What should I do with $70,000?

**Sirshredalot** · 10-13-2011, 04:31 PM

If you really feel like rolling the dice and ramming it, buy bank/financial service stocks or exchange-traded REITs. Which ones will fold over the next year or two? Unless you guess wrong and pick one of those, you will make out like a bandit over the next 5-10 years.

**Platinum Pete** · 10-13-2011, 06:02 PM

Step 1 - figure out the best way to protect as much of that money from the tax man and anyone else who may try to stake a claim against it, use a smart lawyer and accountant to figure out how to keep the maximum amount
Step 2 - as someone else said, pay off debts that are not smart debt
Step 3 - decide how much you want to give to charity/causes/other, you are blessed and you probably want to give a something back, right? this also relates to step 1.
Step 4 - don't add debt based on this income increase, i.e. don't get talked into a $200k boat that you think you'll pay off in 3 years, that would be 3 years worth of that money not earning more money for you and compounding, plus it exposes you to more risk should your compensation change for any reason
Step 5 - now it is time for the investing strategies to kick in

**notsmart** · 10-13-2011, 06:43 PM

Originally Posted by stuckathuntermtn

oh hell yeah. IT?
Are you a dev or an systems guy?

I'm Lumberg. Was a product designer. Now I'm more Steve Jobs meets Ebenezer Scrooge, only less talented at designing, inspiring, and subjugating minions.

**notsmart** · 10-13-2011, 06:45 PM

Originally Posted by commonlaw

Somewhere Benny is even more pissed at a God he doesn't believe in.

Ruh?

12345

**notsmart** · 10-13-2011, 06:46 PM

Originally Posted by Lurch

You've done hookers and blow before but have you ever done hookers and blow with 70K?

Sound, solid advice. Will discuss with wife.

**schuss** · 10-13-2011, 06:49 PM

I'd put it in some inflation-protected vehicle (safe bonds maybe? Is there such a thing anymore) until you find a good opportunity.

**notsmart** · 10-13-2011, 06:54 PM

Originally Posted by El Chupacabra

Buy about 100 pairs of Plum Guide bindings and give them away here.

Your ROI in terms of karmic points would be huge.

"And I'm far from cheap, I smoke skunk with my peeps all day. Spread love, it's the Brooklyn way."

Didn't help Biggie.

**Tunco** · 10-13-2011, 07:16 PM

I'd get the penis reduction surgery that I've been putting off, but thats my cross to bear.

**Irishexit** · 10-13-2011, 07:19 PM

Hire a fee only financial advisor, you will pay about 1% a year for the advice but they wont jam crap products down your throat because they don't get commissions or kickbacks (unlike the major broker houses).

Without an advisor - I would spread it around between a number mutual funds or ETF's - Large Cap Dividend paying Equities, multi strategy funds (commodities, debt, equities), some fixed income in lei of cash (fixed income should be low duration and high quality). When there is another decent dip I would also look at some large cap growth equity and some Small/Mid cap funds.

But passed on your previous posts you have no idea what all that means....so see my first recommendation.

**Cono Este** · 10-13-2011, 07:29 PM

Market risk is only one of the many risks you will encounter before retirement. Loss of job, divorce etc..are never factored in. You might be making bucks now, but the speed at which things change these days, you might be scraping by 10 yrs from now.

Hint, put it in something safe, and illiquid, so when you 7 out of what your doing now, or your future wife finds you, it will still be there for you 27 yrs form now. Mkt ups and downs are a small risk compared to what else lurks out there for you.

**XXX-er** · 10-13-2011, 07:35 PM

pay off debts and pay yerself with some token to signify your achievement but don't go crazy

stay conservative & somewhat liquid in case the economy takes another shit

Stay conservative and go for the long term ... its not really rocket biology

**notsmart** · 10-13-2011, 07:41 PM

Originally Posted by Cono Este

Hint, put it in something safe, and illiquid, so when you 7 out of what your doing now, or your future wife finds you, it will still be there for you 27 yrs form now. Mkt ups and downs are a small risk compared to what else lurks out there for you.

Thanks, sunshine.

**Cono Este** · 10-13-2011, 07:52 PM

Dont listen to all the people with the best way to leverage money advice. There is no substitute to your security for living in a paid off home, having some more property paid off in 27 yrs paying you each month, and guaranteed income from other sources.

Retirement = income. Not total net worth. Ask all the baby boomers today with 5 million in the bank, who dont want the mkt risk anymore, and cant get 2% a yr from anyone. If you buy a bunch of stocks, just remeber to switch into fixed income before you retire, and if the returns are ever 5%+ tax free again. Alot of people got left in stocks for too long, and cannot get a decent nights sleep even while in retirement now.

**Dhelihiker** · 10-13-2011, 08:23 PM

put it under your mattress or even better put it under my mattress

**LeeLau** · 10-13-2011, 11:12 PM

notsmart - I've found this super entertaining - guy retires in early 30s - amusingly and well written - www.mrmoneymustache.com. Lot of common sense

**Gerome** · 10-14-2011, 03:58 AM

If I had that amount to invest I would leverage it by buying rental properties. Mortgages are tougher to get at the moment, but property values aren't inflated either. Let the tenants pay off the mortgage for you. It's what my parents' retirement essentially consists of. Obviously, dealing with tenants come with distinct headaches, but maybe smaller risks and less esoteric than stock investments. I feel like I've lost more in mutual funds and stocks than I've invested. Watching a 401k change value by 30 to 40 percent isn't that comforting either.

**notsmart** · 10-14-2011, 10:35 AM

Originally Posted by LeeLau

notsmart - I've found this super entertaining - guy retires in early 30s - amusingly and well written - www.mrmoneymustache.com. Lot of common sense

That guy's blog is sweet. Thanks a ton for posting it.

I've started ironing all my shirts instead of having them laundered and pressed. My thinking was, I can do it while I'm chilling watching TV in the evenings. I'll be standing instead of sitting, and the $60 I save a month is a sushi dinner (sans booze).

See, though, I spent that money instead of socking it away like a money-hungry miser.

**MotherFucker** · 10-14-2011, 10:37 AM

You could donate a grand to the school Dumpy started a thread for and still have enough for all the herpes and blow you could muster.

**TNKen** · 10-14-2011, 11:15 AM

Helicopter rides??

**Diamond Joe** · 10-14-2011, 11:21 AM

Woh talk about your first-world problems.. "waaaah I made more money in my bonus than most Americans make in a year (and many world residents make in their fuckin' lifetimes) and I dont know what to do with it, waaah!!!"

How about, you take the 70g's, and cash it, in the form of rolled-up nickels. Then, you take each roll, and one by one, pound em up your ass! How 'bout that ROI, fucker??!?

/jealous rant

**Ted Striker** · 10-14-2011, 01:18 PM

Originally Posted by Skipig25

you got a 70k bonus as an IT guy?!

Holy crap no kidding. I have two friends who are IT guys and that's about what they make in salaries. Neither has ever talked about getting any sort of bonus.

EDIT:

Originally Posted by notsmart

I'm Lumberg. Was a product designer. Now I'm more Steve Jobs meets Ebenezer Scrooge, only less talented at designing, inspiring, and subjugating minions.

Oh, well in that case you should do two chicks at the same time.

Listen to the people who are saying to park that money somewhere boring and start learning. It's easy to turn 70K into 80K, but it's easier to turn it into 60K.

Cono is not wrong.

**MTT** · 10-14-2011, 02:07 PM

I have no idea what you should. sounds like you are already protecting income for the long term.

After a long look seems mutual funds have histiricly always increased in value. Looking at 10 year snapshots in time you are always ahead. In 2 year looks it gets pretty wild. I know a few people who have real money (As in Millions) They bought stock in large historicly reliable companies.

Shell / AT&T Big utility. ect. (JUST AN EXAMPLE)
They collect some nice dividends and the value of the stock has increased / Split and increased. ect (Solid)

FYI Vanguard https://personal.vanguard.com/us/home
I did some IT / Contact Center work for them. They are a very secure, honest, bottom line customer oriended company.
So if I were going down the Mutual fund path I would look hard at Vanguards offerings

**TransplantedFromRMNP** · 10-14-2011, 06:55 PM

yeah what they ^^^ said:
hookers & blow
2 chicks @ the same time

it took till pg2 for the H&B reference.
weak

**Meanfruit** · 10-14-2011, 07:28 PM

Originally Posted by notsmart

Marcus, brilliant idea!

Ncskier, I really like your advice and that's probably what I'll do.

I've also thought about starting a business and paying someone part-time to run it during the day. I could do the heavy lifting setting it up on nights and weekends, then when it's "open" have someone I trust do customer service and operations. I dunno, though. My day job is pretty sweet and lucrative and if I have $50 Gs tied up in a side gig it would be hard to focus on what really pays the bills. Right now I'm pretty much always "working" even if I'm not in the office and I think it would be tough to really divide that time. Can't jeopardize the day job.

What? Growing Pot? More reputable then working on Wall Street or for the Post Office.