Financial advice.

Discussion in 'Off Topic' started by stonerblue, 22 Aug 2019.

  1. stonerblue

    stonerblue

    Joined:
    23 May 2004
    Messages:
    26,483
    Location:
    Still alive here....
    A member of my family stands to get around 130k for the shares she has in the company she works at. Company is being bought out and all jobs are safe.
    She has 18k left on her mortgage plus some savings.

    What would be the best and/or worst thing to do with the lump sum? Bung it in the bank, isa's or some other 'bond' type thingy?
    No risky or un-ethical investments. Just the best way to keep as much of the original sum as poss'

    tia
     
  2. worsleyweb

    worsleyweb

    Joined:
    29 Sep 2009
    Messages:
    25,860
    Location:
    Manchester
  3. TheRemainsOfTheDave

    TheRemainsOfTheDave

    Joined:
    16 Mar 2017
    Messages:
    5,535
    The taxman will be after her, invest it in Nigeria.
     

    ADVERTISEMENT

  4. mayo31

    mayo31

    Joined:
    8 Sep 2011
    Messages:
    5,102
    Location:
    Middleton
    Sell house. Put all money together and fuck off somewhere for a few years.
     
  5. Ifwecouldjust.......

    Ifwecouldjust.......

    Joined:
    26 Jan 2010
    Messages:
    6,286
    Location:
    East Stand Level 1

    First off .... it would totally depend on how the share plan was structured as she may have a hefty tax bill to pay on any capital gains.


    Depends .... can she earn more interest by investing than she pays on the outstanding mortgage .... if she can't I would suggest that she clears that.(and any other debt if she has any)

    bearing in mind 'brexit' Id stick it in a investment (such as an ISA) that would give a guaranteed return after a period of time . Also remember that the Financial Services Compensation scheme only guarantees security of your deposit up to £80,000 so she'll need to take out two separate plans to protect her money in case the bank / building society goes bump.

    or she could just buy a place abroad.
     
  6. RibboCop

    RibboCop

    Joined:
    1 Mar 2019
    Messages:
    327
    Location:
    From Thornley Park to Vegas
    Team supported:
    City still do
    Simple rule to consider nearly all debts incur more interest than any medium low risk investments So my advice is if your paying more than 1.5% interest then get rid of the debt another option to consider if it’s possible is to see if the payment can be put directly into her company pension that way it can’t be taxed and most pension funds are currently growing at about 5 or 6 % so you win all round. Noting there is a limit you can put in a pension each year
     
  7. cibaman

    cibaman

    Joined:
    13 Nov 2008
    Messages:
    11,543
    It’s usually advisable to pay off debts first, although it depends on whether that would incur penalties. Also a good rule of thumb is to keep the equivalent to 6 months salary in an instant access account. And don’t put all your eggs in one basket
     
    Last edited: 22 Aug 2019
  8. stonerblue

    stonerblue

    Joined:
    23 May 2004
    Messages:
    26,483
    Location:
    Still alive here....
    yes and yes
     
  9. aguero93:20

    aguero93:20

    Joined:
    21 Oct 2013
    Messages:
    74,610
    Location:
    Pep Out
    Team supported:
    Pep Out
    Buy a Ferrari.
     
    squirtyflower likes this.
  10. worsleyweb

    worsleyweb

    Joined:
    29 Sep 2009
    Messages:
    25,860
    Location:
    Manchester
    If she is looking for an overweight charismatic charmer with more baggage than Manchester Airport lost property tell her to get in touch.
     

Share This Page