What would you do with a $100,000 windfall?


If your retirement accounts and emergency account were fully funded for the year, your house was paid off and you have no other debt what would you do with a $100,000 windfall.

One might lean to investing in the stock market via individual stocks or mutual funds but the market seems on the verge of a correction. Would it make sense to invest a large sum all at once, a major correction would be painful? Thoughts?


Since my situation would allow this, I think I would take the next 3 or 4 years off from work and spend that time with the family. My son is 13 now, and you never get that time back…


I’d probably give it away, but if I needed to grow it, I’d look for an opportunity in real estate rather than the market.


First I’d sit on it for a few months to make sure I didn’t blow it on something I’d regret. I would ultimately split the money up (maybe not equally).

My initial thoughts of the breakdown would be:
Save some - I’d save/invest 1/2. This would also include any home repairs/big purchases I foresee coming up. If it’s almost time for a new roof I’d go ahead and set that aside now.
Give Some. - I’d give 1/4 including tithes, gifts to family/friends, other causes I want to support.
Spend Some. - spend 1/4 on a nice trip or something fun.


Probably split it. Give some away. Save/invest some. Tackle any large cap projects I was interested in doing. Maybe even blow a little of it on a “want” or two.

I think the safest way to find out would be for you to send me $100k and then I’ll know for sure! :grinning:



100% into my asset allocation, lump sum. No timing the market.


A nice “problem” to have but I’d probably give 50% away either in cash or gifts Of the rest 10% would go to a nice long vacation and I would invest the rest in an index fund .


My husband and I did this as an exercise back in September! Though I’ll have to change the answer slightly, since you put some different rules on here (such as having maxed out retirement accounts already), and some things have changed in the past six months. But here’s roughly what we agreed we would do with $100k:

$4,000 in the travel fund (savings account)
$1,000 to shore up the car maintenance fund (savings account - there’s some there already, but an extra $1k can’t hurt!)
$10,000 into the Paid Time Off savings account (we do not get paid time off via work, so we have to self-fund any sick days or vacation days) for spending time with each other and our 5-month-old baby
$5,000 for “businessing” (trying to make one or more business ideas work or invest into business ideas we’re already doing)
$1,500 into the Gifts savings account to cover upcoming birthdays, baby showers, and Christmas
$3,000 to charity (maybe more, $3k was based on the original numbers)
The remainder into a total stock market index fund in a taxable brokerage account. Not worried in the least about a market correction, since we’re playing the long game and not trying to time the market.


If there was tax payable on it I would donate it to a charity.
I’m confident a charity can make it go further than any government can!
Living the Dream :tropical_drink:


Probably spend a decent chunk to get some major projects done around the house, then throw the rest in VTI.


I’d invest all but about $100 into our Vanguard brokerage account. The $100 I take out would be used for a nice dinner for my wife and I. :slight_smile:


I’d put more into real estate.


I’d probably think long and hard about buying a vacation home on a lake somewhere (to primarily rent for income and someday retire too)… but knowing me it’s probably go to index funds in the end.


Pretty much sums up my thoughts.

Although I’d probably also use a bit for travel. Most likely ~$2,000 for a couple days in Harry Potter World, since I’m hoping to take Mrs. Vigilante there before we have a baby but it’s the one trip we can never seem to be willing to spend the money for. (There are like 1,000 other trips we want to take, and many of them can be free or nearly free right now. So spending for HP World is really difficult!)


I would buy a foreclosure, rehab it, rent it out, cash-out-refi under an LLC, take the cash from the refi and repeat the process, hoping to be able to repeat around 5-8 times. Once down to an amount where I could no longer front the cash for another house and rehab, I would start using the remaining cash for 25% down payments on additional rentals. With $100k starting cash and being picky about investments I would hope to come out with between 9-12 rentals valued around $100k each.


Easy - finish paying off my debt, then put the rest in an index fund!


I’d put at least 75% in my Vanguard funds, donate 10 and do some traveling with the rest.


As @FerventFinance said, don’t try to time the market. If you have done your research and are buying into strong companies with solid future potential, and you are investing for the long term, then a market correction will be temporary.

We would put it straight into Vanguard, because that is more than double our current FIRE fund. It would be a huge boost.


It’d go into the kids’ college fund. I’d probably slow play the market. $100,000/2 kids =$50k per kid. I’d likely invest $10k every 2 months until I was fully invested. I know the math says time in the market is the key factor, but I too fear the correction. But I don’t fear it enough to stay out for more than a few months. It’ll be quite a few years before my kids need the money for college, so their funds would have a chance to recover from any correction that takes place in the next few years. Good Question!


I would put 30-50% of it in a donor advised fund and use the rest to buffer my stash.
I fired a bit short of my number, so a windfall would mean a) a bit extra security and b) the opportunity to give more
I had orginally planned to start a DAF in my last working year, but as I pulled the plug early, that seemed to risky.