beaners Posted October 21, 2014 Share Posted October 21, 2014 Okay, join me in some daydreaming. My husband was contacted by a recruiter for a type of position that doesn't come along too often. There is usually quite a bit of competition, but he is well qualified for the job. One of the perks? A similar salary to what he is making now, plus a percentage of the location profits each month. His current company used to offer this, and he would be making an extra $100,000 a year if they still did. Very conservatively, we could expect an extra $5000 a month. That would nearly double our income. The chance of actually getting the job is still pretty slim, but I am having a lot of fun thinking about the possibilities. What would you do? Bigger house? Vacations? Charitable donations? The biggest reading room you could dream of? ;) I'm imagining so many extras we could add in terms of activities, field trips, different therapies for some of the kids, more room in the budget for ordering takeout when it's been a long day. More money for practical things like a bigger retirement account would be useful too. What would YOU do with it? Quote Link to comment Share on other sites More sharing options...
TammyinTN Posted October 21, 2014 Share Posted October 21, 2014 At this point in our lives we would dump it into saving. Quote Link to comment Share on other sites More sharing options...
Truscifi Posted October 21, 2014 Share Posted October 21, 2014 Finish paying off debts, then split between savings and lots of awesome trips. Quote Link to comment Share on other sites More sharing options...
Cindy in FL. Posted October 21, 2014 Share Posted October 21, 2014 Pay off debt and save with some fun stuff thrown in! Quote Link to comment Share on other sites More sharing options...
Truscifi Posted October 21, 2014 Share Posted October 21, 2014 Oh, and update all my appliances. Quote Link to comment Share on other sites More sharing options...
Joules Posted October 21, 2014 Share Posted October 21, 2014 Retirement and college funds! I don't even have to think about it. Quote Link to comment Share on other sites More sharing options...
bettyandbob Posted October 21, 2014 Share Posted October 21, 2014 breath easier Not worry about paying for dd's college Get younger ds tutors and OT and speech and dance therapy (he favorite activity which we dropped because it was too expensive) make home repair step up retirement contributions breath easier Quote Link to comment Share on other sites More sharing options...
hjffkj Posted October 21, 2014 Share Posted October 21, 2014 The first few months would go to paying of the van we just bought. Then from there on out it would either go towards paying down the mortgage, which would have it paid off in less than 2 years or go to savings in order to have money to pay cash for our next house. Quote Link to comment Share on other sites More sharing options...
zoobie Posted October 21, 2014 Share Posted October 21, 2014 Redo the kitchen sooner. Then basement. Then savings. Quote Link to comment Share on other sites More sharing options...
plansrme Posted October 21, 2014 Share Posted October 21, 2014 Pay off my house faster. Quote Link to comment Share on other sites More sharing options...
Mergath Posted October 21, 2014 Share Posted October 21, 2014 We'd use it to pay off our mountain of medical bills first, then when that was done we'd probably save a chunk each month and use the rest for things like the expensive martial arts classes dd has been dying to take, go on vacations that are actually outside the state, etc. Quote Link to comment Share on other sites More sharing options...
myfunnybunch Posted October 21, 2014 Share Posted October 21, 2014 Savings and travel. :) Quote Link to comment Share on other sites More sharing options...
wapiti Posted October 21, 2014 Share Posted October 21, 2014 Have you accounted for income tax, at an increased rate (state and federal)? Very important. What sounds like 100k might only net closer to 50k. Pay off debt (including mortgage but especially any other loans and credit card balances), save for college, save for retirement. Eta, looking back at your signature, my dear you have 8 children. Understand that the increase in income level may price them out of need-based financial aid. Save for college, even if they might not all attend. Any daydreams of spending are just that, daydreams. (I feel your pain.) Save. for. college. Eta again, just from my perspective: I had a combo need/merit scholarship to a good college. If I wanted to send my 6 kids to that college, it would cost in total about $1.5M in today's dollars at today's tuition prices. (There would be no financial aid whatsoever due to family income level and purely merit scholarships are rare.) Quote Link to comment Share on other sites More sharing options...
kewb Posted October 21, 2014 Share Posted October 21, 2014 Retirement and college. Quote Link to comment Share on other sites More sharing options...
Arcadia Posted October 21, 2014 Share Posted October 21, 2014 I won't buy a bigger house unless there is a need. The property tax from a bigger house in the same area is going to be high and tough when retiring. I would be tempted to buy a rental property as the $5k (assuming after tax) per month could cover mortgage, HOA/utilities and home insurance. The rental income would be a bonus. Rents run high here. Quote Link to comment Share on other sites More sharing options...
Southern Ivy Posted October 21, 2014 Share Posted October 21, 2014 Oh my gosh, we'd pay off the last of my student loans and I'd finally get to stay home with my daughter. We'd also start throwing money into a house fund so we'd be able to buy a home sooner. Quote Link to comment Share on other sites More sharing options...
Tap Posted October 21, 2014 Share Posted October 21, 2014 1st. Increase our savings to one years worth of household savings and the top 10% every month after that would go to retirement. (this would take 3-4 months for us) 2nd Pay off any interest bearing debt other than our house. (3 months) 3rd Put money away for a new car for dh. He drives a company car but is thinking about quitting this job. His other car is 13 years old. (6 months) 4th Either start shopping for a brand new house or start saving for long term home repairs like the roof. Our house is currently 12 years old so some major expenses will be coming up in the next 5-8 year. (6 months for home repairs, 12 months for down payment on new home) 5th Put $10-15,000 aside for each kid for a wedding 'gift' to use toward a wedding/home/student loans/getting started in life whatever they want to use it for. Well that puts me close to the 2-3 year mark.....lol should I go on? Quote Link to comment Share on other sites More sharing options...
trulycrabby Posted October 21, 2014 Share Posted October 21, 2014 :party: :party: :party: Actually, I would put it all in savings. Quote Link to comment Share on other sites More sharing options...
Camelfeet Posted October 21, 2014 Share Posted October 21, 2014 I'd put the entire thing into savings/investments and keep living the same. Maybe go out a bit more for eats, maybe buy a few more books... but really just put it into savings for retirement and college. Quote Link to comment Share on other sites More sharing options...
momto10blessings Posted October 21, 2014 Share Posted October 21, 2014 Pay off some debt Small Updates on house Pour the majority into retirement Vacation Quote Link to comment Share on other sites More sharing options...
Cera Posted October 21, 2014 Share Posted October 21, 2014 I would probably use a month or two worth for travel each year and dump the rest in savings. I am quite happy with my life currently but wouldn't argue with a yearly longer vacation to some far away destination (a couple of weeks in europe, a tour of the great wall of china, etc). Quote Link to comment Share on other sites More sharing options...
Um_2_4 Posted October 21, 2014 Share Posted October 21, 2014 Pay off house sooner, do some fix ups around the house (finish the garage, re landscape the yard, put in a patio cover), put aside some each month to hire help around the house and increase my school budget, travel a bit, once house is paid off, start up accounts for kids, or maybe buy investment properties. Quote Link to comment Share on other sites More sharing options...
HeWillSoar Posted October 21, 2014 Share Posted October 21, 2014 Retirement and college here as well, and I think I'd hire someone to clean once a week. I'd try to pay off the house quicker, and I'd love a swimming pool if possible. Quote Link to comment Share on other sites More sharing options...
FO4UR Posted October 21, 2014 Share Posted October 21, 2014 With all those littles...I'd hire some sort of weekly help, mother's helper or housekeeping. Then I'd save the rest. Quote Link to comment Share on other sites More sharing options...
mommymilkies Posted October 21, 2014 Share Posted October 21, 2014 Finish paying off debts, then split between savings and lots of awesome trips. This! And more music lessons for the kids! Quote Link to comment Share on other sites More sharing options...
purpleowl Posted October 21, 2014 Share Posted October 21, 2014 I'd probably want to split it up so that part went toward paying more on our mortgage each month, part toward savings, and part toward "extras" that would be nice around the house (we could use some new furniture, etc.). Quote Link to comment Share on other sites More sharing options...
MrsMommy Posted October 21, 2014 Share Posted October 21, 2014 We'd give more to our church, put most of it in savings, but I'm also thinking we'd take a real vacation. Oh, and maybe get rid of the carpeting in our house and put in wood floors. Quote Link to comment Share on other sites More sharing options...
KarenNC Posted October 21, 2014 Share Posted October 21, 2014 1) Pay off all debt but the first mortgage 2) Fund a true emergency fund (the several months' worth of salary usually recommended) 3) Maximize retirement savings 4) maximize HSA savings 5) contribute to college savings 6) work on paying down first mortgage to build equity as we would like to have the option to downsize in a few years (we bought just before everything tanked, so we don't have much built up due to the drop in home prices) The order might be changed, as we will likely need a new furnace, new water heater, and new roof in the next few years (already did the new AC). Somewhere in there I would replace the dishwasher that broke last spring. Huge splurge would be to replace the old stained beige builder grade carpet with some type of hard flooring (hardwood, laminate, bamboo, etc). Quote Link to comment Share on other sites More sharing options...
MomtoCandJ Posted October 21, 2014 Share Posted October 21, 2014 Pay off student loans, Dh's truck (or my car, we plan on paying off Dh's truck with tax refund so I can get a new to us car), and house. Then a new house (we want to be closer to town and a slightly larger house that isn't a mobile home) retirement and college savings. Vacations and activities for the girls :) Quote Link to comment Share on other sites More sharing options...
swellmomma Posted October 21, 2014 Share Posted October 21, 2014 I would use it for the extras since we live okay off my current income so Pay off all debts including mortgage asap. Take the kids on a cool trip, or 2 or 3 etc. College savings for each kid. home repairs/renos. specialized treatment (like neurofeedback) for my son. Savings for retirement. I would likely buy a house closer to where I work as that would be more practical, and would save me money on gas and car upkeep. The extra income would allow me to afford to do just that (though I would still be choosing a modest home, getting a bonus like that isn't worth a higher debt load imo). If I lived here still that bonus monthly if put right on my mortgage would have me mortgage free in a year, if put on debts they would also be gone in a year, so I would start there and focus on that as long as possible in case the bonus ended. Quote Link to comment Share on other sites More sharing options...
lynn Posted October 21, 2014 Share Posted October 21, 2014 Pay for my moms knee replacement surgery and have her house redone so she can get around easier and be independent longer. Get both my mom and dad proper hearing aids. (money is always an issue with my mom and to be able to help her with these things would be amazing) Then I would want to build a garage apartment for fil so he can be independent yet have us look after him. Quote Link to comment Share on other sites More sharing options...
shawthorne44 Posted October 21, 2014 Share Posted October 21, 2014 I'd probably stick with my SOP for every raise. I figure 1/3 will go to increased taxes. 1/3 will go to increased savings and 1/3 to increased spending. So, if I got a 6% performance review raise, I immediately upped my 401k or automatic savings by 2%. I also hate debt, so I'd pay off everything first. Then I'd look at saving for early retirement. Depending on your age when the majority of your kids are in school, it might be a huge savings for college expenses if you aren't making the big money when they are in school Quote Link to comment Share on other sites More sharing options...
rocassie Posted October 21, 2014 Share Posted October 21, 2014 Most of it would be put in savings while paying a little more down on our mortgage. Savings would be for cushion, house repairs, a car (we still have a few good years left on both of ours but eventually), retirement and a fun vacation. As long as we aren't drowning in debt, meet all our needs, and have our emergency fund, then I think it's important to enjoy life and not sock everything away for a rainy day or retirement. I know too many people, who saved and saved for retirement and then died shortly into their retirement. Quote Link to comment Share on other sites More sharing options...
Upward Journey Posted October 21, 2014 Share Posted October 21, 2014 That would double our income as well. We don't have any debt besides our house (mortgage) in the states, so what I would do... 1) a family parks & rec membership. This seems like a little thing, but right now we can't afford to swim or skate, and in another month it will be brutally cold outside. 2) braces. The three youngest ALL need them. Badly. 3) After that I'd start putting it away each month for university and a downpayment for a house in our current country. I wouldn't change the way we were living (frugally) since it doesn't sound like the added income would be long term. ETA. I think actually instead of saving I'd start making double or triple payments on our stateside mortgage, because that would pay off the house and free up money for the following year(s). Quote Link to comment Share on other sites More sharing options...
momofkhm Posted October 21, 2014 Share Posted October 21, 2014 College. Retirement. New house with land (to us that means anything from 1-10 acres. Just call us need-to-be-near-a-city-folk!). Fun trips. Quote Link to comment Share on other sites More sharing options...
catz Posted October 21, 2014 Share Posted October 21, 2014 Our only debt is our mortgage and we're already doubling payments. 1 - college savings for kids/possible retirement savings (although, we max our 401K options already) 2 - house updates (our house was built in 1915) 3 - world travel We already do a bunch of charitable contributions, but I'd imagine we might do some more sizable donations that year to especially organizations that support kids in the performing arts (that aren't run by crazy people LOL). Quote Link to comment Share on other sites More sharing options...
ocelotmom Posted October 21, 2014 Share Posted October 21, 2014 Pay off debt. Quit job #1 (which would mean buying insurance separately, and the combo of that and the lower income would eat up a big chunk of the extra). This would free me up to work a little more at job #2, which pays better and offers better experience, but is not full-time, and is far enough from our house that I don't want it to be full-time long-term. Use the extra time and money to take classes to increase my employability. Find a different, local, better-paying job with benefits. That should put us in a better position long-term, even if the extra $5000/month didn't last long-term. Hopefully this is no more than a few month process. Once that's all done with, pay for some more activities for the kids, and a mother's helper to get them there when it's not possible for one of us to. Get enough renovations finished to make our house more livable for the next few years, decrease our costs long-term (eg. better insulation, some alternative energy stuff we want to do), and increase the value of the house. Make a decision whether we want to make further improvements and stay here (and increase savings so that we can buy one of the neighboring properties if/when they come up for sale), move to a different house in the area, or move somewhere else entirely. Once debt is paid off and renovations done, possibly invest in a small property in-town - something centrally located that we can rent out now, and eventually move into when we decide we're better off living somewhere easier (smaller, in-town). Maybe also do the same in the town where job #2 is - something that would give me somewhere to stay overnight while working there if necessary, along with providing rental income (for example, a property with an in-law cottage). As long as the rental income at least covers the payments, set some portion aside for travel and other splurges, and put the rest towards savings for college, retirement, and so forth. Quote Link to comment Share on other sites More sharing options...
Annie G Posted October 21, 2014 Share Posted October 21, 2014 I'm boring. I'd dump it all into retirement. We're within five years of dh retiring and I do NOT want to start increasing our standard of living now because that would just increase how much we'd need to maintain that standard of living in retirement. So boring old me would just find ways to invest it. Quote Link to comment Share on other sites More sharing options...
Ottakee Posted October 21, 2014 Share Posted October 21, 2014 We are debt free and our 3 kids are all special needs so won't be attending college. I would split it up: 10%---tithe--likely divided between the church and several personal friends that are missionaries 10%--enjoy---extra classes, activities, save for a vacation, etc. 80%--build up the emergency fund again, max out our ROTH IRA, save for future vehicles and home repairs, save even more in case the job didn't last long. We likely wouldn't change our day to day living very much just in case the money didnt' continue. Quote Link to comment Share on other sites More sharing options...
Night Elf Posted October 21, 2014 Share Posted October 21, 2014 I would put half into the mortgage. I would put $2000 into a savings account for the kids college. I'd use $500 for mad money. If I was still making that money after we saved enough for the kids' college bills, I'd put that amount into our retirement package. Now, if I had debt, I would work on paying that debt off with the majority of the money first. I don't like debt over my head. Quote Link to comment Share on other sites More sharing options...
Shellydon Posted October 21, 2014 Share Posted October 21, 2014 When we were making that kind of money, here is what we did: We paid off our mortgage completely and purchased two newer vehicles outright. We had no other debt, but if we did that would have been paid off completely. Next, we bought 8 years of college tution (at today's prices) for our children. We increased DH retirement to the maximum, increased my retirement. We expanded and diversified our stock portfolio. Doing all of that has really made a difference. DH purposely took a lower paying job 2 years ago, but since we paid off our mortage and increased our retirment, it hasn't hurt us financially. We opted not to do fancy house updates and vacations, instead, we put our money to work. Quote Link to comment Share on other sites More sharing options...
nevergiveup Posted October 21, 2014 Share Posted October 21, 2014 Just wanted to say Good Luck to your husband!!!!! Quote Link to comment Share on other sites More sharing options...
MedicMom Posted October 21, 2014 Share Posted October 21, 2014 We sort of just had this happen. I think it's an extra $4500 a month between a new position I just took and pay raises for both of us. We live in a high tax state so the extra taxes drain a lot. I upped my 401K and everything else is dumped between savings, debt reduction and necessary house improvements. Quote Link to comment Share on other sites More sharing options...
DawnM Posted October 21, 2014 Share Posted October 21, 2014 $5,000 a month? I would save some for the kids' college expenses, move to a larger house, and use some for general savings. Quote Link to comment Share on other sites More sharing options...
Mom23Boys Posted October 21, 2014 Share Posted October 21, 2014 1. We would pay off our debt, other than mortgage, which would then free up the money we pay towards those debts each month. Then we would do a hybrid of the following: 1. bOOk reduction for me 2. Remodel our kitchen 3. Save for short term needs (braces, vacations, appliances breaking, new tires/vehicles, etc.) 4. Save for long term needs (retirement and college) 5. Work on paying down our mortgage faster The emphasis after paying off debt would savings. Quote Link to comment Share on other sites More sharing options...
Guest Posted October 21, 2014 Share Posted October 21, 2014 1.Pay for my kids education. 2. Take some more amazing trips 3. Have a contractor do some things around our house that I have given up hope of dh doing. Quote Link to comment Share on other sites More sharing options...
kitten18 Posted October 21, 2014 Share Posted October 21, 2014 I would put it all in savings and plan to pay half of it in taxes. Quote Link to comment Share on other sites More sharing options...
Seasider Posted October 21, 2014 Share Posted October 21, 2014 I can't see the age of your kids if they're in a sig line, since I'm on my phone. But I would seriously put away college money. I would eat higher quality food, and continue to make sure basic needs are met, and feel freer to give more. But seriously - college money. ETA Ok so dreaming there's no college costs to cover.... I'd nicely refurbish my house. It needs work. I'd love to put in new windows throughout. Quote Link to comment Share on other sites More sharing options...
gardenmom5 Posted October 21, 2014 Share Posted October 21, 2014 do you stay where you are, or do you have to move to an area with a higher cost of living? I would do therapies for child, and more acitivites. maybe more books - then bank the rest. Quote Link to comment Share on other sites More sharing options...
G5052 Posted October 21, 2014 Share Posted October 21, 2014 We'd pay off our debts including the mortgage, and then save a lot of it towards college and retirement (which are on the doorstep!). Probably another vehicle in there too. Quote Link to comment Share on other sites More sharing options...
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