Seeking advice

wrigley

wrigley

Full time employment: Posting here.
Joined
Nov 11, 2008
Messages
638
Location
Jacksonville
My MIL passed away about 2 months ago and left my wife $XXX,XXX.xx. We are 60 and 58, 1 military pension now and another to start in 2 years, both still working making good money, both have 401ks, no debt to speak of, and our house will be paid for next year. The check (her check :)) is staring us in the face and we really have no idea what to do with it. We don't need the money......but would like to be able to get to if we have an itch. It's a blessed situation to be in. Thoughts please......and Thank You.

Mike
 
Suggest to your wife that she deposit the check into an online savings account until she has a better idea what to do with it.
 
wrigley said:
My MIL passed away about 2 months ago and left my wife $XXX,XXX.xx. We are 60 and 58, 1 military pension now and another to start in 2 years, both still working making good money, both have 401ks, no debt to speak of, and our house will be paid for next year. The check (her check :)) is staring us in the face and we really have no idea what to do with it. We don't need the money......but would like to be able to get to if we have an itch. It's a blessed situation to be in. Thoughts please......and Thank You.

Mike
Click to expand...
Similar experience here with MIL.

Put the check in a decent interest account for now. As you get through the next year feelings will change, so don't commit to anything other than preservation just yet.

A trip or two that would make MIL smile might work in due time.
 
swakyaby said:
Suggest to your wife that she deposit the check into an online savings account until she has a better idea what to do with it.
Click to expand...

+1 They currently pay "only" about 1.4-1.7%, but that is better than short-term Treasuries right now.

Also, join Navy Federal Credit Union and establish his and her accounts there... they have been running some good CD specials over the last year. Got in on a 3.5% 5-year IRA CD last June, a 2.2% 17-month CD recently and a 3.0% 37-month IRA CD recently. Not sure what we'll see going forward.
 
Last edited:
target2019 said:
Put the check in a decent interest account for now. As you get through the next year feelings will change, so don't commit to anything other than preservation just yet.
Click to expand...

What he said.

We (and my two sisters) had the same experience when my mother passed away. We all did the same thing. There is so much "baggage" that comes with that money the best thing to do is just put it someplace safe and short term for a year, let things settle, and the "what to do with it" will come to you in due course. But the best thing to do for now is essentially nothing.
 
While there's a broad range of possible value ($100K to $999.99K), I would just go with what your investment plan says. I'd probably just stick it in VTI, putting in 10% per big market drop.
 
swakyaby said:
Suggest to your wife that she deposit the check into an online savings account until she has a better idea what to do with it.
Click to expand...

+1 on this, with one caveat. Not knowing the numerals in that first set of x's, make sure you abide by the FDIC deposit insurance limits.
 
Don't do like I did when I came into a little inheritance--take a trip to Italy and the Greek Isles. That's out for the immediate future.

I agree with the above. Payoff the house and sit on the rest. That is unless you need a new vehicle or capital expenditure like redo a kitchen or bath.

I had to replace a vehicle, RV and boat about the same time.
 
swakyaby said:
Suggest to your wife that she deposit the check into an online savings account until she has a better idea what to do with it.
Click to expand...

+1
If OP's wife does not have an online account, https://www.ally.com/ is easy to use, has pretty good interest rates.
Whatever you do, don't let someone at your local bank "help" you invest the money.
 
Pay off the house and invest according to your AA.
Click to expand...

You could dollar cost average in over the next 6 to 12 months. Whatever is comfortable to you.
 
wrigley said:
My MIL passed away about 2 months ago and left my wife $XXX,XXX.xx. We are 60 and 58, 1 military pension now and another to start in 2 years, both still working making good money, both have 401ks, no debt to speak of, and our house will be paid for next year. The check (her check :)) is staring us in the face and we really have no idea what to do with it. We don't need the money......but would like to be able to get to if we have an itch. It's a blessed situation to be in. Thoughts please......and Thank You.

Mike
Click to expand...


OP,
Sorry for the loss of your MIL.
It sounds like you are doing well within your current budget. I would place the money in a savings account and hold off on any big decisions for at least 6 months.
Again, depending on the size of the check, a one time , fee only financial advisor review and discussion might help.
 
HNL Bill said:
While there's a broad range of possible value ($100K to $999.99K), I would just go with what your investment plan says. I'd probably just stick it in VTI, putting in 10% per big market drop.
Click to expand...



I would second putting it in the market given the market drop, I would do it before we have the return
 
Do a little of all three.

Pay off the house. Since it's going to be paid off soon, you are already making mostly principal payments anyway. It feels amazing to pay off the house.
Keep some in cash, a couple of years if you can (depends on that first digit).
Consider investing the rest (depending how much is left), while the market is down. It could go lower though, take it slow.

I keep much of my "cash" in short term treasuries and in the brokerage account. Keeping it out of sight mitigates most extraneous spending. And it is all accessible within 24 hours.
 
Don't take this the wrong way, but she should keep the inheritance segregated from the family money. Inheritances in many jurisdictions (check yours to be sure) are not part of the marital wealth and hence not subject to splitting in the case of divorce. Once intermingled with marital monies (e.g. paying off the house, or putting in joint account), this ceases to be true.
 
You never mention if you have kids...


My sisters deposited in a separate account and are investing for their kids...


One just decided to add a cover over her deck paid for by mom...




Another thought... what would you do if you won that amount of money from the lottery? IOW, where the money comes from should have no bearing on what you do with it... it is just a bigger pool for you to invest...
 
What she should do with it will also depend on whether she intends to divorce you or not.
 
Thanks everyone! We do have an Ally account. We also have been banking with NFCU since the time when the only way you could become a member was to join overseas (GTMO 1989).

For now this money is going to go in to an on-line savings account until SHE can wrap her head around what SHE wants to do with it!

If she divorces me over it, we've accumulated more than enough together thru 37 years of marriage that I will be just fine. :)

Thanks again for your inputs.

Mike
 
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