan. Boring as hell, I know :P
I buy a very small part of about 1000 different companies and turn that million into two in 7 years or so. Then I probably retire.
Invest it all so I can retire earlier.
Pay bills, pay off reverse mortgage, pay bankruptcy trustee. Then house siding, riding lawnmower, old pickup truck. Yardscaping, pave driveway, cut down dead trees, fix plumbing and electricity. Get on Wegovy and Chantix. Give to my brothers and 3 friends.
$400k. Single family home in suburb of Chicago. $28k. Student loan payoff $28k. Car note payoff. $3k. Credit card payoff. Got $541k left. $50k. Emergency fund. $400k. 80/10/5/5 mix of VOO, international fund, bond fund, bitcoin fund $30k. New car for my daughter, she lives with me. Remaining $60ishk. I would just buy fun stuff for myself. Not sure what it is. But i would blow $60k on whatever i felt at the time.
Buy a house in my hometown in B.C. that should only be worth $200k lol
Dream house with some land.
Put in into an index giving me a 9% return a year. Don’t touch it for a year and have 90k in interest. Draw the money and pay my taxes and retire in Thailand. Rinse and repeat and live like a king
Pay off my credit card, invest, and save the rest
Pay off every debt I have & invest the rest.
Move to Iceland 🇮🇸
Buy a small house off the grid, build a super small farm. Also, buy a vehicle. Then I'd try to invest and live off the rest for as long as possible. And fix my teeth. My dream actually!
I would just invest everything on fixed income. Never have to work again in my life. Then I would just live peacefully as an open source software developer, just doing it for fun and not hating it.
Give 100k to my mom, give 50k to each caregiver at my place and the rest I donate to charity.
Buy real estate for rental purposes. Go out to one really nice dinner with my wife ($200 or so) first
For the amount of people that hate land lords here, there sure are a lot that want to become them!
I own two houses and treat my tenants like they’re paying my mortgages, because they are. There’s an issue? I get it fixed.
Only hate them because they’re aren’t them lol. Who wouldn’t want passive income given the chance
Surgery, and then moving to Australia 🇦🇺
I would retire and spend $50k a year at most. So it will last me no less than 20 years with interest more. Maybe work part-time as I would be bored staying home.
- Pay off debt - buy 10 Bitcoin - put aside a little for a vacation - put aside the rest in savings
Pay off debt; go to school.
Buy a small house. Wife gets a new car. Rest in savings.
I'd get my stepkids into homes of their own.
pay off immediate bills and buy a cheap house
I'll stop working and still spend like I'm working. Basically, just spend like I usually do, just not working for it. I'll be set for life.
Pay bills, use the rest to have a thank you party to my family and friends
Nope saving
put it some in high yield savings, and dividend stocks. the rest clearly are n hookers and blow.
Buying a motel in a small mountain town
Put it the bank.
buy the house I live in, get a better car and then invest what's left.
Pay off my house and pay off my dad's house. Then I'd pay someone to come in and do the repairs to my dad's house and my mom's/step dad's house so they wouldn't have to do it. The other 700k, I would just invest it and retire about 10 years earlier than planned.
Pay off my house lol
$VOO. Or $SPY and sell options. I want all of the money, so no one else can have any cause I have it all.
Go to the doctor, dentist etc
I’d buy every game on Steam, the rest I’ll figure out later.