If you had just won a million dollars, what would you do with it?

1. The state government would tax it. In Indiana, the tax for all winnings over 5,000 dollars are taxed 25 percent. As such, the IRS would get 250,000 dollars up front and then I'd get 750,000 dollars.
2. I would put 340,000 dollars (the total cost of rooming, tuition, books, etc.) into the law school I want to attend.
3. I would put 224,000 dollars (the total cost of rooming, tuition, books, etc.) into the college I want to go to before law school.
4. I would give the rest of 186,000 dollars to my parents so they could (1) expand our home, (2) build an in ground pool at our home, and (3) make any other upgrades or changes to our home.

Impacting said:

y...

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Lively said:

I don't know what houses you look at.

If I wanted to buy a house in West Lafayette, which is where I'm going to college, I found a few decent houses within my price range.

For example: http://www.realtor.com/realestatean...ve_West-Lafayette_IN_47906_M30696-04747?row=4

http://www.realtor.com/realestatean...d_West-Lafayette_IN_47906_M30452-32820?row=57

Now I understand, that average price for a house fluctuates per state. For example, in Indiana, the average price for a home is around 100k, while in California the average price for a house is upwards of 250-300k. It's a matter of location and how much people want to be there.

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Satusaki said:

Spending 250,000 on video games... lol, I wold save that money for college or something.

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AsteroidsAU said:

You need about 1 million to buy a house xD just saying <3

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Twitchyy said:

A million dollars is a nice chunk of change, but the first thing to do is to tell yourself that you did not win a million dollars. You won less, because you need to pay taxes. The amount will vary depending on where you are, but in the US you're in the top tax bracket, plus you'll have state taxes on top of that. What's more, you'll need to consider the fact that all of your other income is taxed at the same rate. While there may be money withheld from your check, it probably won't be enough so take that money and put it in a separate place so that you'll have it when you pay your taxes.

The next thing to do is to understand what a million dollars is. While it may be rich to you, it's not movie-star rich. It's not Oprah rich. It's probably not even never-work-again rich (this depends on your lifestyle, investments and expected lifespan, of course).

After this we come to many options. Think of the future. Investing is a good idea, as your money grows. If you can avoid invest it well (I suggest low-fee index funds) and avoid touching it, this can provide for a good early retirement. Another good idea is to buy a house (or pay off your mortgage). This frees up a significant amount of money each month. Some people will say that the interest on a mortgage is less than the income from investments. On the other hand, investments may not pay off.

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NuJaan said:

http://www.quora.com/I-just-won-a-million-dollars-What-should-I-do-with-it-now

Look at the third reply.

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Twitchyy said:

A million dollars is a nice chunk of change, but the first thing to do is to tell yourself that you did not win a million dollars. You won less, because you need to pay taxes. The amount will vary depending on where you are, but in the US you're in the top tax bracket, plus you'll have state taxes on top of that. What's more, you'll need to consider the fact that all of your other income is taxed at the same rate. While there may be money withheld from your check, it probably won't be enough so take that money and put it in a separate place so that you'll have it when you pay your taxes.

The next thing to do is to understand what a million dollars is. While it may be rich to you, it's not movie-star rich. It's not Oprah rich. It's probably not even never-work-again rich (this depends on your lifestyle, investments and expected lifespan, of course).

After this we come to many options. Think of the future. Investing is a good idea, as your money grows. If you can avoid invest it well (I suggest low-fee index funds) and avoid touching it, this can provide for a good early retirement. Another good idea is to buy a house (or pay off your mortgage). This frees up a significant amount of money each month. Some people will say that the interest on a mortgage is less than the income from investments. On the other hand, investments may not pay off.

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NuJaan said:

http://www.quora.com/I-just-won-a-million-dollars-What-should-I-do-with-it-now

Look at the third reply.

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Moose said:

im so tired of plagiarism on these forums

cant people write their own posts...?

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