Enough with the low retirement savings. They have 2 million in their forties! Plus $800,000 in brokerage.

That is more than solid.

Late 40s with such low retirement and paying for expensive private school for 3 kids?
Are you counting on more inheritance?

I agree with the poster who said you should have $200K per child in your 529s.

Do you have an emergency fund as part of your taxable investments? If not, set aside 6 months of expenses in a high-yield savings account.

Buy 50K worth of ibonds, 10K for each family member.

Use up any tax-advantaged space beyond your 401Ks, i.e., traditional IRA or HSA.

Plan some great vacations, do a home reno project you've been putting off, or otherwise splurge with no more than 5% of the total.

Invest the rest according to your asset allocation.

Whose inheritance?

A private college might cost 70K a year per child, OP, so make sure you have that little extra available compared to the cost of an expensive private K-12.

Don't pay down your house, you're likely getting negative interest on that. You are paying the bank less than it is appreciating. The money is better spent elsewhere.
I'd buy a second home, buy land, or ask a financial advisor to point me towards inflation proof investments.

Anonymous wrote:I should add that this the number before taxes. I don’t know what will be left after taxes.

It's an inheritance. It isn't taxable to you.

Anonymous wrote:Late 40s with such low retirement? I would invest it for retirement, OP.

This assumes that you can carry college costs solely on your income, as you've suggested.

I wouldn't pay down the house, unless you cannot cover college tuition and private school with your income. Of course this all depends on your mortgage rate, compared to rate of return you might get by buying at a low in the stock market. Expectations are that the stock market will hit hit bottom 3 to 6 months into the war in Ukraine, but we're not there yet, and there's a stagflation/recession looming for next year, so, the usual rule of thumb applies: don't try to time the market exactly, start buying solid company stocks if they've tumbled significantly from their 52 week high.

Late 40s with such low retirement? I would invest it for retirement, OP.

This assumes that you can carry college costs solely on your income, as you've suggested.

I wouldn't pay down the house, unless you cannot cover college tuition and private school with your income. Of course this all depends on your mortgage rate, compared to rate of return you might get by buying at a low in the stock market. Expectations are that the stock market will hit hit bottom 3 to 6 months into the war in Ukraine, but we're not there yet, and there's a stagflation/recession looming for next year, so, the usual rule of thumb applies: don't try to time the market exactly, start buying solid company stocks if they've tumbled significantly from their 52 week high.

Anonymous wrote:

Anonymous wrote:Put 1/4 towards the mortgage, 1/4 to invest, 1/4 towards retirement, and splurge 1/4.

No. They have three children to put through college. They should not splurge a fourth of 1.6 million!

This, I would have at least $200K for each child for college/graduate school. Then, pay the mortgage and invest.

How much is the tuition that you’re paying now out of what I presume is current expenses? What’s your HHI? There’s too many variables here.

Anonymous wrote:Put 1/4 towards the mortgage, 1/4 to invest, 1/4 towards retirement, and splurge 1/4.

No. They have three children to put through college. They should not splurge a fourth of 1.6 million!

I should add that this the number before taxes. I don’t know what will be left after taxes.

Put 1/4 towards the mortgage, 1/4 to invest, 1/4 towards retirement, and splurge 1/4.

I’m thinking fully fund the college accounts? DH wants to pay down the house.
We have only 300k in the 529s and we have three kids (16,14,5)
We have about 2 mil in retirement (late 40s)
About 800k in taxable investments.
We both work.
We have a very expensive mortgage.
We pay for an expensive private school so we are accustomed to the tuition bills every year so DH doesn’t think we need more saved for college.