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[quote=Anonymous][quote=Anonymous]First and foremost - a front walkway and a working bathroom are smart investments and necessary.  You're not being frivolous.  You're retaining/ensuring the value of your home.  Good use of money.

Some simple strategies:

1) [b]assuming 5% return on an investment - you will repay the $20K in 4 years if you were to invest the $130K.  Therefore pay the $20K (or less...if you shop around for contractors/fix it guys) out of your emergency fund (that makes low/no interest).  Hope that in 4 years you will "repay" it.[/b]
2) simply think that you got a $110K inheritance instead (and $20K to fix the property).

Good luck.
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OP here.  This is a very good point; I had not considered that.  Where/how can I invest the $130K to earn 5% (to enable us to pay ourselves back)?  Ideally at least some of it should remain liquid since if I dip into the emergency fund for the home improvements, we will no longer have access to that in case of emergency.

So you would use $20K of the emergency fund for repairs, and take the other $20K from the inheritance?

I agree that we should shop around for the best deal on the front walk/bathroom work.

Thank you!

[quote=Anonymous]You're doing fine on the savings side - good for you.   I agree with the above poster - the expenses are not frivolous -they are smart.

At $1.4 million - you're going to make about $50K this year alone.

Spend your emergency fund since it is just cash.  You're being smart.  Can't save every penny - but you're doing a great job.[/quote]

Thank you.  I had not previously seriously considered the emergency fund as a source for this money, because, well, it is an emergency fund for emergencies.  We have always had a hands-off attitude towards that account.

If we do that, then how do we invest the $130K to enable us to get to at least some of it in case of emergency (job loss or the like)?

[quote=Anonymous]I would add to keep the inheritance in your own name.  You never know.  I think you're doing great, especially with 1.4 million saved.[/quote]

You are right.  I currently have it in a plain-vanilla savings account in my name alone, and need to do something about that (because it is earning virtually nothing).  Leaving it in my name alone is causing some tension with DH, but I feel strongly about keeping it that way because as you say, you never know.  I think our marriage will last but frankly I don’t always feel that way.  And his parents may leave him something at some point, in which case he is free to do the same of course.
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