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Financial Feminist

164. Ask Tori: What Do I Do with an Inheritance?

Jun 20, 2024
In this podcast, Tori discusses managing windfalls from property sales, dealing with partner's financial pride, and navigating inherited IRAs to minimize taxes. She also covers investment strategies, relationship dynamics in financial decisions, and preparing for a wedding with pastel attire. Plus, there's a shoutout to sponsors like Hill House Home and insights on seeking professional guidance for tax concerns.
30:10

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Quick takeaways

  • Maximize a windfall by securing emergency funds and paying off debts first.
  • Preserve and grow funds from property sale abroad with low-risk savings options.

Deep dives

Managing a Windfall from Selling a Property

If you find yourself with a significant cash inflow from selling an investment property, such as real estate that has doubled in value, consider a strategic approach to maximizing its potential. Start by shoring up your emergency fund, pay off high -interest debt, then channel funds towards retirement savings or reducing long -term debts to potentially lower your monthly expenses. Verify that paying down a mortgage actually reduces your monthly costs rather than just the overall length of the loan. Consider the impact of directing extra funds towards the loan's principal versus utilizing a high yield savings account for flexibility.

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