Best thing to do with 8mil inheritance?

[Anonymous]

Are you the executor? Or just a beneficiary? The executor will need to work with a lawyer on the tax issue. Over $5mil is subject to federal estate taxes. Some states have taxes as well. In some states, the person inheriting the money has to pay taxes. You really need a good accountant and a financial planner.

At this point, I'd recommend letting the money stay in whatever form you get it (stocks, bonds, real estate) while you get educated, first on all the tax implications for settling the estate, and later in your options for investing the money.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ask about ideas on as many parenting boards as you can find.

It says the subject is Money and Finances.

Right below where it says DC Urban Moms & Dads.

I'm sure BabyCenter has a good finance board over there too.

Darn, I've been busted by the Hall Monitor! You must be the dismal poster that says some variation of 'PARENTS ONLY, ALL OTHERS KEEP OUT' on every thread.

Nope. You're my first victim. Just seems very odd for you to post here.

[Anonymous]

I would go read the bogleheads wiki on windfalls, but the bottom line is you probably shouldn't do anything with it right away.

[Anonymous]

Anonymous wrote:We don't have anything to pay off and we're childfree so don't need to save for education expenses. I'm financially illiterate when it comes to investing and stuff. What's the best thing to do with this inheritance?

give 2% to me....

[Anonymous]

Anonymous wrote:I would go read the bogleheads wiki on windfalls, but the bottom line is you probably shouldn't do anything with it right away.

+1!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:before or after taxes? either way, yes, a financial planner.

We have to pay taxes on it? Ugh. That sucks.

Seriously? Yes, like 50%.

This is incorrect.

A lot of it depends on the circumstances, OP. Did the decendent survive a spouse? If so, some amount passed between spouses previously, with a step up in basis for any assets involved.

The tax-free allowance now is $5,340,000 per spouse, so nearly $10.7 million for a married couple. That might be more than enough to exempt the estate from tax.

If it was in some trusts, it might escape tax.

You'll need to spend some money on an estate tax attorney to figure it out, but chances are very good the estate will owe no tax. Depending on where you live, your state may charge you an inheritance tax, however. (Estate taxes are paid to the federal government by the estate before anything is distributed. Inheritance taxes, charged by some states, impact only the heirs).

See a good tax lawyer. It'll be money well spent.

[Anonymous]

I think this is a bogus post.

[Anonymous]

Buy a house

[Anonymous]

Anonymous wrote:I think this is a bogus post.

Me too.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ask about ideas on as many parenting boards as you can find.

It says the subject is Money and Finances.

Right below where it says DC Urban Moms & Dads.

I'm sure BabyCenter has a good finance board over there too.

Darn, I've been busted by the Hall Monitor! You must be the dismal poster that says some variation of 'PARENTS ONLY, ALL OTHERS KEEP OUT' on every thread.

Nope. You're my first victim. Just seems very odd for you to post here.

Odd in what way?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:before or after taxes? either way, yes, a financial planner.

We have to pay taxes on it? Ugh. That sucks.

Seriously? Yes, like 50%.

This is incorrect.

A lot of it depends on the circumstances, OP. Did the decendent survive a spouse? If so, some amount passed between spouses previously, with a step up in basis for any assets involved.

The tax-free allowance now is $5,340,000 per spouse, so nearly $10.7 million for a married couple. That might be more than enough to exempt the estate from tax.

If it was in some trusts, it might escape tax.

You'll need to spend some money on an estate tax attorney to figure it out, but chances are very good the estate will owe no tax. Depending on where you live, your state may charge you an inheritance tax, however. (Estate taxes are paid to the federal government by the estate before anything is distributed. Inheritance taxes, charged by some states, impact only the heirs).

See a good tax lawyer. It'll be money well spent.

Thank you PP!

[Anonymous]

Enjoy It in case you never see that kind of money again.

[Anonymous]

Anonymous wrote:Get thee to a financial planner stat!
You can afford it, don't ask the internetz.

Do not go to a financial planner. They are all parasites living off part of other people's wealth. What they do is not rocket science!!! No one cares about you and your money more than you do yourself.

Where we're you when this wealth was being accumulated? How could you be raised in the presence of wealth and grow to adulthood without any sense of how to manage investments? Do parents not teach their children how to manage finances along with tying ones shoes and looking both ways before crossing the street?

Your inheritance is probably not in cash so if it has increased to this point, why not leave it be and draw a stipend from it allowing you to live comfortably. However, if the estate has be liquidated into cash and you are currently confused how to proceed start by opening a brokerage account and investing the majority of your money in Berkshire Hathaway at least until you've develop a permanent plan. Do not invest in any start up companies or businesses owned by your friends or acquaintances either. Curt Shilling invested $40 million in a video game startup company. Today he is bankrupt and broke.

Take responsibility for your own life and well being. If you go to a financial planner you'll be seen as a mark and you'll be broke in five years.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ask about ideas on as many parenting boards as you can find.

It says the subject is Money and Finances.

Right below where it says DC Urban Moms & Dads.

I'm sure BabyCenter has a good finance board over there too.

Darn, I've been busted by the Hall Monitor! You must be the dismal poster that says some variation of 'PARENTS ONLY, ALL OTHERS KEEP OUT' on every thread.

Nope. You're my first victim. Just seems very odd for you to post here.

Odd in what way?

Odd in a troll kind of way.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Get thee to a financial planner stat!
You can afford it, don't ask the internetz.

Do not go to a financial planner. They are all parasites living off part of other people's wealth. What they do is not rocket science!!! No one cares about you and your money more than you do yourself.

Where we're you when this wealth was being accumulated? How could you be raised in the presence of wealth and grow to adulthood without any sense of how to manage investments? Do parents not teach their children how to manage finances along with tying ones shoes and looking both ways before crossing the street?

Your inheritance is probably not in cash so if it has increased to this point, why not leave it be and draw a stipend from it allowing you to live comfortably. However, if the estate has be liquidated into cash and you are currently confused how to proceed start by opening a brokerage account and investing the majority of your money in Berkshire Hathaway at least until you've develop a permanent plan. Do not invest in any start up companies or businesses owned by your friends or acquaintances either. Curt Shilling invested $40 million in a video game startup company. Today he is bankrupt and broke.

Take responsibility for your own life and well being. If you go to a financial planner you'll be seen as a mark and you'll be broke in five years.

Talk about alarmist. I come from a line of weathly people, all of whom have financial planners. The key is to diversify.