If your HHI went from $350k to $900k +
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Anonymous
| How would it (or how did it) change your life? |
Anonymous
| I'd retire by 50. I'd probably budget to spend an extra $50k a year, mostly on travel but possibly by moving to a different school district, and put all the rest into investments. |
Anonymous
| If this happened to you, tell us how |
Anonymous
| OP here, happened with DH’s promotion at work. |
Anonymous
| I'd be pretty excited if my HHI went to $350k, so I can't relate. |
Anonymous
DH’s promotion at work. |
Anonymous
Mind sharing what he does for a living?? |
Anonymous
Involves Commercial real estate |
Anonymous
Do you have children? Debt? What are your ages? |
Anonymous
Yes, three kids elementary and preschool ages, no debt except $800k mortgage and a .9% car loan that is $350 per month. We could pay it off but would rather keep the money in investments. |
Anonymous
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I personally would put away enough money over the next while so that I could if needed leave the job of it becomes too stressful.
After hiring any needed help I didn't have (2x week cleaners has been my ideal vs full time) I added annual consults with an organizer and called handyman to do maintenance so everything was in great order. I would send my kids to lovely private schools IF you don't like your current choices (we stayed public for a while.) Long term I would take my time and move to a house and neighborhood that I really liked and find a second home that was around 2-3 hours away for long weekends and holidays. |
Anonymous
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This is hypothetical, but our HHI is $350k, so I can tell you what we would do. Important to this is that we just moved, and neither need nor want to move again. I'll assume you will keep, after taxes, 50% of the $550k increase, so $275k.
Year One: Top off college fund with $50,000; Top off new car fund with $25,000; Increase travel fund by $25,000; $175 into laddered CDs (serves both as emergency fund and cash for eventual retirement). Year Two: $175,000 into mortgage; Invest $75,000 according to current plan, using DCA; Extra $25,000 into travel budget. Year Three+: Repeat until mortgage paid off. After that, look for ways to creatively invest - residential or commercial real estate. As may be apparent, we are conservative, and live a very nice life on $350,000. Yes, I may be able to get better returns investing v. paying off the mortgage, but maybe not, and being mortgage free is appealing. And if you live a nice life now, why start adding to your expenses. More travel would be nice, so I've allocated for that, but I don't need a Maserati, or a bigger house. I'd drink better whiskey, though. |
Anonymous
In the short term, no changes. In the long term- heck yes! Much much earlier retirement and way more travel and spa days. |
Anonymous
| I would change nothing. I would sock away the entire increase, and make a five-year exit plan. |
Anonymous
Making partner or something equivalent? No jump from one job title to another would do that Must be a business owner in some way |