Hi everyone, I'm in the middle of making some important financial decisions without much experience and have decided to come here for advice.
Some background: I'm 22 years old, living in Eastern Europe going into my final year of university. I had an online business I recently sold and I have $110,000 in the bank (and a $7,000 vehicle). Here, you're considered rich with a $12,000 annual salary. A 2-bedroom apartment in the city center costs $55,000-$66,000. I was renting for the past years but recently moved back in with my family after my father passed away this year.
I don't come from a rich background, and I have 5 small cousins between the ages 2-7, whom I love. I would like to help them somehow, and I've been thinking about opening bank accounts for them with $3,000 each. Before they turn 18 their totals would be between $4,500 and $5,500 with 3.5% interest compounded annually. Enough to pay for 4 years of university currently, and enough to make them feel comfortable about their future as they are growing up. With the rest of my money I hope to pursue a master's degree in the UK or the US.
My family says paying $15k for my cousins when I don't even have an apartment is far too much. My questions is does it seem like too big of a payout that could interfere with my education and cause me more harm than I think? Also, are there better ways to spend this $15k on my cousins than a 3.5% annual interest at a bank? I fear if I give it to their parents right now they might eat into it themselves. Is it possible to instead get a higher interest somewhere other than my local bank?
Thanks very much for reading.
Submitted June 10, 2017 at 09:54AM by valoriane http://ift.tt/2r5O8yQ
