Be Smart With Those Bonus Bucks
Whether from a giant inheritance or a lucky lotto ticket, once in a while you end with a large windfall of cash. When dealing with large amounts of money there are different financial tactics that will end up saving you the most.
Studies show that most people tend to blow through that money within a couple of years.
Here are a few tips to keep your sudden cash flow from disappearing into thin air. Big money tends to stimulate big spending, which is why if you’re smart you should wait six months before shelling out a cent. This means no luxurious gifts to family and friends, no new investments and no exotic vacations. Just allow yourself to have some time create a solid plan so you don’t make any impulsive decisions that you’ll regret later.
Next, to help you with those plans, consider hiring a qualified financial advisor to help you create a budget and do some long term financial planning before picking up that new red convertible. Ask friends and family if they have a financial advisor they trust and always check their credentials by going on site like Finra to get full track records of their past experience and practices.
While you’re looking try to find an advisor that’s paid by the hour, not by commission. Save these important tips for the day when serious cash could be headed your way.